Sales are improving gradually as restrictions are withdrawn according to Berger Paints India Limited, the second largest paint company in the country with a consistent track record of being one of the fastest growing paint companies. 

   

The company has been able to resume production in all its plants after taking the necessary permissions from the government. However, the ramp up of production levels will be done gradually to allow for the inventory build up to be gradually reduced since April 2020 sales were extremely low. However, from the month of May there were signs of recovery.

 

The company's largest international operation in Poland has been relatively less affected by the lockdown measures compared to other European countries since the products are largely consumed on construction sites, which, by and large, have continued to operate. Lockdown measures continue in Nepal and the plants are yet to resume operations because of the higher inventory levels currently. 

 

Payments to painters and painting contractors have been upfront to the tune of Rs. 9.5 crore to support them in these difficult times. The company has also prioritized payments to its MSME vendors. The company has initiated safety measures in its Express Painting service keeping customers' health and well-being in view.

 

The company has initiated cost reduction and cash conservation measures to adjust to the new norms for business and is expected to come out of the pandemic and lockdown related challenges with improved efficiency and effectiveness in all aspects of the company's operations.

 

The company does not foresee any challenge currently, in recovering or realizing its assets. Given the fluid and dynamic nature of the business environment, the company is unable to gauge with any degree of certainty the ultimate impact of the pandemic on its future operations but is hopeful that it will be able to respond quickly to the changing business scenario and further consolidate its position in the market.