The Procter & Gamble Company (NYSE: PG) topped analysts’ expectations on revenue and earnings for the third quarter of 2019 but shares dipped 1.9% in morning hours on Tuesday.
Net sales rose 1% year-over-year to $16.5 billion. Organic sales grew 5%, driven by a 2% increase in organic shipment volume.
Net earnings attributable to Procter & Gamble improved 9% to $2.74 billion, or $1.04 per share, from the year-ago period. Core EPS rose 6% to $1.06, driven mainly by the increase in net sales and a lower effective tax rate. Currency-neutral core EPS grew 15%.
During the quarter, P&G delivered the highest sales growth of 9% in its Health Care segment, on a reported basis. The Beauty and Fabric & Home Care segments also registered sales growth of 4% and 2% respectively. The weakness in Grooming continued as sales declined 8%. The Baby, Feminine & Family Care segment saw a sales decrease of 2% versus last year.
Organic sales in the Beauty segment grew 9% year-over-year, helped by growth in Skin and Personal Care as well as Hair Care. Grooming segment organic sales dropped 1%. In the Health Care segment, organic sales rose 5%, driven by growth in Personal Health Care and Oral Care. Personal Health Care all-in sales increased double digits due to the addition of the Merck OTC business.
In Fabric and Home Care, organic sales increased 7%, with mid-single digit growth in Fabric Care and high-single digit growth in Home Care. Baby, Feminine and Family Care segment organic sales grew 2% year-over-year.
For fiscal-year 2019, P&G expects total sales to be flat to up 1% versus 2018. The company raised its organic sales growth guidance to 4% from the previous range of 2-4%. GAAP EPS is expected to increase 17-24% versus last year while core EPS is expected to grow 3-8%.
Last month, the IPO market was in a full swing. IPOs of Snowflake (NYSE: SNOW) and JFROG (NASDAQ: FROG) had an impressive opening day in September, the former creating a
PepsiCo Inc. (NASDAQ: PEP) beat market expectations on both revenue and earnings for the third quarter of 2020. The company saw the momentum continue in its snacks business while the
With more and more people turning to virtual entertainment sources, amid the virus-related movement restrictions, video game publishers like Electronic Arts (NASDAQ: EA) are witnessing unusually high demand. Not surprisingly,