Berger Paints India Ltd
NSE: BERGEPAINT · Paints · Q1FY27 · standalone figures · Report generated 14 Oct 2026
Price (14 Oct 2026)
FY26 Revenue
YoY
FY26 PAT
YoY
EBITDA Margin
FY25:
MCAP (locked)
as of 14 Oct 2026
Current P/E
FY26 PAT basis
1Y Fwd PEG (Base)
G = 8%
ROE FY26
ROCE FY26
Net D/E
FY25:
💰 Valuation Comfort Panel
G — growth rate basis (Concall revenue guidance): G is the forward rate from management's guidance — explicit revenue growth guidance 8% (next year) with guided margins 16.1% in line with today's 16.2% — not the base-effect YoY PAT growth of 1.7%.
Current PEG
✗ Above 1.5x — pricing in a lot
PE ÷ PAT growth
1Y Forward PEG (Base 8%)
✗ Above 1.5x — pricing in a lot
1Y Fwd PE ÷ G 8%
MCAP ÷ PAT₁
MCAP ÷ PAT₁
2Y Forward PEG (Base 8%)
✗ Above 1.5x — pricing in a lot
2Y Fwd PE ÷ G 8%
MCAP ÷ PAT₂
MCAP ÷ PAT₂
| Scenario | G | PAT +1Y | 1Y Fwd PE | PAT +2Y | 2Y Fwd PE | 1Y PEG | 2Y PEG | Read |
|---|---|---|---|---|---|---|---|---|
| Bear | -2% | Growth slips to -2% — what the price looks like if guidance is missed. | ||||||
| Base | 8% | Management-guided rate 8% — is it deliverable? | ||||||
| Bull | 18% | Growth reaches 18% — upside if execution beats. |
Required PAT growth for PEG = 1x: . For PEG 1.5x: . Needs 47% PAT growth for PEG <1x. Management guided 8%. Gap = 39pp.At the current price, the market is pricing in about 47% PAT growth (the rate at which 1Y PEG equals 1x). Management's guidance implies 8% in the base case, 39pp below that bar. The base-case 1Y forward PEG is 5.87x — the price leaves little room for error.
🧾 Guidance Extraction Block (Step 7A)
| # | Item | Status | What management said / what was calculated | Value |
|---|---|---|---|---|
| 1 | Explicit PAT/profit guidance | NOT GIVEN | NOT GIVEN | |
| 2 | Explicit revenue guidance | ✓ GIVEN | "if the volume growth goes up to, say, 12-13%, then the value growth should be in the range of 7-8%." → 8% growth (next year)“if the volume growth goes up to, say, 12-13%, then the value growth should be in the range of 7-8%.” | |
| 3 | Explicit margin guidance | ✓ GIVEN | "EBITDA margin flattish at minus 0.1." → 16.1% (Q3 FY26)“EBITDA margin flattish at minus 0.1.” | |
| 4 | Multi-year PAT target | NOT GIVEN | NOT GIVEN | |
| 5 | Seasonality / quarterly signals | ✓ GIVEN | "October was negative, November slightly positive, December more positive, January slightly more positive than December, so it's improving month on month." (monthly)“October was negative, November slightly positive, December more positive, January slightly more positive than December, so it's improving month on month.” | |
| 6 | Acceleration / deceleration signal | ✓ GIVEN | accelerating: "October was negative, November slightly positive, December more positive, January slightly more positive than December, so it's improving month on month."“October was negative, November slightly positive, December more positive, January slightly more positive than December, so it's improving month on month.” | |
| 7 | Historical anchor (annual results filings) | ✓ GIVEN | FY25 Revenue: ₹10,169.22 Cr | PAT: ₹1,077.5 Cr | PAT margin: 10.6%; FY26 Revenue: ₹10,420.1 Cr | PAT: ₹1,095.66 Cr | PAT margin: 10.5%; 2-year avg revenue growth: 5.7% | |
| 8 | MCAP locked | ✓ GIVEN | ₹55,583 Cr (source: Screener (price and market cap), date: 2026-10-14T10:13:27.107Z) |
Earnings pace: ELIMINATE BELOW FLOOR — current PAT growth , guided . Current PAT growth 1.7% is below the 20% floor with no credible guided acceleration.
📊 Financial Statement Analysis — FY22 to FY26 (5-Year Deep Dive)
⚠ MIXED
7 pass, 0 caution, 1 fail. Failing: FSA-1 Balance Sheet Strength (WEAKENING).
