InvestorQ : Why did Berger profits for the Jun-20 quarter fall so sharply?
Dhwani Mehta made post

Why did Berger profits for the Jun-20 quarter fall so sharply?

Answer
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Dilmini Mercia answered.
1 month ago


Berger Paints reported 91.44% fall in net profits at Rs.15.09 crore for the Jun-20 quarter, largely on account of the lockdown triggered by the COVID crisis. Even the total revenues from operations dropped 46% to Rs.931 crore for the quarter.

The company did manage to control expenses quite effectively as the total expenses of the company for the quarter came down 39% to Rs.901 crore. The paints business took a big hit due to the lockdown, which also negatively impacted their supply chains.

Berger has established a strong position in the paint solutions business and is the most significant player in the paints space, other than Asian Paints. The stock has been one of the star performers in the market, even in the midst of trying economic conditions.