Berger Paints Jamaica Limited Annual General Meeting
At Berger Paints Jamaica Limited’s Annual General Meeting (AGM), Independent Director, Mike Fennell opened the meeting welcoming shareholders and the relevant persons on hand. Following the reading of the audit report, General Manager,Mr. Turra, spoke on the performance of the company after being introduced. Mr. Turra began his presentation by highlighting Berger had an amazing year in terms of growth in revenues and profits.
The following was highlighted within Mr. Turra’s presentation:
- Real GDP growth for 2016 was 1.1% while interest rates continued to trend downwards.
- Jamaica had its lowest inflation rate in 50 years during 2016.
- Government’s Tax revenue outperformed the Government’s budget projections.
- Against that economic backdrop the company saw an increase in sales of 15%. The company’s sales outperformed last year consistently throughout the year especially between the June to July period.
- Though Expenses increased, margins were reduced.
- Net Profit increased 158% over last year ending the year at $315.55 million.
Mr. Turra stated that the company performed well as a result of increased market share gained from its competitors due to aggressive sales and marketing initiatives. IT was leveraged which saw an increase in online orders being placed as the company continues to use technology to increase gains. The company also created a colour app to give customers a different platform to choose colours . The company created more options for its customers by increasing its colour line up. The company’s wood care line of products launched water and oil based paint in the 2016/17 financial year. New colour cards were also created for Magicote, the existing colours were also updated to include new vibrant shades along with colour combinations to assist customers with their choice. Additionally, there was also the transformation of the retail paint industry in Jamaica as the company opened 6 new Ezycolor centers in key hardware stores across the island. This has helped customers to choose the appropriate colour for their projects. Mr. Turra also highlighted a few projects undertaken by the company including a partnership with 138 Student Living Limited.
The General Manager also stated that the company continues to seek initiatives to minimize cost and it saw their venture into solar electricity which accounted for approximately ten per cent of their electricity usage. The company continues to serve the community through various initiatives and remains to be a major sponsor for netball in Jamaica. Mr Turra ended his presentation by providing praise to the Parade Gardens initiative which is a partnership with Paint Jamaica.
Mr Fennel then closed the presentation segment of the Annual General Meeting by congratulating the company on its performance for the year. Shareholders raised numerous questions regarding the Ansa Coating deal, however Mr. Fennell stated he couldn’t speak to that and the details surrounding the deal will be made public to all shareholders in the coming weeks.
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