Gillette India saw a nearly 4% decline in third-quarter profits due to intense competition in the domestic market, which subdued demand.
Gillette India, renowned for its Mach 3 line of shaving razors, disclosed a profit of 990.9 million rupees ($11.9 million) for the January-March quarter, marking a decrease from 1.03 billion rupees reported in the previous year.
Consumer goods manufacturers are encountering heightened competition from smaller producers, who, benefiting from declining commodity prices, are better positioned to secure shelf space.
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Revenue from Gillette’s primary grooming segment, constituting 82% of the total, surged by almost 14% to reach 5.58 billion rupees, accompanied by a 6.3% decrease in the cost of raw materials utilized.
In April, Procter & Gamble Co, the parent company and consumer goods behemoth, revised its annual core profit forecast upwards, attributing the increase to price hikes and steadfast demand.
Gillette India’s shares dipped 0.8% ahead of the results, whereas they rose 1.2% in the March quarter, compared with a 5.3% fall in the Nifty FMCG index.
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