Procter & Gamble Co. (PG) - Get Report posted stronger-than-expected third quarter earnings Tuesday while maintaining its full-year for organic revenue growth, as stay-at-home sales linked to the coronavirus pandemic boosted its top and bottom lines.
Procter & Gamble said core earnings for the three months ending in March, the company's fiscal third quarter, came it at $1.26 per share, up 12.5% from the same period last year and 7 cents ahead of the Street consensus forecast of $1.19 per share. Group revenues, the company said, rose 5% to $18.1 billion, again topping analysts' estimates of an $17.92 billion tally.
Looking into the group's 2020 fiscal year, P&G reiterated its previous forecasts, which see core earnings growth of between 8% and 11%, and a 4% to 5% gain for organic sales growth.
“We delivered another quarter of solid top-line, bottom-line and cash results in what continues to be a challenging operating environment,” said CEO David Taylor. “We remain focused on executing our strategies of superiority, productivity, constructive disruption and improving P&G’s organization and culture."
"These strategies enabled us to build strong business momentum before the COVID crisis and accelerate our progress during the crisis, and they remain the right strategies to deliver balanced growth and value creation over the long term,” he added.
P&G shares were marked 1.12% lower in early trading immediately following the earnings release to change hands at $135.00 each.
Fabric and home care sales, which include cleaning products such as Tide laundry detergent, Joy, Febreze and Cascade, rose 7% from last year, slowing sharply from the 12% pace over the three months ending in December, while baby, feminine and family care segment sales were essentially flat to 2002 levels. Beauty sales rose 7%, the company said, while personal grooming sales, which includes skin care products, rose 4% from last year, Procter & Gamble said.