FSA-1
Balance Sheet Strength
✗ WEAKENING
FSA-2
Leverage Ratios
✓ NET CASH
FSA-3
Cash Flow Quality
✓ CONSISTENT
FSA-4
Self-Funded Growth
✓ YES FY26
FSA-5
Revenue & Profit Growth
✓ ACCELERATING
FSA-6
Earnings Quality CFO/PAT
✓ EXCEPTIONAL 128%
FSA-7
Profitability ROE/ROCE
✓ 18.2% / 25.5%
FSA-8
Margin Sustainability
✓ 16.2% STABLE
FSA-1 · Balance Sheet Strength
| Year | Equity | Borrowings | Net D/E | WC Days | CWIP / Net Block | Goodwill / Equity |
|---|---|---|---|---|---|---|
| FY22 | ||||||
| FY23 | ||||||
| FY24 | ||||||
| FY25 | ||||||
| FY26 |
FSA-1 verdict: ✗ WEAKENING. Equity improving; Net D/E worsening; Working capital days worsening. FY26 equity: FY26 net D/E: FY26 working capital days:
FSA-2 · Leverage & Interest Coverage
| Year | Net D/E | CFO / EBITDA | Interest Coverage |
|---|---|---|---|
| FY22 | |||
| FY23 | |||
| FY24 | |||
| FY25 | |||
| FY26 | |||
| Asian Paints (FY26) | |||
| Kansai Nerolac (FY26) | |||
| JSW Dulux (FY26) | |||
| Indigo Paints (FY26) | |||
| Sirca Paints (FY26) | |||
| Kamdhenu Venture (FY26) |
FSA-2 verdict: ✓ NET CASH. Net debt / equity -0.03x — net cash. FY25 net D/E: FY26 net D/E: FY26 interest coverage:
FSA-3 + FSA-4 · Cash Flow Quality & Self-Funded Growth
| Year | CFO | CFI | CFF | Capex | FCF | FCF Margin |
|---|---|---|---|---|---|---|
| FY22 | ||||||
| FY23 | ||||||
| FY24 | ||||||
| FY25 | ||||||
| FY26 |
FSA-3 verdict: ✓ CONSISTENT. Operating cash flow positive every year: FY22 ₹518.61 Cr, FY23 ₹934.29 Cr, FY24 ₹1,482.9 Cr, FY25 ₹1,118.83 Cr, FY26 ₹1,406.43 Cr. FY22 CFO: FY23 CFO: FY24 CFO: FY25 CFO: FY26 CFO:
FSA-4 verdict: ✓ YES FY26. FY26 free cash flow ₹975.12 Cr: operating cash covered capex. FY26 FCF (CFO − capex):
Data table: Cash flow history FY22 to FY26: CFO, CFI, FCF
| Series | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| CFO (₹ Cr) | |||||
| CFI (₹ Cr) | |||||
| FCF (₹ Cr) |
FSA-5 · Revenue & Profit Growth
| Year | Revenue | Rev Growth | EBITDA | EBITDA Growth | PAT | PAT Growth |
|---|---|---|---|---|---|---|
| FY22 | ||||||
| FY23 | ||||||
| FY24 | ||||||
| FY25 | ||||||
| FY26 | ||||||
| Asian Paints (FY26) | ||||||
| Kansai Nerolac (FY26) | ||||||
| JSW Dulux (FY26) | ||||||
| Indigo Paints (FY26) | ||||||
| Sirca Paints (FY26) | ||||||
| Kamdhenu Venture (FY26) |
| 2-Year CAGR | Revenue | EBITDA | PAT |
|---|---|---|---|
| Berger Paints India Ltd | |||
| Asian Paints | |||
| Kansai Nerolac | |||
| JSW Dulux | |||
| Indigo Paints | |||
| Sirca Paints | |||
| Kamdhenu Venture |
FSA-5 verdict: ✓ ACCELERATING. Revenue growth 1.7% → 2.5%; PAT growth 1.7%. FY26 revenue growth: FY26 PAT growth: FY25 revenue growth:
FSA-6 · Earnings Quality — CFO vs PAT
| Year | PAT | CFO | CFO / PAT |
|---|---|---|---|
| FY22 | |||
| FY23 | |||
| FY24 | |||
| FY25 | |||
| FY26 |
FSA-6 verdict: ✓ EXCEPTIONAL 128%. CFO/PAT 128%: the company collected more cash than its reported profit. FY26 CFO/PAT:
Data table: CFO vs PAT FY22 to FY26
| Series | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| PAT (₹ Cr) | |||||
| CFO (₹ Cr) |
FSA-7 · Profitability (ROE / ROCE) with DuPont
| Year | ROE | ROCE | PAT Margin | Asset Turnover | Equity Multiplier |
|---|---|---|---|---|---|
| FY22 | |||||
| FY23 | |||||
| FY24 | |||||
| FY25 | |||||
| FY26 | |||||
| Asian Paints (FY26) | |||||
| Kansai Nerolac (FY26) | |||||
| JSW Dulux (FY26) | |||||
| Indigo Paints (FY26) | |||||
| Sirca Paints (FY26) | |||||
| Kamdhenu Venture (FY26) |
FSA-7 verdict: ✓ 18.2% / 25.5%. ROE 18.2%, ROCE 25.5% vs the 15% floor. ROE: ROCE:
FSA-8 · Margin Sustainability
| Year | EBITDA Margin | PAT Margin |
|---|---|---|
| FY22 | ||
| FY23 | ||
| FY24 | ||
| FY25 | ||
| FY26 | ||
| Asian Paints (FY26) | ||
| Kansai Nerolac (FY26) | ||
| JSW Dulux (FY26) | ||
| Indigo Paints (FY26) | ||
| Sirca Paints (FY26) | ||
| Kamdhenu Venture (FY26) |
| Company | EBITDA Margin (prior FY) | EBITDA Margin (latest FY) | Change (pp) | Trend | Margin guidance (latest concall) |
|---|---|---|---|---|---|
| Berger Paints India Ltd | FY25 | FY26 | Stable | Margin 16.1% (Q3 FY26) | |
| Asian Paints | FY25 | FY26 | Expanding | Margin 18% (FY27) | |
| Kansai Nerolac | FY25 | FY26 | — | Margin 13% (FY27) | |
| JSW Dulux | FY25 | FY26 | Contracting | Margin 13% | |
| Indigo Paints | FY25 | FY26 | Stable | No margin guidance | |
| Sirca Paints | FY25 | FY26 | Expanding | Margin 19% (FY27) | |
| Kamdhenu Venture | FY25 | FY26 | Contracting | No margin guidance |
FSA-8 verdict: ✓ 16.2% STABLE. EBITDA margin 16.5% → 16.2% (-0.3pp) — held or expanded. Latest quarter Q1FY27: 17.4%. FY26 EBITDA margin: FY25 EBITDA margin: Q1FY27 EBITDA margin:
🔬 Marcellus 3-Level Forensic Accounting Check
⚠ FORENSIC CAUTION — 1 flag
Level 1: 0 flags, 2 data gaps. Level 2: 1 flag (Related-party transactions: Monitor). Level 3: 1 corroborating, 0 to investigate.
