Berger Paints (BRGR IN) Hold: Steady Q4 but uncertainties remain

Research evidence excerpt

Berger Paints (BRGR IN) Hold: Steady Q4 but uncertainties remain

nt commentary: 1) Outlook: Management

refrained from giving FY27 volume growth guidance; competitive intensity is elevated 505.00

but more stable, revenue growth will accelerate in FY27, and fewer monsoon days in 380.00

05/25 11/25 05/26

FY27 are positives, but uncertainties remain in the form of demand destruction from Target price: 480.00

price hikes and El Nino weather conditions. 2) The company is over-indexed to West High: 600.15 Low: 404.50 Current: 488.10

Source: LSEG IBES, HSBC estimates

Bengal state (WB) with double-digit salience on revenues and two manufacturing

plants, too. FY26 was a weak year of demand for WB, and the company now expects

Pratik Gothi*

significant growth in FY27 on the back of improving state macros and higher infra Analyst, India Consumer & Retail

investments, thus aiding their growth as well. 3) Price hikes by the new competitor HSBC Securities and Capital Markets (India) Private Limited

have been higher than those of the incumbents, so its prices are broadly similar to pratik.gothi@hsbc.co.in

+91 80 6737 3929

those of incumbents now. The competitor’s dealer incentives and incentives to

painters have also gone down. These actions indicate that they are attempting to Nihal Mahesh Jham*, CFA Senior Analyst, India Consumer & Retail

achieve profitability, which could impact their sales volumes and growth. While the HSBC Securities and Capital Markets (India) Private

Limited

competitor saw strong growth in March 2026 on account of its quarterly and annual nihal.m.jham@hsbc.co.in

incentives, monthly sales were broadly stable for 5-6 months before that. +91 22 66283771

Nupur Vyas*