P&G beat estimates on higher prices
Oral-B and Pampers owner has been raising goods on products
Procter & Gamble owns brands including Oral-B. Photograph: Andrew Kelly/Reuters
Procter & Gamble’s quarterly revenue and profit beat Wall Street estimates on Tuesday, boosted by higher prices and more demand for its premium fabric care and beauty products.
Like other consumer goods makers, P&G has been raising prices on several products including baby and feminine care products.
For the third quarter, P&G posted a 5 per cent rise in organic sales, a keenly watched metric that excludes the impact of acquisitions, divestitures and currency effects. Price hikes contributed 2 percentage points to the organic sales growth, the company said.
Organic sales in the company’s fabric and home care business, the biggest contributor to total sales, rose 7 per cent, boosted by its premium products.
The beauty business saw a 9 per cent rise in organic sales, helped by the premium SK-II brand.
The maker of Tide detergent and Pampers nappies said net income attributable to the company rose to $2.75 billion (€2.45 billion), or $1.04 per share, in the quarter ended March 31st, from $2.51 billion, or 95 cents per share, a year earlier.
Excluding items, the company earned $1.06 per share, beating the average analyst estimate of $1.03 per share.
Net sales rose 1.1 per cent to $16.46 billion, beating analysts’ average estimate of $16.37 billion, according to data from Refinitiv. – Reuters