Level 1 · Quantitative Ratio Checks
L1-1
CFO/PAT (FY26)
✓ 128% — Exceptional
L1-2
CFO/EBITDA (FY26)
✓ 83% — Above threshold
L1-3
CFO multi-year volatility
✓ Consistent
L1-4
Yield on cash
✓ 67.3% — Real
L1-5
Goodwill / net worth
✓ Negligible
L1-6
R&D: capitalised?
– Data gap — the annual report's R&D accounting
L1-7
CWIP / net block
✓ 10.6% — Clean
L1-8
FCF / revenue
✓ +9.4% FY26
L1-9
DuPont (ROE drivers)
✓ Margin-led ROE
L1-10
Auditor changes
– Data gap — the annual report's auditor details
L1-11
Adverse auditor comment
✓ Clean FY26 report
L1-12
Contingent liabilities / net worth
✓ 1.3% — Low
L1-1 CFO/PAT (FY26): Cash from operations is 128% of PAT — cash earnings exceed reported profit. CFO/PAT: L1-2 CFO/EBITDA (FY26): CFO/EBITDA 83% vs the 70% threshold. CFO/EBITDA: L1-3 CFO multi-year volatility: CFO positive every year: FY22 ₹518.61 Cr, FY23 ₹934.29 Cr, FY24 ₹1,482.9 Cr, FY25 ₹1,118.83 Cr, FY26 ₹1,406.43 Cr. FY22 CFO: FY23 CFO: FY24 CFO: FY25 CFO: FY26 CFO: L1-4 Yield on cash: Other income is 67.3% of average cash (floor 4%). Other income can include non-treasury items. Yield on cash: L1-5 Goodwill / net worth: Goodwill is 0% of net worth. Goodwill / equity: L1-6 R&D: capitalised?: Not assessed: the annual report's R&D accounting is not available. L1-7 CWIP / net block: Capital work in progress is 10.6% of the net block. CWIP / net block: L1-8 FCF / revenue: Free cash flow is 9.4% of revenue. FCF margin: L1-9 DuPont (ROE drivers): ROA (margin × turnover) 13.7% → 12.8%; equity multiplier 1.47x → 1.42x. Peer DuPont figures are not in the data. PAT margin: Asset turnover: Equity multiplier: L1-10 Auditor changes: Not assessed: the annual report's auditor details is not available. L1-11 Adverse auditor comment: Audit opinion: unmodified. L1-12 Contingent liabilities / net worth: Contingent liabilities ₹79.4 Cr are 1.3% of net worth. Contingent liabilities / net worth:
Level 2 · Corporate Governance Checks
⚠ CAUTION
Related-party transactionsMonitor
Significant related-party transactions (loans, purchases, rent) with subsidiaries and KMPs, though disclosed transparently.
“Unsecured Loan Given Beepee Coatings Private Limited 5.90 7.03” “Purchase of Goods (includes purchase of raw materials, packing materials and traded goods) U K Paints (India) Private Limited 152.55 139.51” “Purchase of Goods (includes purchase of raw materials, packing materials and traded goods) Seaward Packaging Private Limited 95.12 98.94” “Rent Expenses U K Paints (India) Private Limited 1.32 1.23” “Rent Expenses Oakleaf Probuilt LLP 1.99 1.59” ✓ PASS
Auditor opinionClean
Unmodified auditor opinion with no reported irregularities.
“In our opinion and to the best of our information and according to the explanations given to us and based on the consideration of the reports of the other auditors on separate/ consolidated financial statements of the subsidiaries and joint ventures, as noted in the “Other Matters” paragraph:” Level 3 · Primary Data Corroboration
✓ Corroborates
Market feedback and brand strengthCorroborates
Positive market reception for products and strategic focus on brand-building initiatives are cited.
“It has received very positive feedback from the market.” “And this will be a major focus area and help us in building the brand Berger more strongly in the near future.” 📊 Market Share — Subject vs Peers
| Company | Sales Growth (FY) | PAT Growth (FY) | EBITDA Margin (FY) | EBITDA Margin Change vs Prior FY (pp) | PAT Margin (FY) | ROE | Sales Growth (Latest Q YoY) | PAT Growth (Latest Q YoY) | Management Guidance (latest concall) | vs Berger |
|---|---|---|---|---|---|---|---|---|---|---|
| 🏆 Berger Paints India Ltd | Stable |
| — | |||||||
| Asian Paints | Expanding |
| Peer growing PAT 11.3pp faster; ↓ peers catching up | |||||||
| Kansai Nerolac |
| Berger growing PAT 44.4pp faster; ↑ pulling away | ||||||||
| JSW Dulux | Contracting |
| Berger growing PAT 0.7pp faster; ↑ pulling away | |||||||
| Indigo Paints | Stable |
| Peer growing PAT 5.7pp faster; ↓ peers catching up | |||||||
| Sirca Paints | Expanding |
| Peer growing PAT 30.9pp faster; ↑ pulling away | |||||||
| Kamdhenu Venture | Contracting |
| Berger growing PAT 98.7pp faster; ↑ pulling away |
Peer list source: Screener industry peers. Peer figures come from each peer's own exchange filings; guidance is quoted from each company's latest earnings call. Peer PAT growth excludes one-off gains and losses (exceptional items, discontinued operations); hover a figure for the calculation. Peers not used: Shalimar Paints (same industry list, but not confirmed as a direct competitor).
📋 7-Step Investment Checklist
2/9
2 of 9 criteria passed (7 steps + ROE + ROCE)
Hard rules: 4 failed.
Hard rules: 4 failed.
Hard rules
✗ FAIL
PAT growth ≥ 20%FAIL 1.7%
Latest FY PAT growth 1.7% is below 20%, and the forward-guidance override does not apply: the math does not reach 20%: explicit revenue growth guidance 8% (next year) with guided margins 16.1% in line with today's 16.2% = 8% PAT growth.
