Yes,
Via Motilal Oswal’s initiating Coverage report
In P&G Hygiene, I’m confident about the Sanitary Napkin business but not sure about Vicks & Old Spice.
The problem with P&G India’s different listed businesses is that there are uncomfortable overlaps between them, so the Parent maybe willing to tame aggression in some to avoid cannibalization.
For example, Old Spice in P&G Hygiene & Gillette in Gillette India are both male grooming brands, and so P&G can’t go all out to expand these two brands. AFAIK, Old Spice is now present in After Shave & Deodorant & Perfume section and Gillette in other male grooming sections. This essentially reduces the applicable market size of both.
P&G Health contains different OTC medication brands. Also, Vicks in P&G Hygiene and Healthcare contains OTC pain relief medications.
Ideally, P&G India should’ve kept Pampers & Whisper under P&G Hygiene and Healthcare; Merge Vicks with P&G health; and Merge Old Spice & Gillette under Gillette India. Or best, keep P&G Health, Vicks, Pampers & Whisper under the Hygene & Healthcare arm.
Given P&G’s reputation, I’m not sure whether they’ll launch any further products under P&G Health! Currently I’m unsure if P&G Health has a large enough market size.
IMHO, investment rationale behind P&G’s listed arms is their strong brand equity & quality and the hope that they will eventually take every product to every corners of India. I, personally, invest in a FMCG company because they can scale their portfolio to any size by launching or acquiring new brands and extending existing brands, something that HUL and Indian FMCG majors does always, and something I can’t expect from P&G. So, despite getting attracted by their brand strength all the times, I’ve so far refrained from investing in any of their listed arms.