Total expenditure at Rs 264.6 crore in the quarter, is up by 20.76 per cent from Rs 219.1 crore in the same period last year. Operating profit registered a 36.8 per cent increase to Rs 23.4 crore from Rs 17.1 crore last year. Interest costs were nil during the quarter as against Rs 10 lakh in the previous period. Depreciation was lower at Rs 6.8 crore as compared to Rs 5.5 crorelast year. Provision for taxation was higher at Rs 8.5 crore as against Rs 4.9 crore.

The company has said that in line with the previously announced strategy, a significant portion of the increased revenues has been reinvested to support new and existing products. ``The company has increased total marketing investments in advertising and promotions during the quarter to its highest levels ever, to support both new and existing products. This reflects the company's commitment to aggressively support its technologically superior products and strengthen existing brand equities in an increasingly competitive market place,'' said a company release.

The strategic marketing and infrastructure investments are part of the company's "Investing for the Future" programme initiated in 1997. The programme was kicked off in the midst of Colgate facing a fierce battle for market share in the Rs 1,000 crore toothpaste market from ace rival Hindustan Lever. HLL has garnered a 34 per cent share in toothpastes, and is apotential threat to Colgate's leadership position (54% market share).