Latest FY PAT growth: Guided PAT growth (component math): “if the volume growth goes up to, say, 12-13%, then the value growth should be in the range of 7-8%.” “if the volume growth goes up to, say, 12-13%, then the value growth should be in the range of 7-8%.” “if the volume growth goes up to, say, 12-13%, then the value growth should be in the range of 7-8%.” “EBITDA margin flattish at minus 0.1.” ✗ FAIL
Earnings growth vs fastest peer (R11)FAILS PEER GATE
Fastest peer Sirca Paints grew FY PAT 32.5%; subject 1.7% — 32.5% − 1.7% = 30.9pp behind (allowed: within 5pp).
Subject FY PAT growth: Sirca Paints FY PAT growth (fastest peer): ✗ FAIL
Revenue growth (R12)ELIMINATE
Revenue growth 2.5% is below 10% and the latest concall gives no non-conditional guidance of ≥ 15% growth (R12).
Latest FY revenue growth: ✗ FAIL
Sunrise / sunset sector (R13)SUNSET
peer median FY PAT growth 4.1% (fast if ≥ 15%); 1 of 6 peers with transcripts sound bullish (needs ≥ 50%).
Peer median FY PAT growth: “The demand conditions have been decent of what we have seen. As I said, all three months, the demand has been decent.” “The PBT margins have been a little bit stressed here, about 15.7%, lower by 119 bps.” “The competitive intensity seems to be at an all-time high. I don't think there is any leeway there.” “Automotive demand continues to be buoyant, driven by new launches and inventory buildup for the festive period” “high commodity prices due to high crude oil mix, the crude oil prices and raw material availability uncertainty and import cost surge due to rupee depreciation” “competition intensity continues to remain intact. We are not seeing much let down there.” “we had a volume growth of 25%” “the gross margin had an impact of approximately about two odd points because of the crude challenges” “it will continue to be very competitive for the next 1-2 years” “the demand momentum that we described at the close of FY26 has carried through into the first quarter of FY27” “meaningful margin expansion” “Revenue has grown in double digits, the first such quarter in almost two years for us” “we are experiencing a short-term margin pressure because the raw material situation, as you rightly said, because of the global situation and, you know, crude oil, because most of the products that we use our crude link, are on higher side and, you know, highly volatile” “we don't see any long-term contractions on the margin side” “the demand for the polyurethane and the product shift from a certain product category to polyurethane technology is happening very fast in the market” “India's steel demand is projected to grow by 9% in 2026, outpacing other major economies. This growth is driven by increased infrastructure development, housing projects, and rising demand for engineering and packaging sector.” “While average selling price for TMT bars was slightly softer, with a marginal year-on-year decline” “The year was marked by a challenging operating environment due to softer demand, slower construction activity, and high-end competition, which impacts our financial performance” ✓ PASS
ROEPASS 18.2%
ROE 18.2% vs the > 15% floor.
ROE: ✓ PASS
ROCEPASS 25.5%
ROCE 25.5% vs the > 15% floor.
ROCE: Checklist steps
✓ PASS
Business model understandabilityPASS — SIMPLE
Berger Paints operates in the paint industry with clear segments like decorative and industrial paints. The company discusses store expansions, tinting machines, and capacity additions, making their business model straightforward to understand.
“Store footprint expanded, taking the total count to 1,900 plus stores as on date.” “Tinting machine installations crossed 2,100 plus for the quarter.” “Decorative business, The dealer network expansion continued during the quarter. Driven by installation of 2,500 plus color bank machines.” “Driven by installation of 2,500 plus color bank machines.” ✗ FAIL
Sunrise or sunset sectorSUNSET
peer median FY PAT growth 4.1% (fast if ≥ 15%); 1 of 6 peers with transcripts sound bullish (needs ≥ 50%).
Peer median FY PAT growth: “The demand conditions have been decent of what we have seen. As I said, all three months, the demand has been decent.” “The PBT margins have been a little bit stressed here, about 15.7%, lower by 119 bps.” “The competitive intensity seems to be at an all-time high. I don't think there is any leeway there.” “Automotive demand continues to be buoyant, driven by new launches and inventory buildup for the festive period” “high commodity prices due to high crude oil mix, the crude oil prices and raw material availability uncertainty and import cost surge due to rupee depreciation” “competition intensity continues to remain intact. We are not seeing much let down there.” “we had a volume growth of 25%” “the gross margin had an impact of approximately about two odd points because of the crude challenges” “it will continue to be very competitive for the next 1-2 years” “the demand momentum that we described at the close of FY26 has carried through into the first quarter of FY27” “meaningful margin expansion” “Revenue has grown in double digits, the first such quarter in almost two years for us” “we are experiencing a short-term margin pressure because the raw material situation, as you rightly said, because of the global situation and, you know, crude oil, because most of the products that we use our crude link, are on higher side and, you know, highly volatile” “we don't see any long-term contractions on the margin side” “the demand for the polyurethane and the product shift from a certain product category to polyurethane technology is happening very fast in the market” “India's steel demand is projected to grow by 9% in 2026, outpacing other major economies. This growth is driven by increased infrastructure development, housing projects, and rising demand for engineering and packaging sector.” “While average selling price for TMT bars was slightly softer, with a marginal year-on-year decline” “The year was marked by a challenging operating environment due to softer demand, slower construction activity, and high-end competition, which impacts our financial performance” ⚠ CAUTION
Market share momentumHOLDING
Subject FY revenue growth 2.5% vs peers 4.9%, 2.9%, -12%, 4.8%, 31.7%, -7.8%; faster than 2 of 6. Lead over the median peer: -1.4pp (FY) → 0.9pp (latest quarter).
Subject FY revenue growth: ✗ FAIL
Future visibility of earnings growth (pace)ELIMINATE BELOW FLOOR
Current PAT growth 1.7% is below the 20% floor with no credible guided acceleration.
Current FY PAT growth: Guided PAT growth: “if the volume growth goes up to, say, 12-13%, then the value growth should be in the range of 7-8%.” “EBITDA margin flattish at minus 0.1.” NOT ASSESSED
Normalise one-off effectsNOT ASSESSED
Not assessed — no judgment with a supporting quote.
