Month: July 2018

Procter & Gamble sales disappoint after prices get a shave

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Procter & Gamble Co’s fiscal fourth-quarter sales fell below Wall Street estimates on Tuesday, hurt by lower pricing and weak demand at its units that make Pampers diapers and Gillette shaving products.

Big consumer goods makers are struggling to grow sales as consumer habits evolve, with many shoppers choosing fresher brands or changing the way they groom themselves. P&G and its rivals have also been dogged by surging transportation and commodities costs, particularly for pulp used in diapers and tissue products.

Net sales rose 2.6 percent to $16.50 billion. Analysts had forecast sales of $16.54 billion.

The company, whose board members include activist investor Nelson Peltz, said cost cuts and higher prices would help it report stronger organic sales and core earnings in the second half of fiscal 2019 than in the first half.

Shares of Procter & Gamble, the world’s second-largest packaged goods company after Nestle SA, were down 0.5 percent at $79.82.

P&G is rolling out an average 4-percent increase in Pampers prices in North America, and has begun notifying retailers of an average 5-percent price rise for Bounty, Charmin and Puffs tissue products.

Higher prices may not sit well with US retailers that have been aggressively cutting prices and tightening inventory levels to keep pace with Amazon.com Inc.

“While P&G announced 4-5 percent price increases for key US businesses, questions remain whether pricing will stick in the current environment,” Wells Fargo analyst Bonnie Herzog wrote in a note.

For fiscal 2019, P&G said it sees core earnings per share growth of 3 percent to 8 percent, or $4.45 at the mid-point. Analysts were expecting $4.39 a share, according to Thomson Reuters I/B/E/S.

Fewer Shaves

In order to claw back market share lost to upstarts such as Dollar Shave Club, P&G cut prices on products in its grooming business by 3 percent during the quarter. Sales in the unit fell 1 percent to $1.65 billion, while volumes dropped 1 percent.

P&G Chief Financial Officer Jon Moeller blamed the unit’s lower sales on consumers shaving less frequently, saying the company’s price cuts had helped it take back some market share.

Revenue fell 2 percent at P&G’s Baby, Feminine & Family Care business – its second-biggest contributor to revenue – amid lower demand in the Middle East, Africa and Latin America.

Net income attributable to the company fell to $1.89 billion, or 72 cents per share, in the fourth quarter ended June 30. Excluding items, P&G earned 94 cents per share, ahead of analysts’ estimates of 90 cents.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

US freezes assets of Pakistanis linked to militant group

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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The United States on Tuesday froze the assets of three Pakistanis it has linked to Lashkar-e-Taiba, the militant group blamed for the deadly 2008 attacks in India’s financial capital, Mumbai.

The State Department added Abdul Rehman al-Dakhil to its list of “specially designated global terrorists,” saying he was a senior commander of the group.

The US Treasury targeted Hameed ul Hassan and Abdul Jabbar, who it said were responsible for funneling money to Lashkar-e-Taiba and paying salaries to its members.

“Treasury’s designations not only aim to expose and shut down Lashkar-e Tayyiba’s financial network, but also to curtail its ability to raise funds to carry out violent terrorist attacks,” Sigal Mandelker, the Treasury under secretary for terrorism and financial intelligence, said in a statement, using an alternate spelling of the group‘s name.

The designation means all property belonging to the men subject to US jurisdiction are blocked and Americans are prohibited from engaging in transactions with them.

Lashkar-e-Taiba (LeT), or Army of the Pure, is an anti- Indian militant group with historical ties to Pakistan’s top spy agencies. It has been accused of orchestrating numerous attacks, including the 2008 assault in Mumbai that killed 166 people, six of them Americans.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Snapchat teams up with NFL, NBC to bring more sports videos for users

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Audio-video sharing platform Snapchat has struck deals with the National Football League (NFL) and NBC Sports Group to offer more sports programming to its users.

In its deal with NBC, the company would team up on “Premier League: Extra Time”, which is a weekly show that recaps UK’s top-tier soccer or football matches and fandom.

“Each Monday throughout the Premier League season, the show will bring snapchatters in the US a recap of the weekend’s top action and standout storylines, while also spotlighting the super fans that make the league one of the most popular in the world,” NBC Group wrote in a blog post late on Monday.

“A preview of the show will air on Snapchat on Thursday, August 9, with the first episode airing on Monday, August 13, and continuing each Monday throughout the season,” the company added.

