Berger Paints India · tone and specificity signals across the available quarters.
Language signals
We expect that Q2 revenue growth might be slightly ahead of Q1 revenue growth, the volume growth will be somewhere around similar levels as Q1, slightly below maybe, around 7.5% to 8% approximately, and a price increase which is there of around 7.5% to 8.5% possible.
The decorative performance was supported by calibrated price increases implemented through the quarter. Gross margin moderated marginally primarily due to delayed and partial pass through of input cost increases in industrial business.
The competition remains intense. As a challenger brand, they have raised their prices, dealer price list has now been equated to industry at large, but the rebating to some of the bigger dealers has gone up. So overall, the intensity has reduced but it still remains at an elevated level.
October was negative, November slightly positive, December more positive, January slightly more positive than December. So it's improving month on month.
The mix change will be probably about 3 to 3.5% on account of low value high volume products selling much more... about 2 to 2.5% were on account of direct price drops.
We are on par with almost our market share. The player that you spoke about is much in excess of the market share that they hold. That's their entry strategy which they don't have to worry about their profitability. We do.
We are slightly boring but consistent.
The new entrant actually spent far far beyond their market share. That's something which is their choice.
We have not seen this type of increase of 12-13% but we have definitely seen 7-8% price increases at least four-five times earlier.