20000223

Gillette

announces

7.5pc dividend

RECORDER REPORT

KARACHI: Gillette Pakistan has announced dividend of 7.5 percent as the operating profit of the company grew by 21 percent to Rs 65 million in 1999 as compared to last year .

The profit after taxation grew to Rs 60 million, an increase of 70 percent compared to 1998. Earnings per share jumped to Rs 3.14 per share against Rs 1.85 per share last year.

Despite difficult economic conditions Gillette Blue II, Gillette Sensor Excel and Gillette series Toiletries all performed strongly and were the major contributors towards the overall sales. During 1999 Gillette increased the investment in advertising and in-store displays along with expanding the distribution of all these products in retail substantially.

Mohammad Amin , chief executive Gillette Pakistan , said that increase in sales, has allowed us to pay the shareholders the first ever divided in Gillette Pakistan history. He further added, the improvement in sale mix and the reduction in cost yielded a higher growth in trading profit, which grew to Rs 198 million in 1999 from Rs 168 million in 1998. The trading profit margins jumped to 42 percent of sales as compared to 39 percent last year.

Gillette Pakistan Limited, is a subsidiary of the Gillette Co., founded in 1901, Gillette is the world's leader in male grooming, a category that includes, blades, razors, and shaving preparations. Gillette also holds the number one position worldwide in selected female grooming products such as wet shaving products and hair epilation devices. The company is the world's top seller of writing instruments and correction products toothbrushes and oral care appliances. In addition, the company is the world leader in alkaline batteries.