FMCG products maker Procter & Gamble Hygiene and Health Care Ltd on Tuesday reported a 13.12 per cent decline in Profit After Tax (PAT) at ₹42.55 crore during the fourth quarter ended June 30, on account of rising commodity costs.

The company, which follows the July-June financial year, had reported a PAT of ₹48.98 crore in the corresponding quarter of the previous fiscal.

Its revenue from sale of products was down 3.8 per cent to ₹755.65 crore during the quarter under review, as against ₹785.58 crore of the corresponding quarter, Procter & Gamble Hygiene and Health Care Ltd (PGHH) said in a regulatory filing.

Decline in profit

The company, which owns popular brands such as Vicks in healthcare and Whisper in feminine care - said the decline in profit was largely due to "commodity cost inflation".

"For the quarter, both feminine care and healthcare businesses continue to grow and maintain category leadership," said an earning statement from the FMCG company.

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The company's total expense was at ₹724.31 crore in the April-June quarter, down marginally as against ₹725.06 crore.

For its financial year ended on June 30, 2022, PGHH's PAT was down 11.66 per cent at ₹575.75 crore. It was ₹651.79 crore a year before.

The decline in profit was due to "commodities inflation which was significantly countered by cost productivity and pricing in the current year," the company said.

Unprecedented headwinds

It also added: "Compared to the fiscal two years ago, the company's sales are up 30 per cent and PAT is up 33 per cent."

However, its sales were up 6.22 per cent to ₹3,792.45 crore for the fiscal ended on June 30, 2022. It was at ₹3,570.24 crore a year before that.

Commenting on the results PGHH Managing Director LV Vaidyanathan said the operating environment continues to be marked by unprecedented headwinds and commodity fluctuations.

"Despite these challenges, we remain resilient, agile, and committed to serve Indian consumers, delivering sequential sales growth this year," he said.

PGHH board has also recommended a final dividend of ₹65 per equity share for a share having a face value of ₹10 each.

A new appointment

Meanwhile, in a separate filing PGHH said its board in a meeting held on Tuesday has appointed Gurcharan Das as Non-Executive Independent Director of the company, for a period of five years, with effect from September 1, 2022.

"The said appointment is subject to approval of the shareholders of the company," it said.

Das is the former CEO of Procter & Gamble India and later Managing Director, Procter & Gamble Worldwide (strategic planning). In 1995, he took early retirement to become a full-time writer.

Shares of Procter & Gamble Hygiene and Health Care Ltd on Tuesday closed at ₹14,337.30 on BSE, down 1.78 per cent from the previous close.

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