Gillette India profit jumps on demand for grooming products

Jan 29 (Reuters) - Gillette India's GILE.NS third-quarter profit jumped about 37% on Thursday, as demand stayed robust for its staple men's grooming products, including shaving razors and creams.

The company, a unit of U.S. consumer goods major Procter & Gamble PG.N, posted a profit of 1.72 billion rupees ($18.70 million), compared to 1.26 billion rupees a year ago.

Demand for men's grooming products is driven by urbanisation, rising incomes and a young population that considers such items as low‑ticket daily essentials.

Shares of Gillette India, also home to Oral-B, Venus and Braun brands, were up around 5% after the results.

The grooming segment revenue, which accounts for more than 80% of the company's total revenue, increased about 13% to 6.47 billion rupees during the reported quarter, while its smaller oral care segment rose 24%.

The company's total revenue from operations climbed 15% to 7.9 billion rupees.

Facing competition from Bombay Shaving Company in razors and Philips in trimmers, Gillette India has broadened its portfolio aimed at varied facial-hair preferences, alongside products targeted at women.

Gillette India said it did not see a material impact after India notified new labour codes, the country's biggest overhaul of workers' laws in decades, adding that its current salary structure is in line with the requirements.

Last week, its parent's second-quarter revenue fell slightly short of Wall Street expectations as weak spending by U.S. consumers and the hit from a government shutdown offset stronger growth globally.

($1 = 91.9625 Indian rupees)