On this picture illustration, Procter and Gamble merchandise Pepto Bismol and Charmin bathroom paper are displayed on June 05, 2025 in San Anselmo, California.
Justin Sullivan | Getty Pictures
Procter & Gamble on Tuesday reported quarterly outcomes that beat Wall Road’s expectations, however launched fiscal yr 2026 steering that included a $1 billion hit as a consequence of greater prices from tariffs.
“We grew gross sales and revenue in fiscal 2025 and returned excessive ranges of money to shareowners in a dynamic, tough and unstable setting,” mentioned CEO Jon Moeller in a information launch.
The corporate’s outcomes come simply someday after P&G introduced Shailesh Jejurikar, its chief working officer, would change Moeller because the chief govt, efficient Jan. 1. Moeller will transition to the position of govt chairman on that date.
The buyer merchandise large, which owns manufacturers corresponding to Tide and Charmin, expects fiscal yr 2026 gross sales development of between 1% and 5% and earnings per share within the vary of $6.83 to $7.09. The corporate mentioned that components in an estimated headwind 39 cents per share for fiscal 2026, or a 6% drag on core earnings per share development, associated to President Donald Trump’s tariffs, unfavorable commodity prices, greater web curiosity expense and its core efficient tax charge.
Wall Road analysts had been anticipating 2026 income development of three.1% and earnings per share of $6.99, based on LSEG.
Here is what Procter & Gamble reported for its fiscal fourth quarter in contrast with what Wall Road was anticipating, primarily based on a survey of analysts by LSEG:
- Earnings per share: $1.48 vs. $1.42 anticipated
- Income: $20.89 billion vs. $20.82 billion anticipated
P&G reported fiscal fourth-quarter web earnings of $3.62 billion, or $1.48 per share, up from $3.14 billion, or $1.27 per share, a yr earlier.
Web gross sales rose 2% to $20.89 billion. Natural gross sales, which strip out acquisitions, divestitures and international forex, additionally rose 2%.
The fiscal 2026 steering comes after P&G trimmed its outlook in April for the remainder of the corporate’s fiscal 2025 yr, citing shopper uncertainty and tariffs. Moeller mentioned on the time that worth hikes tied to tariffs would happen through the firm’s fiscal 2026 yr, which started this month.
CFO Andre Schulten additionally mentioned in April that tariffs would harm P&G’s development by a variety of $1 billion to $1.5 billion per yr.
Each JPMorgan and Evercore downgraded PG earlier this month. The previous predicted tender natural gross sales and the latter pointed to share losses inside Amazon as a priority amid a rising shift towards on-line retail.
The corporate’s inventory is down about 6% yr to this point.