The Snap-owned company has also extended its NFL partnership to include a “best of Sunday Story” in the “Discover” section that summarizes American football news and highlights of the past week.

These new “Sunday Publisher Stories” will be updated every hour with highlights and news uniquely packaged for the Snapchat audience, NFL wrote in a blog post.

“We’re excited to continue growing our partnership with Snapchat,” Blake Stuchin, NFL Vice President of Digital Media Business Development, said in a statement.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

US’ Pompeo warns against IMF bailout for Pakistan that aids China

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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US Secretary of State Mike Pompeo warned on Monday that any potential International Monetary Fund bailout for Pakistan‘s new government should not provide funds to pay off Chinese lenders.

In an interview with CNBC television, Pompeo said the United States looked forward to engagement with the government of Pakistan‘s expected new prime minister, Imran Khan, but said there was “no rationale” for a bailout that pays off Chinese loans to Pakistan.

“Make no mistake. We will be watching what the IMF does,” Pompeo said. “There’s no rationale for IMF tax dollars, and associated with that American dollars that are part of the IMF funding, for those to go to bail out Chinese bondholders or China itself,” Pompeo said.

The Financial Times reported on Sunday that senior Pakistani finance officials were drawing up options for Khan to seek an IMF bailout of up to $12 billion.

An IMF spokeswoman said: “We can confirm that we have so far not received a request for a Fund arrangement from Pakistan and that we have not had discussions with the authorities about any possible intentions.”

Speaking in Beijing, Chinese Foreign Ministry spokesman Geng Shuang said the IMF has its own standards and operating rules when cooperating with relevant countries.

“I believe they will handle it appropriately,” he told reporters, without elaborating.

Pakistan is struggling to avert a currency crisis that has presented the new government with its biggest challenge. Many analysts and business leaders expect that another IMF bailout, the second in five years, will be needed to plug an external financing gap.

Pakistan, which already has around $5 billion in loans from China and its banks to fund major infrastructure projects, had sought another $1 billion in loans to stabilize its plummeting foreign currency reserves.

Officials in the Trump administration, including US Treasury Secretary Steven Mnuchin, have criticized China’s infrastructure lending to developing countries, arguing that this has saddled them with unsustainable debt.

The $57 China-Pakistan Economic Corridor, a series of port and rail improvements associated with China’s One Belt One Road infrastructure push, has led to massive imports of Chinese equipment and materials, swelling Pakistan‘s current account deficit.

Pakistan has had 14 IMF financing programs since 1980, according to fund data, including a $6.7 billion three-year loan program in 2013.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Equal pay important irrespective of gender or skin colour, says actor Stellan Skarsgard

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Swedish actor Stellan Skarsgard, who has been part of films like “Good Will Hunting”, “Thor”, “Avengers” and “Mamma Mia!”, says equal pay and opportunities should be a truth for all, irrespective of gender or ethnicity.

“I think it (the debate on pay parity and diversity) is absolutely a viable discussion. I think it is very important that you have equal pay no matter if you have penis or not. And no matter what skin colour you have, you should have equal opportunities,” Skarsgard told IANS over the phone from Scotland.

“My analysis is that we can create equality by creating equal opportunities for each child, which means every child should have equal opportunities to get good education, good health care and good nourishment. If we do that, then all those problems will be solved,” he said.

As a child, Skarsgard wanted to become a diplomat and travel the world spreading the message of harmony and peace. But instead found his way into showbiz and went on to do iconic roles like Jan Nyman in “Breaking the Waves”, Professor Gerald Lambeau in “Good Will Hunting”, Bootstrap Bill Turner in the “Pirates of the Caribbean” franchise, Bill Anderson in “Mamma Mia!”, Dr. Erik Selvig in the “Thor” and “The Avengers” franchise.

The actor turned 67 in June this year. Indian channel Sony Pix had a special screening session and aired some of his iconic films as part of the birthday celebrations.

Recalling his journey in showbiz, the actor said: “Well, I am ashamed to say that it wasn’t much of a struggle…I have been struggling with every role but I haven’t faced struggle in my career.

“I am very fortunate and very spoilt. I got to do very different kind of projects and I got to choose between those, so I am probably the most spoilt actor in the world.”

The actor avoids doing similar roles, and that keeps him motivated.

“I go with different kind of roles and films, but the thing that keeps me motivated is the incredible joy that I find by being on the set, together with other actors and creating something that is bigger than what we separately couldn’t imagine at home when we were reading the script.

“It is the collaboration with other actors and the director — that is the joy.”