⚠ CAUTION
Volume vs value decompositionMIXED
Growth is driven by both volume (~8.4%) and price increases (~5-8%), with contributions from new products and distribution expansion.
“volume, about 8.4, as I said, income from operations, 12.7” “Until 5% is the price increase impact.” “the volume growth will be somewhere around similar levels as, quarter one, slightly below, maybe, you know, so we were at 8.5%, maybe it will be 7.5% to 8%, approximately, and a price increase which is there of, you know, varying from 7.5% to 8.59%.” ✓ PASS
New capacity vs same-base growthBOTH GROWING
Growth stems from new capacity (Panagar/Urissa plants, tinting machines) and same-base improvements (store footprint, product mix).
“our aspiration is to try and touch 10,000 machines” “Store footprint expanded, taking the total count to 1,900 plus stores as on date.” “because our Panagar project will start at the end of this fiscal. So, roughly it will be 600 to 800 rupees for the year.” “Decorative business, The dealer network expansion continued during the quarter. Driven by installation of 2,500 plus color bank machines.” “Driven by installation of 2,500 plus color bank machines.” “we have plans for two factories, one in Panagar and one in Urissa.” ✓ PASS
Capex backing the growthPASS — SPECIFIC CAPEX
Capex plans include detailed amounts (₹600-800 Cr, ₹1,800 Cr) for capacity expansion with clear timelines and purposes.
“because our Panagar project will start at the end of this fiscal. So, roughly it will be 600 to 800 rupees for the year.” “Both of which together is an investment of about 1,800 to 2,000 crore.” ✗ FAIL
Operating leverageFAIL
EBITDA grew 0.7%, slower than revenue 2.5% — negative operating leverage.
EBITDA growth: Revenue growth: ✗ FAIL
Valuation (forward PEG)1Y PEG 5.87x
Base G 8%: 1Y forward PE 47x, 1Y PEG 5.87x. Needs 47% PAT growth for PEG <1x. Management guided 8%. Gap = 39pp.
1Y Fwd PE (Base): 1Y PEG (Base): Required G for PEG 1x: ⚠ CAUTION
ROEDECLINING 18.2%
ROE 18.2% is above 15% but has declined two years running (21.8% → 20.2% → 18.2%).
ROE (latest FY): ⚠ CAUTION
ROCEDECLINING 25.5%
ROCE 25.5% is above 15% but has declined two years running (28.5% → 27.5% → 25.5%).
ROCE (latest FY): 📈 Pace of Growth
Data table: Revenue, PAT and EBITDA margin FY22 to FY28E (Base 8%)
| Series | FY22 | FY23 | FY24 | FY25 | FY26 | FY27E (Base 8%) | FY28E (Base 8%) |
|---|---|---|---|---|---|---|---|
| Revenue (₹ Cr) | |||||||
| PAT (₹ Cr) | |||||||
| EBITDA Margin % |
Estimate columns apply the base-scenario growth rate to the latest PAT; they are calculations, not reported figures.
🎯 Management Guidance Execution Tracker
QuarterManagement Commitment (Verbatim)MetricTargetActualStatus
Q3FY26“double-digit volume growth should happen” volume growthdouble-digitNot yet due (FY27)● IN PROGRESS
Q3FY26“value growth should be in the range of 7-8%” value growth7-8%Not yet due (FY27)● IN PROGRESS
Q1FY27“double-digit revenue growth expected to sustain” revenuedouble-digitNot yet due (FY27)● IN PROGRESS
Q1FY27“Operating margins are expected to remain within the guided range, which we have always said, that is between 15% and 17%” operating margin15% and 17%Not yet due (FY27)● IN PROGRESS
Q1FY27“our aspiration is to try and touch 10,000 machines” tinting machines10,000Not yet due (FY27)● IN PROGRESS
⬜ UNRATED — no scoreable commitments — Score:
0 delivered, 0 missed, 0 partial — nothing scored yetScore = (delivered + 0.5 × partial) ÷ (delivered + missed + partial); 5 still in progress (not scored).Verdict impact: UNRATED — no commitment from the tracked concalls could be scored yet, so there is no execution record. Guidance is used as stated and the verdict is not adjusted for credibility. Not scored: "we will possibly do installation of 2,500 plus color bank machines" (Q3FY26) — due Q4FY26; no filed figure or reported outcome found. "we are going to add one or two new products this quarter as well" (Q3FY26) — no measurable target, and the outcome is not stated in later filings. "we have plans for two factories, one in Panagar and one in Urissa" (Q3FY26) — due Q4FY26; no filed figure or reported outcome found.
0 delivered, 0 missed, 0 partial — nothing scored yetScore = (delivered + 0.5 × partial) ÷ (delivered + missed + partial); 5 still in progress (not scored).Verdict impact: UNRATED — no commitment from the tracked concalls could be scored yet, so there is no execution record. Guidance is used as stated and the verdict is not adjusted for credibility. Not scored: "we will possibly do installation of 2,500 plus color bank machines" (Q3FY26) — due Q4FY26; no filed figure or reported outcome found. "we are going to add one or two new products this quarter as well" (Q3FY26) — no measurable target, and the outcome is not stated in later filings. "we have plans for two factories, one in Panagar and one in Urissa" (Q3FY26) — due Q4FY26; no filed figure or reported outcome found.
Management red flags: CFO / PAT ratio — HEALTHY 128%; Debt trend vs sales — FLAT / FALLING; Related-party transactions — RPTs DISCLOSED — VERIFY; Fraud / criminal cases — NOT ASSESSED
🔍 What To Track
#Management Said (Verbatim)Pass ConditionBy WhenTier
1“double-digit revenue growth expected to sustain” revenue: revenue: double-digit delivered as statedFY27🔴 CRITICAL
2“Operating margins are expected to remain within the guided range, which we have always said, that is between 15% and 17%” operating margin: operating margin ≥ 15%FY27🔴 CRITICAL
3“our aspiration is to try and touch 10,000 machines” tinting machines: tinting machines ≥ 10,000FY27🔴 CRITICAL
Management has no scored execution record yet. These are the first checkpoints. At the next concall, check items 1 and 2 first. If both pass, the thesis is intact. If either misses, re-run the full analysis.
