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Gillette Q3

This article was originally published in The Rose Sheet

Executive Summary

Blades and razors division net sales grew 7.8% to $1.1 bil. in the quarter, and profit from operations increased 5.1% to $434 mil., driven by the rollout of M3Power shaving system in the UK, Germany and Japan, as well as trade up in developing regions, Gillette reports during Oct. 28 analyst call. Firm's oral care division also benefited from new product launches, including Oral B Rembrandt whitening strips and pen, with sales up 27.4% to $418 mil.; however, profit from operations fell 3.1% to $62 mil. Personal care segment sales grew 7.2% to $253 mil., and profit from operations jumped 30.8% to $34 mil. Gillette spent heavily on advertising, up 45% in the quarter to 11.8% of sales, reflecting investment behind new product programs and effort to promote higher consumption and trade up in developing markets, firm notes. Net sales increased 11.9% to $2.7 bil., and net income grew 14.2% to $475 mil...

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