Skarsgard says he forms a view of life based “less on my career” and more on his family.

“I have eight wonderful children, two wonderful wives. I have been very lucky,” said the actor, who will be back as Bill Anderson in “Mamma Mia! Here We Go Again”, slated to release in India on August 3.

A sequel to the 2008 film “Mamma Mia!”, the film will take the audience back to the Greek island of Kalokairi. It also features Meryl Streep, Julie Walters and Christine Baranski.

Skarsgard says the film has the same qualities as the first one.

“It is a very generous and heart-warming film. There is a lot of music. I think it is more modern and it is also spiced up with some younger versions of ourselves.”

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Realme splits from OPPO to become separate brand

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Realme, a sub-brand of Chinese handset maker OPPO, has announced it is separating to become a distinct entity and will be headed by Sky Li, former senior executive of OPPO and head of OPPO India.

The Realme brand would focus on providing mobile phones in future that offer strong performance and stylish designs to young people at affordable prices, the company said in a statement on Tuesday.

“Young people across the globe may have different cellphone habits and aesthetic views but their demands are similar in terms of performance and design,” said Li, who has now joined Realme as its global CEO.

“With few options available in the market to meet the ever-changing customer demand, Realme is focusing on bridging the gap by providing products with the latest innovations along with strong performance and stylish designs. As Realme is targeting global market, we aspire to inject fresh momentum into the global smartphone industry,” he said.

Li had originally made the announcement of breaking away from OPPO and founding the brand Realme on Chinese microblogging website named Weibo.

Notably, this is the second instance when an executive from the smartphone company has left the core business unit to start a new brand.

Earlier, Pete Lau left OPPO and started OnePlus.

Realme launched its first smartphone “Realme 1” in May.

“Realme 1 witnessed sales of four lakh units in 40 days and quickly grasped 1.4 per cent market share with only one month’s sales in the second quarter of 2018,” the company said quoting Counterpoint Research.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Didn’t file clemency plea in Karnataka HC, ready to settle dues, says Mallya

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Fugitive liquor baron Vijay Mallya, who is facing money laundering charges in multi-crore fraud case, on Tuesday said he has not applied for any clemency plea in India’s Karnataka High Court and is ready to settle dues.

Mallya’s assertion came after he came out of the Westminster court in London which he visited, along with his son Siddharth, to attend proceedings on his extradition trial.

“I have not applied for any clemency plea or a plea bargain in my unconditional offer to the Karnataka High Court. I am ready to settle my dues… There are no further requests at all,” Mallya said interacting with the media outside the court.

The beleaguered businessman denied the money laundering charges against him, terming them “completely false”.

“Allegations of money laundering and stealing money are completely false… At the end of the day, the courts will decide. The full amount is also to be determined.

“You can’t have a situation where assets are attached based on complaints by the banks… And yet, the interest metre is rising everyday. It’s an inequitable situation. So, let the judiciary decide what is right,” Mallya said.

On the issue of extradition, he said: “As far as extradition case is concerned, I think you all have heard it. That is now for the next hearing on September 12. And I look forward to it.”

He further said any litigation is exhausting, because the time spent on litigation can be used for more productive things.

Asked why he suddenly decided to settled in London, Mallya said: “I have been trying to settle here since 2015.”

The 62-year-old liquor baron, who fled the country on March 2, 2016, has been living in London ever since despite summons from Indian courts and law enforcement agencies to appear before them for trial in various related cases.

In a statement on June 26, Mallya had said that he had petitioned the Karnataka High Court to permit him and his holding firm United Breweries Holding Ltd (UBHL) to sell their assets under its supervision to repay creditors, including state-run banks.

“UBHL and myself have filed an application before the Karnataka High Court on June 22, setting out available assets of about Rs 13,900 crore,” said Mallya from London in a statement released by his office in Karnataka.

Asserting that recovery of loans is a civil matter but it had been made a criminal matter in his case, Mallya had blamed the Central Bureau of Investigation and the Enforcement Directorate for criminalising it despite his intentions to settle the bank dues.

A consortium of 17 banks, led by the State Bank of India (SBI), gave Rs 5,500-crore loans to Mallya’s now defunct Kingfisher Airlines for over a decade.

Claiming that the bulk of the dues were on account of interest, Mallya said owing to injunctions, attachments and refusal to grant permission to sell the assets, this had kept mounting.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Pfizer lowers 2018 revenue forecast, increases R&D spend

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

Listen to the Article (6 Minutes)

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow