Procter & Gamble (NYSE: PG) on Tuesday reported quarterly earnings and revenue that beat analyst expectations, indicating its customers continue to pay up for its products following price increases earlier this year.
Here’s what the company reported compared with what Wall Street was expecting, based on a survey of analysts. Earnings per share came in at $1.06 adjusted, vs. $1.03 expected. Revenue was $16.46 billion, in comparison to the $16.37-billion figure expected
Excluding items, P&G earned $1.06 per share, beating the $1.03 per share expected by analysts. Net sales rose 1% to $16.46 billion, topping expectations of $16.37 billion.
The company’s strongest business units continue to be its beauty care business, which includes its premium SK-II skin-care brand and Olay. Fabric and home care and health care, which includes Crest toothpaste, also performed well.
Its grooming business, which includes its Gillette brand, continues to lag, although its sales declines moderated from the prior quarter. Organic sales in its grooming business dropped 1%, compared to a 3% decline in the second quarter.
The company said sales of shaving care products were in-line with the year-ago period, however, it benefited from higher sales in more developed areas, and price increases, which helped offset unit volume declines. Unit volume factors out the impact of price and currency fluctuations.
The maker of Tide laundry detergent said on Tuesday it now expects its 2019 organic sales to grow 4%, rather than be in range of up 2% to 4%.
Total sales are expected to be flat to up 1% over 2018.
Shares in P&G faded $2.69, or 2.5%, to $103.32.
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