FMCG player Gillette India today posted a 50 per cent decline in profit after tax (PAT) to Rs 19 crore for the quarter ended June 30, 2010.
The company, which sells razors and shaving products, had registered a PAT of Rs 38 crore in the corresponding quarter last fiscal, Gillette said in a statement.
Gillette attributed the decline in profit "to significant marketing investments in the Blades and Razors segment and trade investments".
However, for the year ended June 30, 2010, the company's PAT increased to Rs 137 crore from Rs 113 crore in the year-ago period.
The company said its board has recommended a dividend of Rs 15 per share for the year ended June 30, 2010, subject to the approval of shareholders at its Annual General Meeting.
During the quarter, the company's net sales grew by 37 per cent to Rs 252 crore from Rs 184 crore in the corresponding period last year.
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The company's net sales stood at Rs 852 crore during the year ended June 30, 2010, as against Rs 662 crore in the previous year.
"During the year, there has been a steady increase in the demand for our grooming and oral care products, which is the result of innovative technologies to upgrade our consumers to better value and quality products...," GIL Managing Director Shantanu Khosla said.