P&G’s quarterly ad spends down 50%

Procter & Gamble (P&G) Hygiene and Health Care has announced its financial results for the fiscal and quarter ended June 30, 2022. 

In the BSE filing, the company said its advertising & promotion expenses declined by 9.8% to Rs 471.24 crore against Rs 522.48 crore for the previous year ended on June 30, 2021. 

The company further said that despite unprecedented headwinds from macroeconomic challenges and softening consumption trends, it delivered a resilient performance in the fiscal with sales of Rs 3,901 crore, up 9% versus a year ago. Profit After Tax (PAT) was ₹576 crore, down 12% versus a year ago. 

For the quarter ended June 30, 2022, the company delivered sales of Rs 776 crore, down 1% versus Rs 786.59 crore. PAT was Rs 43 crore, down 13% versus a year ago largely behind commodity cost inflation. The company's advertising and promotion expenses declined by 50.07% to Rs 96.92 crore against Rs 194.13 crore for the previous three months ended June 30,2021.

LV Vaidyanathan, Managing Director, Procter & Gamble Hygiene and Health Care Ltd., 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. The execution of our integrated strategies of a strong portfolio, superiority, productivity, constructive disruption, and an agile and accountable organization structure, has empowered us to deliver these consistent results. Our strategy is fueled by balancing innovation and industry-leading practices, while driving productivity in everything we do.” 

He further added, “While the unprecedented market challenges and uncertainties remain in the near-term, we will continue to stay focused on our strategy of driving superiority and productivity and enabled by the strength of our organization and culture, to deliver balanced growth and value creation.”