CINCINNATI, Ohio ― Procter & Gamble Co. posted a slight dip in quarterly profit that was in line with expectations as the world’s largest household products maker raised prices and notched sales gains in each unit.
The maker of Pampers diapers and Tide detergent earned $3.02 billion, or $1.03 per share, in the first quarter ended on Sept. 30, compared with $3.08 billion, or $1.03 per share, a year earlier. It had fewer shares outstanding in the most recent quarter.
P&G, which makes everything from Gillette razors to Pantene shampoo, announced or implemented price increases on brands that account for the majority of its U.S. sales and has pulled back on some promotional spending, which also effectively raises the prices consumers pay.
Sales rose 8.9 percent to $21.92 billion. Organic sales, which strip out the impact of acquisitions, divestitures and foreign exchange fluctuations, rose 4 percent, coming in at the high end of the company’s 2 percent to 4 percent forecast.
Analysts on average were looking for a profit of $1.03 per share on $21.53 billion in sales, according to Thomson Reuters I/B/E/S. P&G had forecast earnings of $1.00 to $1.04 per share.
The volume of goods sold rose 2 percent, excluding acquisitions, asset sales and currency fluctuations, with growth in developing regions partially offset by a decline in developed regions.
The company still expects full-year earnings of $4.17 to $4.33 per share, with sales up 3 percent to 6 percent. Analysts expect it to earn $4.20 per share this year.
For the current second quarter, which ends in December, P&G forecast earnings of $1.05 to $1.11 per share, with sales growth of 3 percent to 5 percent.
P&G shares rose 0.9 percent to $65.53 in thin premarket trade.