📐 ROE / ROCE Trend
⚠ CAUTION
ROEDECLINING 18.2%
ROE 18.2% is above 15% but has declined two years running (21.8% → 20.2% → 18.2%).
ROE (latest FY): ⚠ CAUTION
ROCEDECLINING 25.5%
ROCE 25.5% is above 15% but has declined two years running (28.5% → 27.5% → 25.5%).
ROCE (latest FY): Data table: ROE and ROCE FY22 to FY26
| Series | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| ROE % | |||||
| ROCE % |
⚠️ Risk Register
HIGH
PAT growth ≥ 20%: FAIL 1.7%. Latest FY PAT growth 1.7% is below 20%, and the forward-guidance override does not apply: the math does not reach 20%: explicit revenue growth guidance 8% (next year) with guided margins 16.1% in line with today's 16.2% = 8% PAT growth.“if the volume growth goes up to, say, 12-13%, then the value growth should be in the range of 7-8%.” “if the volume growth goes up to, say, 12-13%, then the value growth should be in the range of 7-8%.” “if the volume growth goes up to, say, 12-13%, then the value growth should be in the range of 7-8%.” “EBITDA margin flattish at minus 0.1.”
HIGH
Earnings growth vs fastest peer (R11): FAILS PEER GATE. Fastest peer Sirca Paints grew FY PAT 32.5%; subject 1.7% — 32.5% − 1.7% = 30.9pp behind (allowed: within 5pp).
HIGH
Revenue growth (R12): ELIMINATE. Revenue growth 2.5% is below 10% and the latest concall gives no non-conditional guidance of ≥ 15% growth (R12).
HIGH
Sunrise / sunset sector (R13): SUNSET. peer median FY PAT growth 4.1% (fast if ≥ 15%); 1 of 6 peers with transcripts sound bullish (needs ≥ 50%).“The demand conditions have been decent of what we have seen. As I said, all three months, the demand has been decent.” “The PBT margins have been a little bit stressed here, about 15.7%, lower by 119 bps.” “The competitive intensity seems to be at an all-time high. I don't think there is any leeway there.” “Automotive demand continues to be buoyant, driven by new launches and inventory buildup for the festive period” “high commodity prices due to high crude oil mix, the crude oil prices and raw material availability uncertainty and import cost surge due to rupee depreciation” “competition intensity continues to remain intact. We are not seeing much let down there.” “we had a volume growth of 25%” “the gross margin had an impact of approximately about two odd points because of the crude challenges” “it will continue to be very competitive for the next 1-2 years” “the demand momentum that we described at the close of FY26 has carried through into the first quarter of FY27” “meaningful margin expansion” “Revenue has grown in double digits, the first such quarter in almost two years for us” “we are experiencing a short-term margin pressure because the raw material situation, as you rightly said, because of the global situation and, you know, crude oil, because most of the products that we use our crude link, are on higher side and, you know, highly volatile” “we don't see any long-term contractions on the margin side” “the demand for the polyurethane and the product shift from a certain product category to polyurethane technology is happening very fast in the market” “India's steel demand is projected to grow by 9% in 2026, outpacing other major economies. This growth is driven by increased infrastructure development, housing projects, and rising demand for engineering and packaging sector.” “While average selling price for TMT bars was slightly softer, with a marginal year-on-year decline” “The year was marked by a challenging operating environment due to softer demand, slower construction activity, and high-end competition, which impacts our financial performance”
HIGH
Sunrise or sunset sector: SUNSET. peer median FY PAT growth 4.1% (fast if ≥ 15%); 1 of 6 peers with transcripts sound bullish (needs ≥ 50%).“The demand conditions have been decent of what we have seen. As I said, all three months, the demand has been decent.” “The PBT margins have been a little bit stressed here, about 15.7%, lower by 119 bps.” “The competitive intensity seems to be at an all-time high. I don't think there is any leeway there.” “Automotive demand continues to be buoyant, driven by new launches and inventory buildup for the festive period” “high commodity prices due to high crude oil mix, the crude oil prices and raw material availability uncertainty and import cost surge due to rupee depreciation” “competition intensity continues to remain intact. We are not seeing much let down there.” “we had a volume growth of 25%” “the gross margin had an impact of approximately about two odd points because of the crude challenges” “it will continue to be very competitive for the next 1-2 years” “the demand momentum that we described at the close of FY26 has carried through into the first quarter of FY27” “meaningful margin expansion” “Revenue has grown in double digits, the first such quarter in almost two years for us” “we are experiencing a short-term margin pressure because the raw material situation, as you rightly said, because of the global situation and, you know, crude oil, because most of the products that we use our crude link, are on higher side and, you know, highly volatile” “we don't see any long-term contractions on the margin side” “the demand for the polyurethane and the product shift from a certain product category to polyurethane technology is happening very fast in the market” “India's steel demand is projected to grow by 9% in 2026, outpacing other major economies. This growth is driven by increased infrastructure development, housing projects, and rising demand for engineering and packaging sector.” “While average selling price for TMT bars was slightly softer, with a marginal year-on-year decline” “The year was marked by a challenging operating environment due to softer demand, slower construction activity, and high-end competition, which impacts our financial performance”
HIGH
Future visibility of earnings growth (pace): ELIMINATE BELOW FLOOR. Current PAT growth 1.7% is below the 20% floor with no credible guided acceleration.“if the volume growth goes up to, say, 12-13%, then the value growth should be in the range of 7-8%.” “EBITDA margin flattish at minus 0.1.”
