Berger Paints India Limited · NSE:BERGEPAINT
Berger Paints India — Q2 FY24 Earnings Presentation
25 slides from Berger Paints India's earnings presentation, Nov 2, 2023
Slide 1: Exchange filing cover letter: Investor Presentation on Financial Results
2" d November, 2023 STOCK. EXG/ AG/ 2023-24 The Corporate Relationship The Listing Department Listing Department Department National Stock Exchange of The Calcutta Stock BSE Limited, India Limited Exchange Ltd. 1st Floor, Exchange Plaza, 5th Floor, 7 Lyons Range, Phiroze Jeejeebhoy Towers, Plot No.-
Slide 2: Earnings Update Call, Q2 FY24
Berger Paints India Limited Earnings Update Call, Q2 FY24 November 2, 2023
Slide 3: Silk Glam Metallica
SILK Glam METALLICA Textures to build your dreams
Slide 4: Q2 FY24 Performance
Q2 FY24 Performance
Slide 5: Business Highlights Q2 FY24 - Standalone
Business Highlights Q2 FY24 - Standalone Value Sales Growth% 22.5 • Moderate top line growth was registered for 3Yrs Compounded 2Yrs Compounded Growth 12.2 % Growth 16.7 % the quarter 2.8 • However, strong growth was recorded over 2/3 years on a compounded basis Q2 FY23 Q2 FY24 • Operating profit sh
Slide 6: Business Highlights Q2 FY24 - Standalone (Volume Growth)
Business Highlights Q2 FY24 - Standalone Volume Growth% Volume Growth% 10.9 24.7 2Yrs Compounded 3Yrs Compounded 2Yrs Compounded 3Yrs Compounded Growth 10.6 % Growth 18.0 % Growth 14.0 % Growth 23.7 % 11.8 10.3 Q2 FY23 Q2 FY24 H1 FY23 H1 FY24 • Maintained double digit volume growth for the quarter •
Slide 7: Business Highlights Q2 FY24 - Standalone (EBITDA)
Business Highlights Q2 FY24 - Standalone EBITDA Growth% EBITDA Growth% 26.7 31.9 32.5 4.7 Q2 FY23 Q2 FY24 H1 FY23 H1 FY24 • Strong profitability growth recorded on the back of elevated Gross Margin of 40% • Operating margin expansion of 310 bps • Margin expansion somewhat moderated on a conscious ca
Slide 8: Financial Results – Standalone Q2 FY24
Financial Results – Standalone Q2 FY24 Rs Crores % to Total % to Total Q2 FY24 Income Q2 FY23 Income Growth % Total income from operations 2439.8 2373.8 2.8 Material Cost 1462.8 60.0 1554.6 65.5 Employee Cost 145.3 6.0 120.5 5.1 Other expenses 428.6 17.6 380.4 16.0 PBDIT (Excluding Other Income) 403
Slide 9: Financial Results – Standalone H1 FY24
Financial Results – Standalone H1 FY24 Rs Crores % to Total % to Total H1 FY24 Income H1 FY23 Income Growth % Total income from operations 5179.6 4862.4 6.5 Material Cost 3124.1 60.3 3164.9 65.1 Employee Cost 271.5 5.2 231.2 4.8 Other expenses 867.0 16.7 774.3 15.9 PBDIT (Excluding Other Income) 917
Slide 10: Decorative Business Q2 FY24
Decorative Business Q2 FY24 Decorative business growth even though muted, was better than Industry average Lower growth was on account of • Extended and sporadic monsoon • Extended festive season leading to some postponement in demand • Some impact of a high base effect Decorative business growth im
Slide 11: Recent Initiatives
Recent Initiatives Company recently introduced an AI driven application, “Berger MY COLOUR” App. • Tailored to assist in discovering the ideal color palette for homes and projects on real time visualization • Offers more than 2500 shades to choose from • Recommends colour combinations Company workin
Slide 12: Top Performing Innovative Products
Top Performing Innovative Products
Slide 13: Top Performing Innovative Products
Top Performing Innovative Products
Slide 14: Top Performing Innovative Products
Top Performing Innovative Products
