Date: 11th June, 2026

General Company Information

Corporate Identity: CIN L24202MH1920PLC000825, incorporated in 1920

Contact: Telephone 022-4060 2500/2501, Email investor@nerolac.com, Website www.nerolac.com

Financial Year: 1st April 2025 to 31st March 2026

Stock Exchanges: BSE Limited and NSE Limited

Paid-up Capital: ₹80.87 Crores

BRSR Contact Person: Mr. Jason S. Gonsalves, Director (Corporate Planning, IT, and Materials), Contact 022-4060 2500, Email jasongonsalves@nerolac.com

Reporting Basis: Standalone

Assurance Provider: Aneja Assurance Private Limited (Limited assurance)

Business Operations

Main Business Activity: Manufacture and supply of paints, varnishes, enamels, and lacquers (100% of turnover)

NIC Code: 20221 (100% of turnover)

Operational Footprint:

  • National: 10 plants (9 manufacturing + 1 R&D centre) + 121 offices (Head Office + 112 Depots + 8 RDCs) = 131 locations
  • International: 0 locations

Overseas Subsidiaries: KNP Japan Private Limited (Nepal), Kansai Nerolac Paints (Bangladesh) Limited (Bangladesh)

Domestic Subsidiary: Nerofix Private Limited

Export Contribution: 0.13% of total turnover

Customer Base: Serves residential, commercial, industrial, government, institutional, and retail segments with decorative and industrial paints, wood coatings, adhesives, and construction chemicals

Employee Statistics

Total Workforce: 10,241 (Employees: 5,367 + Workers: 4,874)

Employee Breakdown (Permanent):

  • Total: 3,096 (Male: 2,955, 95.45%; Female: 141, 4.55%)
  • Differently Abled: 2 (Male: 1, Female: 1)

Other than Permanent Employees:

  • Total: 2,271 (Male: 2,149, 94.63%; Female: 122, 5.37%)

Worker Breakdown (Permanent):

  • Total: 708 (Male: 706, 99.72%; Female: 2, 0.28%)

Other than Permanent Workers:

  • Total: 4,166 (Male: 4,079, 97.91%; Female: 87, 2.09%)

Turnover Rates (FY 2025-26):

  • Permanent Employees: Male 31.59%, Female 32.41%, Total 31.63%
  • Permanent Workers: Male 3.10%, Female 0.00%, Total 3.09%

Corporate Structure

Holding/Subsidiary Companies:

1. Kansai Paint Co., Ltd., Japan (Holding, 74.96% shares held)

2. KNP Japan Private Limited (Subsidiary, 68% shares held)

CSR Applicability: Yes under Section 135 of Companies Act, 2013

  • Turnover: ₹7,739.2 Crores
  • Net Worth: ₹6,695.7 Crores

Stakeholder Grievance Management

Complaints Received (FY 2025-26):

  • Communities: 0 complaints (0 pending)
  • Investors: 0 complaints (0 pending)
  • Shareholders: 8 complaints (0 pending)
  • Employees and Workers: 2 complaints (0 pending)
  • Customers: 8,427 complaints (10 pending) [*through CRM and ERP system]
  • Value Chain Partners: 0 complaints (0 pending)

Grievance Mechanisms:

  • Communities: Addressed through plant teams and local panchayats
  • Investors/Shareholders: investor@nerolac.com
  • Employees: Internal Complaints Committee and HR Business Partners
  • Customers: Helpline 1800-209-2092 and complaints@nerolac.com
  • Value Chain Partners: Supplier Code of Conduct

Material Responsibility Issues

1. Resource use: Water management (Risk) - Due to water stress in three manufacturing regions

2. Quality of life: Human rights (Opportunity) - Commitment against child/forced labor

3. Diversity: Inclusivity (Opportunity) - Equal employment opportunities

4. Governance (Opportunity) - High standards of corporate governance

Management and Process Disclosures

NGRBC Principle Coverage: All 9 principles covered with policies and procedures

  • Principles covered: Ethics, Product Responsibility, Human Resources, Stakeholder Responsiveness, Human Rights, Environmental Restoration, Public Policy, Inclusive Growth, Customer Engagement
  • Policy Webpage: https://www.nerolac.com/investors/policies.html

Certifications and Standards:

  • Quality Management: ISO 9001:2015
  • Safety Management: ISO 45001:2018
  • Environment Management: ISO 14001:2015
  • Energy Management: ISO 50001
  • Water Efficiency Management: ISO 46001

Governance Structure:

  • Director Statement: Highlights sustainability commitments including carbon reduction, resource efficiency, renewable energy investments
  • Highest Authority: Mr. Jason S. Gonsalves, Director (Corporate Planning, IT, and Materials)
  • ESG Committee: Provides strategic guidance and oversight of sustainability agenda
  • Review Process: Policies reviewed periodically by Department Heads, Directors, Board Committees, and Board Members

Financial and Operational Metrics

Accounts Payable Days:

  • FY 2025-26: 58 days
  • FY 2024-25: 57 days

Business Concentration (FY 2025-26):

  • Purchases from trading houses: 8.27% of total purchases (102 trading houses)
  • Top 10 trading houses: 73.19% of trading house purchases
  • Sales to dealers/distributors: 59.87% of total sales (35,232 dealers)
  • Top 10 dealers: 3.21% of dealer sales

Related Party Transactions (FY 2025-26):