HIGH
Operating leverage: FAIL. EBITDA grew 0.7%, slower than revenue 2.5% — negative operating leverage.
HIGH
Valuation (forward PEG): 1Y PEG 5.87x. Base G 8%: 1Y forward PE 47x, 1Y PEG 5.87x. Needs 47% PAT growth for PEG <1x. Management guided 8%. Gap = 39pp.
MED
Margin pressure (raised by management). Raised on the Q1FY27 concall.“Gross margin moderated marginally, primarily due to delayed and partial pass-through of input cost increases in industrial business.”
MED
Competitive intensity (raised by management). Raised on the Q1FY27 concall.“Market competitiveness, however, is expected to stay elevated.” “So, it remains intense, and it remains challenging, in terms of the, intensity of competition.”
MED
Market share momentum: HOLDING. Subject FY revenue growth 2.5% vs peers 4.9%, 2.9%, -12%, 4.8%, 31.7%, -7.8%; faster than 2 of 6. Lead over the median peer: -1.4pp (FY) → 0.9pp (latest quarter).
MED
Volume vs value decomposition: MIXED. Growth is driven by both volume (~8.4%) and price increases (~5-8%), with contributions from new products and distribution expansion.“volume, about 8.4, as I said, income from operations, 12.7” “Until 5% is the price increase impact.” “the volume growth will be somewhere around similar levels as, quarter one, slightly below, maybe, you know, so we were at 8.5%, maybe it will be 7.5% to 8%, approximately, and a price increase which is there of, you know, varying from 7.5% to 8.59%.”
MED
ROE: DECLINING 18.2%. ROE 18.2% is above 15% but has declined two years running (21.8% → 20.2% → 18.2%).
MED
ROCE: DECLINING 25.5%. ROCE 25.5% is above 15% but has declined two years running (28.5% → 27.5% → 25.5%).
MED
Related-party transactions: RPTs DISCLOSED — VERIFY. 19 related-party transactions in the FY26 annual report totalling ₹393.61 Cr — 3.8% of FY26 revenue: Beepee Coatings Private Limited (Loan given); Beepee Coatings Private Limited (Loan repaid); U K Paints (India) Private Limited (Purchase of Goods); Seaward Packaging Limited (Purchase of Goods); STP Limited (Purchase of Goods); U K Paints (India) Private Limited (Processing Charges); Beepee Coatings Private Limited (Processing Charges); U K Paints (India) Private Limited (Rent Expenses); Kanwar Properties Private Limited (Rent Expenses); Oakleaf Probuilt LLP (Rent Expenses); Pasque Probuilt LLP (Rent Expenses); Mrs Meeta Dhingra (Rent Expenses); Mrs Vinu Dhingra (Rent Expenses); Mr Kuldip Singh Dhingra (Rent Expenses); Mr Gurbachan Singh Dhingra (Rent Expenses); Berger Paints Provident Fund (Covered) (Contribution to Provident Fund); BAICL Employees Gratuity Fund (Contribution to Gratuity Fund); Berger Paints Management Staff Superannuation Fund (Contribution to Superannuation Fund); BAICL Employees Superannuation Fund (Contribution to Superannuation Fund). Check whether they are large or growing.“Unsecured Loan Given Beepee Coatings Private Limited 5.90 7.03” “Unsecured Loan Repaid Beepee Coatings Private Limited 3.00 4.00” “Purchase of Goods (includes purchase of raw materials, packing materials and traded goods) U K Paints (India) Private Limited 152.55 139.51” “Purchase of Goods (includes purchase of raw materials, packing materials and traded goods) Seaward Packaging Private Limited 95.12 98.94” “Purchase of Goods (includes purchase of raw materials, packing materials and traded goods) STP Limited 26.91 21.86” “Processing Charges U K Paints (India) Private Limited 31.78 31.53” “Processing Charges Beepee Coatings Private Limited 40.31 38.90” “Rent Expenses U K Paints (India) Private Limited 1.32 1.23” “Rent Expenses Kanwar Properties Private Limited 0.76 0.72” “Rent Expenses Oakleaf Probuilt LLP 1.99 1.59” “Rent Expenses Pasque Probuilt LLP 0.34 0.33” “Rent Expenses Mrs Meeta Dhingra 0.08 0.08” “Rent Expenses Mrs Vinu Dhingra 0.08 0.08” “Rent Expenses Mr Kuldip Singh Dhingra 0.23 0.22” “Rent Expenses Mr Gurbachan Singh Dhingra 0.23 0.22” “Contribution to Provident Fund Berger Paints Provident Fund (Covered) 30.89 28.11” “Contribution to Gratuity Fund BAICL Employees Gratuity Fund 0.08 0.11” “Contribution to Superannuation Fund Berger Paints Management Staff Superannuation Fund 2.00 2.02” “Contribution to Superannuation Fund BAICL Employees Superannuation Fund 0.04 0.04”
MED
Related-party transactions: Monitor. Significant related-party transactions (loans, purchases, rent) with subsidiaries and KMPs, though disclosed transparently.“Unsecured Loan Given Beepee Coatings Private Limited 5.90 7.03” “Purchase of Goods (includes purchase of raw materials, packing materials and traded goods) U K Paints (India) Private Limited 152.55 139.51” “Purchase of Goods (includes purchase of raw materials, packing materials and traded goods) Seaward Packaging Private Limited 95.12 98.94” “Rent Expenses U K Paints (India) Private Limited 1.32 1.23” “Rent Expenses Oakleaf Probuilt LLP 1.99 1.59”
MED
Balance Sheet Strength: WEAKENING. Equity improving; Net D/E worsening; Working capital days worsening.
📣 Official Updates Since the Latest Results
Material announcements the company filed with the exchange after its latest results, in the company's own words. Checked 14 Oct 2026.
