Review

PROCTER & GAMBLE HEALTH 

Ticker : 500126
FV : Rs 10
52-Week H/L : Rs 5120.80/2927.80

We had recommended Procter & Gamble Health in volume no. 36, issue no. 25 (dated April 13, 2020), when the scrip was trading at Rs 4,442.85. Procter & Gamble Health Limited is engaged in the manufacturing and marketing of pharmaceuticals, bulk drugs, fine chemicals and pigments. The stock was previously recommended based on the increasing demand for healthcare products. On a standalone quarterly front, the company reported net sales of Rs 236.77 crore in Q4CY19, an increase of 15.84 per cent over Rs 204.39 crore recorded in Q4CY18. Operating profit for Q4CY19 was Rs 55.08 crore, increasing by 144.58 per cent from Rs 22.52 crore reported in the corresponding quarter for the previous fiscal year. Net profit saw degrowth of 94.66 per cent to Rs 38.21 crore in Q4CY19, from Rs 715.34 crore in Q4CY18. The healthcare sector has been able to benefit from the pandemic and the company is expected to witness a positive growth in the future. Hence, we recommend HOLD.