Berger Paints Jamaica Limited (BPJL) is making strides to retool, even in the face of unforeseen challenges, said directors in the company’s annual report – released on July 14, 2020.
The company indicated that 2020 strategies are built around developing new routes to market, building on relationships with key dealers, and enhancing partnerships with the Master Builders Association, the Jamaica Institute of Architects and the Jamaican Hotel Industry.
BPJL will also be adding new products to further bolster coating products. The company currently manufactures and distributes decorative, industrial and wood coatings, paint-related material and is a distributor of Automotive coatings.
The Automotive Channel also remains a key area of focus and.
It is a subsidiary of Ansa Coatings International Limited whose ultimate parent company is ANSA McAL Limited.
Berger says in its annual report that it has also secured its Public Procurement Certification, needed for bidding on Government projects, which “is an advantage over the competition.”
Berger Paints ended 2019 BPJL recorded revenues of $2.53 billion for the period under review (2019: $2.71 billion).
After-tax profit for the 2019 Financial Year suffered a significant decline to $29.3 million, compared to the $173.6 million, with the company citing devaluation and road works in Kingston as impediments.
2020 began positively, the report states. However, the March quarter report indicates that as the COVID-19 pandemic ensued, market activity fell by 39 per cent resulting in revenue of $509 million for the quarter ended March 31, 2020.
With increased costs associated with long term strategies, BPJL reported a loss before taxation of J$41.9 million compared for March quarter, compared to profit of $5.2 million earned in the comparative quarter.
Directors state in the quarter’s report, “As we navigate these trying times, our management will continue to protect our people, support our communities, and strengthen our finances as we continuously seek innovative and new ways of doing business.”
Adam N. Sabga company chairman, said in the annual report, that the company has used the challenges experienced in 2019 to improve operations and re-evaluate route to market.
He stated, “Sales practices, processes, and to some extent, the company’s organisational structure, have all been reviewed to position the company for growth and to better prepare for unforeseen external factors that may arise.”
Sagba added, “With the planned strategic foundations now in place, and revenue initiatives and cost efficiencies aggressively being pursued, we are confident that Berger Paints Jamaica Ltd is poised for positive transformational performance in 2020.”
Sagba said with the global pandemic of COVID-19, it is projected that there will be an impact on the sales.
However, he concluded, “We expect that by 2021, these strategic foundations laid and revenue initiatives implemented will pay dividends and result in a better alignment of our sector teams and overall business transformational performance in 2020 and future years.