GlaxoSmithkline Consumer Healthcare Quarter results- Q4 2013

Press Release
New Delhi, February 05, 2014
    

GlaxoSmithKline Consumer Healthcare Ltd records high growth for the quarter ended December 31, 2013

Financial Highlights:

  • Sales up by 18%

  • Profits up by 15%

  • Analytics based shopper & consumer insights help drive the access agenda to reach out to more people with products at affordable price points

Overview________________________________________________________________________________

GlaxoSmithKline Consumer Healthcare Limited today declared its financial results for the quarter ended December 31, 2013. Net sales at Rs 839 crores recorded a growth of 18% over 2012 with PAT at Rs. 80 crores growing by 15% for the same period and PBT at Rs 121 crores growing by 17%.

Commenting on the results, Mr. Zubair Ahmed, Managing Director, GlaxoSmithKline Consumer Healthcare Limited said, “We are delighted to deliver another quarter of continued high growth despite the slowdown witnessed by the industry. The increase in sales has been achieved through our continuous commitment towards science & innovation which keeps our product portfolio relevant to changing consumer needs. Our robust Access strategy further ensures that our products are available across urban and rural markets, in convenient and affordable pack sizes to help more people, to do more, feel better and live longer. Our profitability continues to grow, quarter on quarter, on the back of value engineering initiatives. Our brand health remains enviable as we connect with our consumers and shoppers through some deep insights.”

India Performance
Another quarter of strong double digit profitable growth was driven by efficient management of costs, consumer and channel contact programmes and opening up of newer geographies across the country.

Q4 - Strategic Priority

Dial up science to ensure relevance of product portfolio

Providing nutrition through single serve low unit price packs

Accessing new consumers in rural and in Emerging Consumer Class in Urban India

Insight based communication and customer contact programme

Simplify Operating model.

Highlights Health Food Drink
Health drink portfolio continues to be a market leader with 58.6% (Value sales) and 65.1% (Volume share) – (MAT December, 2013). Its closest competitor have market share of 15.0% (Value Market Share) and 12.6% (Volume Market Share) – (MAT December, 13).

New Variant of Horlicks Kesar Badam launched in modern trade channel

Junior Horlicks launches new ‘Annaprashan’ TVC with the brand message of “choose the right first HFD for your child’ and ‘Junior Horlicks provides balanced nutrition with DHA.’

Launch of Junior Horlicks special edition ‘Jingle’ pack in elephant (stage 1) and lion (stage 2) shaped bottle encouraged uptakes.

Women’s Horlicks launches a differentiated positioning for the brand through our thematic communication on the bone health platform.

Lite Horlicks available with a change in positioning from “Strength & Stamina” to “Managing the impact of Stress on the body”.

Foods
Growth of portfolio for biscuits with introduction of Boost NRG biscuits
Horlicks Oats Savory flavours inroads in North & West.

About GlaxoSmithKline Consumer Healthcare Ltd
GSK Consumer Healthcare is a subsidiary of GlaxoSmithKline plc. of U.K, a global science based healthcare company. GSK Consumer Healthcare has continually benefited from the technical and marketing inputs that have been available as a consequence of this association. GSK Consumer Healthcare is the largest player in the health food drinks industry. The Company with its manufacturing plants located in Nabha, Rajahmundry and Sonepat has a total workforce of about 3475 people.

GSK Consumer Healthcare has a strong marketing and distribution network in India comprising over 700 distributors and a direct coverage of over 8 lakh retail outlets. Its flagship product, Horlicks, is a widely regarded and highly respected brand for over 100 years. GSK also manufactures and markets Boost, Viva and Maltova and in additional markets. GSK also distributes a number of products in diverse categories, which include prominent names such as Eno, Crocin and Iodex as well as products from the global portfolio like Parodontax and Sensodyne.

Media Contacts ______________________________________________________
Genesis Burson Marsteller

Rikhil Seth: rikhil.seth@bm.com/ +91 9811818270

Sakshi Mathur: sakshi.mathur@bm.com/ +91 9999007585

Kuheli Ray: kuheli.ray@bm.com/ +919999783541
 
GlaxoSmithKline Consumer Healthcare

Deepa Dey: deepa.d.dey@gsk.com