Connect with us

Hi, what are you looking for?

Capital Business
Capital Business

World

P&G earnings hit by strong dollar

P&G earnings hit by strong dollar/AFP

P&G earnings hit by strong dollar/AFP

NEW YORK, April 23- Procter & Gamble Thursday reported lower earnings as the strong dollar weighed on sales of the company’s products, which include Gillette razors and Tide detergent.

Earnings for P&G’s fiscal third quarter were $2.2 billion, down 17.5 percent from the year ago period.

Net sales dropped in all five business divisions, with the biggest fall (11 percent) coming in beauty, care and personal care. However, when currency effects were stripped out, sales for this unit dropped just three percent.

Stripping out currency, sales in three other divisions rose, while a fifth segment, fabric care and home care, was flat.

“Our third quarter earnings results were largely in-line with what we had expected,” said chief executive A.G. Lafley.

“This quarter the productivity progress was offset by foreign exchange. As we have done before, we’ll offset foreign exchange over time through a combination of pricing, mix enhancement and cost reduction.”

To address the rise in the dollar, P&G has said previously that it will seek to enact price increases overseas and to shift more industrial capacity to hard-hit currency markets.

P&G’s earnings translated into earnings of 92 cents per share, matching analyst forecasts.

Revenues dropped 7.6 percent to $18.14 billion, below the $18.49 billion projected by analysts.

P&G shares dipped 0.2 percent to $82.90 in pre-market trade.

Advertisement. Scroll to continue reading.
Click to comment
Advertisement

More on Capital Business

Executive Lifestyle

NAIROBI, Kenya, Mar 12 – The country’s super wealthy individuals are increasing their holding of bonds, gold and cash, a new report by Knight...

Ask Kirubi

NAIROBI, Kenya, Mar 9 – Businessman and industrialist Dr. Chris Kirubi has urged members of the public to exercise extreme caution when making any...

Ask Kirubi

NAIROBI, Kenya, Mar 24 – Businessman and industrialist Dr. Chris Kirubi is set to own half of Centum Investment Company PLC, following a go-ahead...

Ask Kirubi

It is without a doubt that the COVID-19 pandemic has caught the whole world by surprise. Although its full impact is yet to be...

Headlines

NAIROBI, Kenya, Mar 18 – Commercial Banks have been ordered to provide relief to borrowers on their personal loans, with loans eligible from March...

Kenya

NAIROBI, Kenya, Jun17 – Kenya’s tea leaves manufacturer Kericho Gold, has been awarded the Superbrands Seal by Superbrands East Africa for their quality variety...

Coronavirus

NAIROBI, Kenya, Apr 13 – As the local telecommunications industry gears up to roll out 5G networks in the country, the Communications Authority of...

Coronavirus

NAIROBI, Kenya, Mar 22 – Airtel Kenya is offering free internet access for students in order to enable continued learning at home in the...