Slide 15: Berger Priyo Pujo: Kick-off to the festive season
Kick-off to the festive season Utshob er egaro bochhor Berger Priyo Pujo : A spirited celebration of creativity and tradition during Durga Pujo with its 11th edition
Slide 16: Industrial Business: Q2FY24
Industrial Business : Q2FY24 Protective Coatings maintained Automotive and General Powder Coatings business its steady consistent growth in Industrial business had line showed a turnaround the quarter double digit growth in quarter with robust double digit even against a high base in the topline gro
Slide 17: Gross Margin (%) - Standalone
Gross Margin (%) - Standalone Highest Gross Margin in last 10 quarters 40.0 39.6 39.4 38.3 37.9 37.7 36.0 35.3 34.5 33.8 Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY23 Q2FY23 Q3FY23 Q4FY23 Q1FY24 Q2FY24
Slide 18: PBDIT (%) - Standalone
PBDIT (%) - Standalone 18.8 16.3 16.5 15.7 15.6 15.2 15.0 13.6 13.4 12.9 Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY23 Q2FY23 Q3FY23 Q4FY23 Q1FY24 Q2FY24 Operating Profit Margin expected to be maintained at the current level for FY24
Slide 19: Performance - Consolidated: Q2 FY24
Performance - Consolidated: Q2 FY24 Value Sales Growth% 3.6 2.8 Consolidated performance outperformed Standalone Consolidated Standalone on the back of strong double digit topline growth and even stronger EBITDA Growth% profitability growth for all subsidiaries 30.1 except BJN Nepal 26.7 Standalone
Slide 20: Financial Results- Consolidated Q2FY24
Financial Results- Consolidated Q2FY24 Rs Crores % to Total % to Total Q2FY24 Income Q2FY23 Income Growth % Total income from operations 2767.3 2670.9 3.6 Material Cost 1629.4 58.9 1728.1 64.7 Employee Cost 190.2 6.9 160.4 6.0 Other expenses 474.0 17.1 418.5 15.7 PBDIT (Excluding Other Income) 473.7
Slide 21: Financial Results- Consolidated H1FY24
Financial Results- Consolidated H1FY24 Rs Crores % to Total % to Total H1FY24 Income H1FY23 Income Growth % Total income from operations 5796.8 5430.6 6.7 Material Cost 3452.5 59.6 3501.2 64.5 Employee Cost 357.1 6.2 306.4 5.6 Other expenses 956.8 16.5 854.2 15.7 PBDIT (Excluding Other Income) 1030.
Slide 22: Performance - Consolidated: Q2 FY24 (Subsidiaries)
Performance - Consolidated: Q2 FY24 Company’s overseas subsidiary, Bolix S.A, Poland had another quarter of strong topline and profitability growth driven by good performance in the U.K. business. Company expected to show good growth in Q3FY24 Company’s overseas subsidiary, BJN Nepal had another
Slide 23: Capacity Expansion
Capacity Expansion o Work at new plant in Panagarh, West Bengal for industrial paints and construction chemical should begin soon with capacity of 3500 KL/MT per month. Expected completion by end 2025 o Further greenfield facility to come up near Bhubaneshwar in the state of Odisha for manufacturing
Slide 24: Business Outlook: Q3FY24
Business Outlook : Q3FY24 • Company expects improvement in decorative demand in Q3 on the back of extended festive season and improvement in rural demand aided by a normal monsoon • Automotive business expected to continue with double digit growth in Q3FY24 on the back of sustained demand • Protecti
Slide 25: Disclaimer
Disclaimer This presentation has been prepared by Berger Paints India Limited for information purposes only. The forward looking statements, if any, involve risks, uncertainties and other factors that could cause actual results to differ materially from those suggested by the statements.