Berger Paints Nigeria
Berger Paints Nigeria Plc recorded revenue of ₦10.01 billion in the nine months ended September 30, 2026, representing a 7.4% increase from the ₦9.32 billion reported in the corresponding period of 2025.
The company’s unaudited third-quarter financial statements also showed a 12.4% increase in profit after tax to ₦1.09 billion, compared with ₦968.01 million a year earlier. Profit before tax rose by 14.8% to ₦1.68 billion from ₦1.46 billion.
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The results indicate improved profitability during the period, with stronger gross margins helping the manufacturer offset some of the pressure from higher operating expenses.
Gross Profit Improves as Production Costs Decline
Berger Paints’ gross profit increased by 26.6% to ₦5.22 billion, up from ₦4.12 billion in the corresponding nine-month period of 2025.
The improvement followed a 7.8% decline in cost of sales to ₦4.79 billion from ₦5.19 billion, despite the increase in revenue. Consequently, the company’s gross profit margin rose to approximately 52.1%, compared with 44.2% a year earlier.
However, higher administrative expenses limited the impact of the improved gross margin on operating performance. Administrative costs increased by 60.5% to ₦3.46 billion from ₦2.16 billion.
Selling and distribution expenses declined by 43% to ₦330.04 million from ₦579.41 million, providing some relief. Nevertheless, operating profit grew by a more modest 5.3% to ₦1.52 billion, compared with ₦1.44 billion in the corresponding period.
Profit Growth Supported by Finance Income
Finance income increased to ₦223.30 million from ₦59.30 million, while finance costs rose to ₦59.91 million from ₦35.90 million.
This produced net finance income of ₦163.39 million, compared with ₦23.40 million in the same period of 2025, contributing to the increase in profit before tax.
The company’s income tax expense also increased by 19.5% to ₦593.41 million from ₦496.44 million. This limited the growth in profit after tax to 12.4%, with earnings reaching ₦1.09 billion.
Berger Paints Declares 50-Kobo Interim Dividend
Alongside its financial results, Berger Paints declared an interim dividend of 50 kobo per ordinary share for the nine months ended September 30, 2026.
The dividend amounts to approximately ₦144.91 million and is subject to withholding tax. The qualification date is November 12, 2026, while payment is scheduled for November 20, 2026.
Eligible shareholders who have completed their e-dividend registration will receive payment electronically.
Implications for Nigeria’s Building Materials Market
Berger Paints’ performance provides an indication of developments within Nigeria’s paint and coatings segment, an important part of the wider construction and building materials supply chain.
The increase in revenue suggests that the company generated higher sales during the period, while the improvement in gross profit points to better cost management or production economics. However, the financial statements do not establish whether the revenue growth resulted from higher sales volumes, price adjustments or a combination of both.
For property developers and construction professionals, the performance of local building materials manufacturers remains relevant to project costs, procurement decisions and the availability of locally produced finishing materials.
The company’s rising administrative expenses also highlight the importance of managing overhead costs as manufacturers operate in a challenging business environment.
Berger Paints’ nine-month results therefore reflect improved gross profitability and higher earnings, although the slower growth in operating profit shows that cost pressures beyond production remain an important consideration.
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