Tide detergent containers on the shelves of New York grocery stores.
Richard B. Levine | Corbis | Getty Images
On Tuesday, Procter & Gamble surpassed analysts ’quarterly earnings and revenue estimates as consumers maintained pandemic buying trends such as buying more cleaning supplies and starting buying beauty products again.
The company, whose portfolio includes Tide detergent, Charmin toilet paper and Pampers diapers, also announced it would implement price increases on some products this fall.
The company’s shares were flat in the premarket trade.
This is what the company reported compared to what Wall Street expected, according to a survey by Refinitiv analysts:
- Earnings per share: $ 1.26 vs. $ 1.19 projected
- Revenue: $ 18.1 billion vs. $ 17.9 billion projected
P&G reported third-quarter net tax revenue of $ 3.272 billion, or $ 1.26 per share, compared to $ 2.922 billion or $ 1.12 per share, a year earlier. Analysts surveyed by Refinitiv expected a earnings per share of $ 1.19.
Net sales rose 5% to $ 18.1 billion, exceeding expectations of $ 17.9 billion. Organic revenue grew 4% in the quarter.
The company reiterated its fiscal forecasts for 2021, forecasting sales growth of 5% to 6% and adjusted profit growth of 8% to 10%.
P&G has begun implementing price hikes in its baby care, female care and adult incontinence products in the United States to offset rising raw material costs. Price increases will vary by brand, but will range from medium to high digits. Consumers can expect price increases to take effect in September. Rival Kimberly-Clark, which makes Huggies, has already announced price hikes on some of its products.
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