P&G India net dips 29% on lower sales volumes

Procter & Gamble Hygiene and Health Care Ltd, a unit of the world’s largest consumer packaged goods maker, reported a 28.6% decline in June quarter profit to ₹78.04 crore due to disruptions related to the implementation of the goods and services tax (GST).

Sales volume for the quarter fell 6% from a year earlier. Revenue from operations for the quarter declined 5.7% to ₹529.94 crore.

The company blamed the government’s November 2016 decision to ban high-value bank notes along with GST-led de-stocking in June for its poor performance.

“The company delivered sales of ₹2,419 crore, up 3% full year ending June 2017 versus last year despite challenges of liquidity crunch in the second quarter and trade destocking ahead of GST in the fourth quarter,” the company said in a statement. “The company responded to these challenges with agility and continued to strengthen brand fundamentals.” P&G in India follows the June to July fiscal year.

Net profit for the year ended June rose 2.4% to ₹432.73 crore.

PGHH’s major products include sanitary napkins brand Whisper and topical ointment Vicks VapoRub, along with hair care brand Pantene and oral care brand Oral B.

PGHH recommended dividend of ₹27 per share for the year ended June 30. Portrait of Mahatma Gandhi Guarantee Clause, Governor’s signature with Promise Clause and the RBI emblem towards the right of Mahatma Gandhi portrait Swachh Bharat logo with slogan Number panel with numerals growing from small to big on the top left side and bottom right side Motif of Sanchi Stupa