Shares of Procter & Gamble Hygiene and Health Care declined on Thursday, November 12, as the company reported a weak set of earnings for the second quarter.
Its net profit, EBITDA and EBITDA margin were down compared to the same quarter last year, and its topline also saw a marginal decline from the base quarter.
For the September quarter, the company’s revenue stood at ₹1,145.1 crore, a drop of 0.4% from last year’s figure of ₹1,150 crore.
Net profit for the period declined by 6.7% to ₹195.8 crore, compared to ₹209.9 crore reported during the same quarter last year.
Earnings before interest, taxes, depreciation and amortization (EBITDA) declined by 8.8% to ₹260 crore from ₹285 crore in the prior fiscal. Its EBITDA margin contracted to 22.7% from 24.8% in the year-ago period.
The company’s managing director Kumar Venkatasubramanian said the firm continues to invest strategically in its brands, innovations and market capabilities even as the macro-economic landscape remains challenging.
“We continue to believe that our strategic priorities, combined with the strength of our brands and organizational capabilities, position us well to leverage future growth opportunities and create sustainable long-term value for our stakeholders,” he said.
He added that he is confident in the company’s integrated growth strategy of a focused product portfolio of daily use categories where performance drives brand choice, superiority, productivity, constructive disruption, and an agile and accountable organization, to deliver balanced growth and value creation.
Shares of Procter & Gamble Hygiene and Health Care are trading 1.1% lower on Thursday after the results announcement at ₹7,124.
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P&G Hygiene and Health Care Q2 results: Key parameters lower from last year, stock declines
