Procter & Gamble June quarter net up 21.37%

Procter & Gamble Hygiene and Healthcare registered a net profit of Rs 46.56 crore in the quarter ended June 30- up 21.37 per cent from Rs 38.36 crore in the year ago period.

However, net sales in the period was down 34.23 per cent to Rs 112.9 crore compared with Rs 171.66 crore in the corresponding period last year.

The company also reported its annual results for the year ended June 30, 2006. While net profit increased by 15.54 per cent to Rs 132.18 crore (Rs 114.40 crore in the previous year), net sales were down by 17.25 per cent to Rs 566.73 crore compared with Rs 684.92 crore last fiscal. The decline is attributed to the divestment of the detergent contract manufacturing business.

Core businesses such as feminine hygiene increased sales by 23 per cent, while the health care business grew by 17 per cent. During the year, P&G has increased its distribution with national rollouts for brands such as the value-priced Whisper Choice.

The company also managed to grow volumes through product variants and increasing pack size. Vicks cough drops, for instance grew by 31 per cent because of variants such as Asli Honey and P&G upsized Vicks Action 500 packs.

In view of the results, the company has recommended a 250 per cent dividend "� Rs 25 on each equity share. Bharat Patel, Chairman, PGHH said, "Our focus on innovations, marketing ,strong trade plans and expanded distribution have also helped us stay leaders in the categories we compete in."