The Procter & Gamble Company (P&G) reported its fiscal year 2025 second-quarter results, highlighting a 2% increase in net sales to $21.9 billion and a 3% rise in organic sales compared to the prior year. Diluted earnings per share (EPS) rose by 34% to $1.88, reflecting a favorable comparison to the prior year due to the Gillette intangible asset impairment charge in the base period. Core EPS grew 2%, and currency-neutral core EPS increased 3%.
The company generated $4.8 billion in operating cash flow and achieved an adjusted free cash flow productivity of 84%. During the quarter, P&G returned $4.9 billion to shareholders through $2.4 billion in dividends and $2.5 billion in share repurchases. Segment-wise, organic sales increased across all categories, with highlights including a 4% growth in the Baby, Feminine, and Family Care segment and 3% growth in Fabric and Home Care.
For fiscal 2025, P&G maintained its guidance of 2% to 4% sales growth, with organic sales expected to grow 3% to 5%. Core EPS growth is projected at 5% to 7%, equating to $6.91 to $7.05 per share. The company anticipates returning $16 billion to shareholders through dividends and share buybacks for the fiscal year.
Despite challenges such as a $200 million commodity cost headwind and $300 million in unfavorable foreign exchange impacts, P&G remains focused on its integrated growth strategy, emphasizing product innovation, operational efficiency, and sustainability efforts.
2025-01-23
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