Launch of two new "limited edition" flavours in Horlicks (Butter Scotch and Pistachio) was a huge success.

Focus new product innovation with high quality products

Heavily investing behind all its existing brands

Continued effort in cost curtailment negates impact of rising costs

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GlaxoSmithKline Consumer Healthcare Limited (GSKCH) today declared its financial results for the quarter ended June 30, 2008. For the second quarter revenues were up by 19.3% at Rs. 37,637 lacs, and PBT by 9.6% at Rs. 6,924 lacs.

Both Horlicks and Boost continued to power ahead during the second quarter. The quarter also saw the first ever celebrity endorsed campaign for Horlicks with Darsheel Safary, a nation-wide child celebrity. Coverage from all major publications ensured that it was the most talked about campaign among all HFDs. During the quarter, the company also launched Butter Scotch and Pistachio Horlicks which has been a huge success with its consumers.

GSKCH continue to invest behind its brands resulting in its flagship brand Horlicks becoming the most valued brand in its category.

"The top-line growth continued in the second quarter of 2008 as well with a remarkable sales growth despite increased pressure on input costs due to high inflation", said Zubair Ahmed, Managing Director, GlaxoSmithKline Consumer Healthcare Ltd. Mr. Ahmed went on to add that there has been considerable focus on cost curtailment programs with a view to purge inefficient spends across business leading to a healthy bottom-line growth for GSKCH in the second quarter.

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About GlaxoSmithKline Consumer Healthcare Ltd.

GSKCH is an associate of GlaxoSmithKline plc. of the U.K, a global science based healthcare company. GSKCH has continually benefited from the technical and marketing inputs that have been available as a consequence of this association. GSKCH is the largest player in the health food drinks industry. The Company with its manufacturing plants located in Nabha, Rajahmundry and Sonepat has a total workforce of about 2700 people.

GSKCH has a strong marketing and distribution network in India comprising over 1800 wholesalers and direct coverage of over 4,50,000 retail outlets. Its flagship product, Horlicks, is a widely regarded and highly respected brand for over 100 years. The Company also manufactures and markets Boost, Viva and Maltova and in addition markets and distributes a number of products in diverse categories, which include prominent household names such as Eno, Crocin and Iodex.

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