Marginal Decline in Revenue: Berger Paints Plc. (BERGER) started the year on a weak note as its Q1:2019 revenue declined marginally by 1.08% YoY to NGN797.62mn (vs. NGN806.33mn in Q1:2018) and by 13.66% QoQ. The marginal reduction was the effect of 3.03% decline in sales of paints and allied products to NGN781.94mn. Although, it made additional NGN15.68mn in contract services, specifically, supply and apply services contract, the contribution to total revenue is paltry at 2.01%.
We believe that higher infrastructural spending, further deepening of real estate sector, and the recent change in management team with respect to the Managing Director and Chief Operating Officer will help position BERGER to achieve a modest revenue growth in 2019. We forecasted a revenue growth of 6.5% to NGN3.59bn for the year. Kindly find attached the full report.
Earnings Update- BERGER: Q1 2019.
Marginal Decline in Revenue: Berger Paints Plc. (BERGER) started the year on a weak note as its Q1:2019 revenue declined marginally by 1.08% YoY to NGN797.62mn (vs. NGN806.33mn in Q1:2018) and by 13.66% QoQ. The marginal reduction was the effect of 3.03% decline in sales of paints and allied products to NGN781.94mn. Although, it made additional NGN15.68mn in contract services, specifically, supply and apply services contract, the contribution to total revenue is paltry at 2.01%.
We believe that higher infrastructural spending, further deepening of real estate sector, and the recent change in management team with respect to the Managing Director and Chief Operating Officer will help position BERGER to achieve a modest revenue growth in 2019. We forecasted a revenue growth of 6.5% to NGN3.59bn for the year. Kindly find attached the full report.