Procter & Gamble (NYSE: PG) reported better-than-expected quarterly revenue on Thursday, boosted by strong sales in its beauty, and fabric and home-care businesses.
Earlier in the day, P&G agreed to buy the consumer health business of Merck (NYSE: MRK) for about 3.4 billion euros ($4.2 billion U.S.), giving its vitamin brands such as Seven Seas and greater exposure to Latin American and Asian markets.
Net income attributable to the company fell to $2.51 billion U.S., or 95 cents per share, in the third quarter ended March 31, compared with $2.52 billion, or 93 cents per share, a year earlier.
Net sales for the world's largest consumer products maker by market value rose 4.3% to $16.28 billion, compared to analysts' estimate of $16.21 billion, according to Thomson Reuters I/B/E/S.
Excluding items, the company earned $1.00 U.S. per share, compared with the 98 cents a share expected by analysts.
Operating cash flow was $3.4 billion for the quarter. Adjusted free cash flow productivity was 95%. The Company returned $3.2 billion of cash to shareholders through $1.8 billion of dividend payments and $1.4 billion of common stock repurchase.
Earlier this month, P&G announced a 4% increase in its quarterly dividend, marking the 62nd consecutive year the Company has increased its dividend. P&G has been paying a dividend for 128 consecutive years, since its incorporation in 1890.
Soon after Thursday’s opening, PG shares hesitated $3.16, or 4.1%, to $74.32, while Merck shares gained 24 cents to $59.16
Related Stories