  • Purchases with related parties: 0.31% of total purchases
  • Sales to related parties: 0.08% of total sales
  • Loans & advances to related parties: 44% of total loans & advances
  • Investments in related parties: 2.35% of total investments

Environmental Performance

Energy Consumption (FY 2025-26):

  • Total Energy: 5,35,445 GJ
  • Renewable: 2,49,112 GJ (46.5%)
  • Non-renewable: 2,86,333 GJ (53.5%)
  • Energy Intensity: 69 GJ/₹ Crores turnover, 1.40 GJ/KL

Water Management (FY 2025-26):

  • Total Water Withdrawal: 4,19,027 KL (Groundwater: 1,29,339 KL, Third-party: 2,89,688 KL)
  • Total Water Consumption: 4,42,006 KL
  • Water Intensity: 57 KL/₹ Crores turnover, 1.15 GJ/KL
  • Water Discharge: 739 KL (all sent to third-parties with treatment)
  • Zero Liquid Discharge: Implemented at key manufacturing facilities

Air Emissions (FY 2025-26):

  • NOx: 22 μg/m³
  • SOx: 15 μg/m³
  • PM 2.5: 33 μg/m³
  • PM 10: 64 μg/m³

Greenhouse Gas Emissions (FY 2025-26):

  • Scope 1: 8,961 TCO₂e
  • Scope 2: 34,227 TCO₂e
  • Total Intensity: 5.58 TCO₂e/₹ Crores turnover, 0.11 TCO₂e/KL
  • Reduction Target: 46.2% reduction in absolute Scope 1 and 2 emissions by FY 2029-30 vs FY 2018-19 baseline

Waste Management (FY 2025-26):

  • Total Waste Generated: 9,424 MT
  • Hazardous Waste: 5,908 MT
  • Non-hazardous Waste: 2,391 MT
  • Plastic Waste: 1,097 MT
  • Waste Recycled/Reused: 8,063 MT (85.6%)
  • Waste Disposed: 1,088 MT (11.5%)

Social Performance

Employee Well-being Coverage:

  • Health Insurance: 100% coverage for all employees and workers
  • Accident Insurance: 100% coverage
  • Maternity Benefits: 100% female coverage
  • Paternity Benefits: 100% male employee coverage
  • Day Care Facilities: 63.12% female employee coverage
  • Well-being Spending: 0.32% of total revenue

Retirement Benefits:

  • PF: 100% coverage for employees and workers, duly deposited
  • Gratuity: 100% coverage for employees and workers, duly deposited
  • ESI: 0.3% employees, 1.31% workers coverage, duly deposited

Workplace Accessibility: Compliant with Rights of Persons with Disabilities Act, 2016

Equal Opportunity Policy: https://www.nerolac.com/sites/default/files/uploads/Policies/code-of-conduct-on-affirmative-action-finalapproved-17-2-2021.pdf

Training and Development:

  • Safety Training: 35.72% employees, 100% workers
  • Skill Upgradation: 47.19% employees, 100% workers
  • Performance Reviews: 100% employees and workers
  • Human Rights Training: 42.93% permanent employees, 60.17% permanent workers

Safety Performance:

  • Lost Time Injury Frequency Rate: 0 for both employees and workers
  • Total Recordable Injuries: 0
  • Fatalities: 0
  • High Consequence Injuries: 0

Minimum Wage Compliance: 100% of permanent employees and workers paid above minimum wage

Remuneration Details:

  • Board of Directors: Median ₹63.93 lakhs (Male), ₹51.50 lakhs (Female)
  • KMP: Median ₹200.97 lakhs (Male only)
  • Other Employees: Median ₹9.63 lakhs (Male), ₹7.65 lakhs (Female)
  • Workers: Median ₹7.90 lakhs (Male), ₹5.55 lakhs (Female)
  • Female Wage Percentage: 3.37% of total wages

POSH Complaints:

  • FY 2025-26: 2 complaints (1.36% of female employees/workers), 2 upheld
  • FY 2024-25: 3 complaints (2.03% of female employees/workers), 3 upheld

Industry Affiliations

Trade Associations:

1. Bombay Chamber of Commerce (National)

2. Maharashtra Economic Development Council (State)

3. The Indian Paint Association (National)

4. Bombay Management Association (National)

5. Indian Chemical Council (National)

6. The Advertising Standards Council of India (National)

7. Paint India (National)

8. Employers Federation of India (National)

9. FICCI (National)

CSR Initiatives

Focus Areas:

  • Livelihood and Skill Enhancement
  • Promoting Education
  • Rural/Community Development
  • Preventive Healthcare and Sanitation
  • Environmental Sustainability

Aspirational District Spending: Detailed spending across 39 districts in multiple states totaling approximately ₹92.96 lakhs (estimated)

Consumer Engagement

Product Information: 100% of products carry environmental/social parameters, safe usage, and recycling/disposal information

Consumer Complaints: 8,427 complaints received in FY 2025-26 (10 pending)

Data Privacy: Framework/policy available at https://www.nerolac.com/investors/policies.html

Data Breaches: 0 instances

Product Recalls: 0 instances

No Material Disclosures Under:

  • Dividend Declaration
  • Financial Results
  • KMP/Board/Auditor Changes
  • Fundraising/ESOPs
  • M&A/Strategic Actions
  • Auditor's Report
  • Media Release/Investor Communication