- 5 Oct 2026 · Updates — Berger Paints (I) Limited has informed the Exchange regarding 'Board Meeting Intimation'. Open filing ↗
- 8 Sep 2026 · Commencement of commercial production/operations — Berger Paints (I) Limited has informed the Exchange about Commencement of commercial production/operations Open filing ↗
- 31 Aug 2026 · Change in Director(s) — Berger Paints (I) Limited has informed the Exchange regarding Change in Director(s) of the company. Open filing ↗
- 24 Aug 2026 · General Updates — Berger Paints (I) Limited has informed the Exchange about General Updates Open filing ↗
- 12 Aug 2026 · Appointment — Berger Paints (I) Limited has informed the Exchange regarding Appointment of Mr Abhijit Roy as Managing Director & CEO of the company w.e.f. July 01, 2027. Open filing ↗
⚡ One Actionable Takeaway
ELIMINATE: PAT growth ≥ 20%: Latest FY PAT growth 1.7% is below 20%, and the forward-guidance override does not apply: the math does not reach 20%: explicit revenue growth guidance 8% (next year) with guided margins 16.1% in line with today's 16.2% = 8% PAT growth — move attention to stronger names in the sector.
🕳️ Data Gaps
These inputs were not found in the company's exchange filings, so the sections that need them say so instead of estimating:
- FY22 balance sheet is not in any Q4 results filing
- Annual P&L (Screener, before NSE filings), 14 Oct 2026 — Open filing ↗
- Earnings Call Transcript, 3 Sep 2026 — Open filing ↗
- Earnings Call Transcript, 18 Aug 2026 — Open filing ↗
- Financial Results (official XBRL), 13 Aug 2026 — Open filing ↗
- Financial Results (official XBRL), 13 Aug 2026 — Open filing ↗
- Financial Results (official XBRL), 12 Aug 2026 — Open filing ↗
- Financial Results (official XBRL), 11 Aug 2026 — Open filing ↗
- Earnings Call Transcript, 10 Aug 2026 — Open filing ↗
- Earnings Call Transcript, 6 Aug 2026 — Open filing ↗
- Financial Results (official XBRL), 5 Aug 2026 — Open filing ↗
- Financial Results (official XBRL), 3 Aug 2026 — Open filing ↗
- Earnings Call Transcript, 3 Aug 2026 — Open filing ↗
- Financial Results (official XBRL), 29 Jul 2026 — Open filing ↗
- Financial Results (official XBRL), 28 Jul 2026 — Open filing ↗
- Annual Report, 21 Jul 2026 — Open filing ↗
- Financial Results (official XBRL), 29 May 2026 — Open filing ↗
- Financial Results (official XBRL), 28 May 2026 — Open filing ↗
- Financial Results (official XBRL), 26 May 2026 — Open filing ↗
- Financial Results (official XBRL), 22 May 2026 — Open filing ↗
- Earnings Call Transcript, 16 May 2026 — Open filing ↗
- Earnings Call Transcript, 14 May 2026 — Open filing ↗
- Financial Results (official XBRL), 13 May 2026 — Open filing ↗
- Financial Results (official XBRL), 12 May 2026 — Open filing ↗
- Financial Results (official XBRL), 7 May 2026 — Open filing ↗
- Financial Results (official XBRL), 6 May 2026 — Open filing ↗
- Earnings Call Transcript, 10 Feb 2026 — Open filing ↗
- Financial Results (official XBRL), 5 Feb 2026 — Open filing ↗
- Earnings Call Transcript, 5 Nov 2025 — Open filing ↗
- Financial Results (official XBRL), 4 Nov 2025 — Open filing ↗
- Financial Results (official XBRL), 14 Aug 2025 — Open filing ↗
- Financial Results (official XBRL), 11 Aug 2025 — Open filing ↗
- Financial Results (official XBRL), 7 Aug 2025 — Open filing ↗
- Financial Results (official XBRL), 5 Aug 2025 — Open filing ↗
- Financial Results (official XBRL), 4 Aug 2025 — Open filing ↗
- Financial Results (official XBRL), 4 Aug 2025 — Open filing ↗
- Financial Results (official XBRL), 2 Aug 2025 — Open filing ↗
- Financial Results (official XBRL), 29 Jul 2025 — Open filing ↗
- Financial Results (official XBRL), 26 May 2025 — Open filing ↗
- Financial Results (official XBRL), 26 May 2025 — Open filing ↗
- Financial Results (official XBRL), 22 May 2025 — Open filing ↗
- Earnings Call Transcript, 20 May 2025 — Open filing ↗
- Financial Results (official XBRL), 14 May 2025 — Open filing ↗
- Financial Results (official XBRL), 14 May 2025 — Open filing ↗
- Financial Results (official XBRL), 8 May 2025 — Open filing ↗
- Financial Results (official XBRL), 8 May 2025 — Open filing ↗
- Financial Results (official XBRL), 6 May 2025 — Open filing ↗
- Financial Results (official XBRL), 11 Feb 2025 — Open filing ↗
- Financial Results (official XBRL), 5 Nov 2024 — Open filing ↗
- Financial Results (official XBRL), 9 Aug 2024 — Open filing ↗
- Financial Results (official XBRL), 23 May 2024 — Open filing ↗
- Financial Results (official XBRL), 18 May 2024 — Open filing ↗
- Financial Results (official XBRL), 18 May 2024 — Open filing ↗
- Financial Results (official XBRL), 16 May 2024 — Open filing ↗
- Financial Results (official XBRL), 15 May 2024 — Open filing ↗
- Financial Results (official XBRL), 9 May 2024 — Open filing ↗
- Financial Results (official XBRL), 7 May 2024 — Open filing ↗
- Financial Results (official XBRL), 4 May 2024 — Open filing ↗
- Financial Results (official XBRL), 6 Feb 2024 — Open filing ↗
- Financial Results (official XBRL), 2 Nov 2023 — Open filing ↗
- Financial Results (official XBRL), 15 May 2023 — Open filing ↗
- Financial Results (official XBRL), 26 May 2022 — Open filing ↗