The Hindu Business Line : Gillette Q2 net down 7.85 pc

NEW DELHI: Gillette India posted 7.85 per cent lower net profit at Rs 17.6 crore for the second quarter ended June 30, 2005 even as net sales were up 12 per cent to Rs 112.1 crore. Net sales of continuing business grew 16 per cent to Rs 111.9 crore, the company said in a statement here.

During the quarter under review, the company's marketing spend was increased by 58.5 per cent to Rs 16.9 crore and has been cited as the main reason for the lower net profit during the quarter.

For the six months ended June 30, 2005, the company posted 11.2 per cent lower net profit at Rs 34.44 crore on 8.65 per cent growth in net sales at Rs 219.64 crore.

Gillette's domestic grooming business grew by 18 per cent during Q2, with the company launching Gillette Mach3 Turbo Champion, the next generation triple-blade system last month, along with an improved Gillette Vector Plus. The company's oral care business recorded a value growth of 4.3 per cent. In the personal care category, the company witnessed 21 per cent growth during the quarter under review.

The Gillette India scrip closed Rs 16 lower at Rs 701 on the Bombay Stock Exchange on Monday.

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