GlaxoSmithKline Consumer Healthcare Limited, today declared its financial results for the second quarter ended September 30, 2019. The company delivered a strong quarter with 6% revenue growth and 25% PAT growth,whereas the Revenue growth at 6%, PBT growth at 6%. The quarter reported revenue of 1,345 crores, while the PBT is at 452 crores, which is an increase by 6% compared to last quarter.
Commenting on the results, Navneet Saluja, Managing Director, GlaxoSmithKline Consumer Healthcare Limited said, “We delivered a strong quarter and increased our volume market share to 65.7%. This is a result of our clear focus on strengthening our high-science portfolio and launching innovative products in new consumer spaces, like Active Horlicks for adults. Boost and Horlicks continues to gain significant shares on the back of a strong execution strategy that witnessed an increase in distribution reach to 2.05 Mn outlets. We continue to drive brand building initiatives through stepped up investments in our brands, innovations and consumer-connect activities.”
- Domestic business grew by 7% on the back of strong performance by Horlicks and Boost; Horlicks Protein continues to gain momentum in the market
- Health food drink portfolio continues to be the market leader with 65.7% volume share and 55.4% value share
- Launch of Active Horlicks in the South & East has seen encouraging response from consumers
- Horlicks Swasthya Abhiyan extended to newer villages, covering a total of 8600 villages including rural markets
- ‘Boost Sports Meet’ expanded to 1400 villages across TN and AP, driving the message of structured play at schools and bringing alive the winning spirit in kids.
Update on strategic review:
- On 03 December 2018, the company announced the divestment of Horlicks and other consumer healthcare nutrition brands to Unilever plc (“Unilever”) and the merger of GSK Consumer Healthcare Limited (“GSK India”) with Hindustan Unilever Limited (“HUL”)
- On 23 January 2019, the merger deal with Hindustan Unilever Limited (HUL) was approved by the Competition Commission of India (CCI)
- Subsequent to the approval from CCI, we have received a ‘No Objection letter’ from the stock exchange on 18 February, 2019
- The Scheme of Amalgamation with respective National Company Law Tribunals(“NCLT”) has been filed at Mumbai and Chandigarh
- Pursuant to the order passed by the NCLT, the company convened meetings with the Equity Shareholders and Unsecured Creditors where the resolution for the scheme was approved with requisite majority. The Company has now filed the requisite Company Scheme Petition seeking sanction of the NCLT.
- The merger is now subject to the receipt of other requisite statutory and regulatory approvals under applicable laws