P&G Hygiene and Health Care reports a decrease in profits
- Feb. 1, 2023
- FMCG HORECA BUSINESS
The increased cost of commodities and a slowdown in the wider fast-moving consumer goods (FMCG) industry in the nation contributed to the decline in profit that was recorded by India's Procter & Gamble Hygiene and Health Care Ltd on Tuesday for the company's second-quarter financial results. According to experts on Dalal Street, consumer demand for health and hygiene products has decreased since the COVID lockdown highs, and consumers are also turning away from major brands in favor of less expensive consumer goods as a response to rising expenses of living.
In recent quarters, FMCG companies such as Dabur India, which manufactures toothpaste, and Marico, which sells Parachute coconut oil, have suffered as a result of a decrease in demand in rural areas, which are only now starting to show signs of recovery. Procter & Gamble Hygiene and Health Care, meanwhile, said in a filing with the exchange that company operated "under a tough cost and operational environment."
For the three months that concluded on December 31st, the total costs incurred by the firm increased by about 7 percent to 8.65 billion rupees, while the profit decreased by roughly 2 percent to 2.07 billion Indian rupees ($25.33 million). As a result of general market weakness, the company's stock finished the month of January down about 3 percent. In the previous year, they decreased by around 6%.
The revenue generated from operations for Procter & Gamble Hygiene and Health Care increased by 4% during the quarter, reaching 11.37 billion rupees. This growth compares to approximately 7% growth in the same period a year earlier. Whisper is a brand of sanitary napkins, and Old Spice is a maker of aftershave. The corporation made an announcement about an interim dividend, which was set at 80 rupees for each equity share.