Gillette India gains on strong June quarter results

The stock surged 7% to Rs 5,198, extending its Friday's 6% gain on the BSE in early morning trade.

Gillette India has surged by 7% to Rs 5,198, extending Friday’s 6% gain on the BSE in early morning trades, after the company reported nearly two-fold jump in operating profit at Rs 52.72 crore for the fourth quarter ended June 30, 2015 (Q4). The personal products maker had posted operating profit of Rs 26.92 crore in a year-ago quarter.

Net profit during the quarter stood at Rs 72.83 crore against Rs 16.76 crore in the corresponding quarter of previous year, behind continues focus on productivity, operational excellence and cost optimization, Gillette India said in a press release.

The June quarter net profit includes one-time gain of Rs 63.69 crore on account of discontinuation facilitation income.
 

Driven by the company’s focus on brand fundamentals and strength of products portfolio, net sales increased to Rs 540 crore, up 13% versus last year, with robust growth across all segments, the company added.

Meanwhile, the board of directors of the company has recommended a dividend of Rs 15 per equity share for the financial year ended June 30, 2015.

At 09:30 AM, the stock was up 5% at Rs 5,093 on the BSE. A combined 8,248 shares changed hands on the counter on the BSE and NSE so far.