Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 

4-Traders Homepage  >  Equities  >  Nyse  >  Procter & Gamble Co    PG

Delayed Quote. Delayed  - 09/30 04:59:22 pm
89.5803 USD   +1.53%
02:46p PROCTER & GAMBL : Announces Preliminary Results of Exchange Offer
09/29 PROCTER & GAMBL : The Art of Shaving Launches New Power Brush System
09/29 PROCTER & GAMBL : Pampers Delivers Its Smallest Diaper Ever for the ..
SummaryQuotesChartsNewsAnalysisCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsSector news 

P&G Cuts FY12 EPS View As Sales Slow In Developed Markets

share with twitter share with LinkedIn share with facebook
share via e-mail
0
04/27/2012 | 05:47pm CEST

--P&G cuts fiscal 2012 view on slowing sales volumes in developed markets

--P&G also cutting price in certain categories

--Shares down 3.3% on lowered view

(Adds details from earnings call.)

 
    By Paul Ziobro 
    Of  
 

Procter & Gamble Co. (>> The Procter & Gamble Company) cut its outlook for the fiscal year on a recent slip in demand in developed markets and the need to backtrack on price increases in a half-dozen business lines, mostly in the U.S.

Price controls in Venezuela, which required price cuts of up to 25% on certain P&G products, also will weigh on results in what is currently a billion-dollar market for the company.

For the year ahead, the company lowered its full-year profit target to $3.82 to $3.88 a share. It had previously forecast earnings of $3.93 to $4.03 a share.

The lowered view, with fiscal 2012 per-share earnings seen flat to down 1%, once again disappointed investors, sending shares down 3.3% in recent trading to $64.69. It came after P&G reported a 16% drop in third-quarter earnings, when the company continued to deal with high commodity costs and took charges related to restructuring plans.

The outlook also raised questions as to whether P&G can capably confront such challenges and fend off competitors while the 175-year-old company undergoes a $10 billion restructuring program over the next four years. P&G executives said the company will continue to add new products, especially in struggling areas like the U.S. and its beauty care business, so sales don't suffer as P&G cuts costs.

"I personally don't think this restructuring program will get in the way of doing that," P&G Chief Executive Bob McDonald said Friday on an earnings call. "If anything, I think it will enable it."

P&G's is lowering prices and increasing promotions in categories where competitors like toothpaste-maker Colgate-Palmolive Co. (>> Colgate-Palmolive Company), Schick razor-owner Energizer Holdings Inc. (ENR) and laundry competitors Unilever PLC (UL, ULVR.LN) and Church & Dwight Co. (>> Church & Dwight Co., Inc.) have dug in on their prices or promoted aggressively.

P&G is giving back $200 million of the $3.5 billion in price increases it has taken this year, a small piece of the pie. But the swift reversals show P&G moved too high in some areas, misjudging consumer and competitor response to its price increases and jeopardizing market share in some key categories.

"We had to put in place some remedial activity to regain the consumer value equation," McDonald said.

P&G executives said that the company is lowering prices in the powdered laundry business in the U.S.; oral care, automatic dishwashing detergent, and blades and razors in North America; and laundry divisions in the U.K. and Mexico.

The weak performance in those areas made P&G lose share in a majority of its markets. The company said it held or increased share in 45% of the categories and countries in which it competes; the figure would have been 55% if it just held share in the categories where the prices are being lowered.

For the quarter ended March 31, P&G reported a profit of $2.41 billion, or 82 cents a share, compared with a year-earlier profit of $2.87 billion, or 96 cents a share. Stripping out items like restructuring costs, P&G reported core earnings of 94 cents a share.

Net sales inched up 1.5% to $20.19 billion. Sales rose 3% on an organic basis, which excludes currency translation, acquisitions and divestitures. The company had forecast earnings of 89 cents to 95 cents a share on flat to 2% net sales growth.

For the year ahead, the company also lowered its full-year profit target, calling for earnings of $3.82 to $3.88 a share. It had previously forecast earnings of $3.93 to $4.03 a share.

-By Paul Ziobro, Dow Jones Newswires; 212-416-2194; paul.ziobro@dowjones.com

share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on PROCTER & GAMBLE CO
02:46p PROCTER & GAMBLE : Announces Preliminary Results of Exchange Offer
01:04p PROCTER & GAMBLE : Assigned Patent
01:04p PROCTER & GAMBLE : Assigned Ornamental Design Patent
09/29 PROCTER & GAMBLE : The Art of Shaving Launches New Power Brush System
09/29 PROCTER & GAMBLE : Pampers Delivers Its Smallest Diaper Ever for the Tiniest Pre..
09/28 PROCTER & GAMBLE : P&G to Webcast Discussion of First Quarter 2016/17 Earnings R..
09/28DJProcter & Gamble Sets Exchange Ratio for Its Stock in Sale of Beauty Business..
09/28 PROCTER & GAMBLE : Sets Final Exchange Ratio of 3.9033 for P&G Specialty Beauty ..
09/28 P&G COMMITTED TO SUSTAINABILITY HERE : Global ceo
09/27 PROCTER & GAMBLE : P&G to Webcast Presentation from the Procter & Gamble 2016 An..
More news
Sector news : Personal Products - NEC
09/28DJProcter & Gamble Sets Exchange Ratio for Its Stock in Sale of Beauty Business..
09/28DJU.S. HOT STOCKS : Hot Stocks to Watch
09/28DJL'OREAL : Forms Partnership as Product Testing Gets Hairier
09/26 Investors urge food companies to shift from meat to plants
09/20DJUnilever Buys Seventh Generation -- WSJ
More sector news : Personal Products - NEC
News from SeekingAlpha
09/29 Maiden Holdings Tops Financial Dog For September Gains
09/27 Real Estate Leader CXW Gains Upside As Price Sags
09/27 My 85 Stock Portfolio Evaluation Of Want To Buy Prices And Yields For Purchas..
09/26 BUFFETT : Mum's The Word With Wells Fargo
09/25 P&G Is Creating The Mother Of All Squeezes
Advertisement
Financials ($)
Sales 2017 66 042 M
EBIT 2017 13 251 M
Net income 2017 11 363 M
Debt 2017 22 764 M
Yield 2017 3,10%
P/E ratio 2017 20,85
P/E ratio 2018 21,02
EV / Sales 2017 3,91x
EV / Sales 2018 3,81x
Capitalization 235 520 M
More Financials
Chart PROCTER & GAMBLE CO
Duration : Period :
Procter & Gamble Co Technical Analysis Chart | PG | US7427181091 | 4-Traders
Full-screen chart
Technical analysis trends PROCTER & GAMBLE CO
Short TermMid-TermLong Term
TrendsBullishBullishBullish
Technical analysis
Income Statement Evolution
More Financials
Consensus
Sell
Buy
Mean consensus OUTPERFORM
Number of Analysts 22
Average target price 92,3 $
Spread / Average Target 4,6%
Consensus details
EPS Revisions
More Estimates Revisions
Managers
NameTitle
David S. Taylor Chairman, President & Chief Executive Officer
Jon R. Moeller Chief Financial Officer
Linda W. Clement-Holmes Chief Information Officer
Kathleen B. Fish Chief Technology Officer
Scott D. Cook Independent Director
More about the company
Sector and Competitors
1st jan.Capitalization (M$)
PROCTER & GAMBLE CO11.11%235 520
UNILEVER PLC24.40%139 607
UNILEVER2.28%139 602
UNILEVER N.V. (ADR)5.56%139 564
COLGATE-PALMOLIVE COMP..10.01%65 338
ESTEE LAUDER COMPANIES..-1.35%31 819
More Results