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Berger Paints reports a 28% decrease in net profits

Date: March 04, 2019

BRG reported year end revenue of $2.71 billion relative to 2.36 Billion in 2017 a 15% increase year over year.

The company’s total expenses totaled $2.50 billion up 18% relative to the $2.12 million reported in 2017. Of total expenses:

Raw materials and consumables used rose 23% to close at $1.38 billion relative to $1.12 billion incurred for the 12 months ended December 2017.

Manufacturing expenses increased 3% to close at $132. 60 million (2017: 129.29 million).

Depreciation expense closed the year end at $40.81 million (2017: $26.50 million).

Employee benefits expense increased 9% to $530.39 million (2017: $487.99 million).

Other operating expenses amounted to $450.23 million (2017: $349.82 million).

Other income declined for the year to $818,000 versus $14.90 million twelve months earlier.

Profit before taxes fell by 16% amounting to $212.16 million relative to the $253.81 million earned in 2017.

After taxation of $38.61 million (2017: $13.98 million), net profit for the period totaled $173.55 million a decrease of 28% relative to the $239.83 million reported in 2017.

Earnings per share for the year amounted to $0.81 (2017: $1.12). The stock price close the trading period on  March 1, 2019 at a price of $19.57.

 

Balance Sheet at a glance:

Total Assets increased by 15% or $245.42 million to close at $1.93 billion as at December 31, 2018 from $1.68 billion the year prior. The movement was due to an increase in ‘Cash and Bank Balances’ and ‘Inventories’ which closed at $353.80 million (2017: $232 million) and $472 million (2017: 408.73 million).

Equity attributable to stockholders of the company as at December 31, 2018 stood at $1.14 billion (2017: $1.06 billion) resulting in book value per share of $5.32 (2017: $4.93).

Analyst Certification -The views expressed in this research report accurately reflect the personal views of Mayberry Investments Limited Research Department about those issuer (s) or securities as at the date of this report. Each research analyst (s) also certify that no part of their compensation was, is, or will be, directly or indirectly, related to the specific recommendation (s) or view (s) expressed by that research analyst in this research report.

Company Disclosure -The information contained herein has been obtained from sources believed to be reliable, however its accuracy and completeness cannot be guaranteed. You are hereby notified that any disclosure, copying, distribution or taking any action in reliance on the contents of this information is strictly prohibited and may be unlawful. Mayberry may effect transactions or have positions in securities mentioned herein. In addition, employees of Mayberry may have positions and effect transactions in the securities mentioned herein.

 

 

2019-03-04T21:00:22-05:00