Procter & Gamble (P&G) disclosed elevated earnings on Friday, October 24, boosted in part by robust sales of personal hygiene items and enhanced outcomes in China as the firm anticipated a reduced impact from levies.
The producer of Tide cleanser, Pampers nappies, Head&Shoulders and Pantene hair cleansers, in addition to Bounty paper rolls, registered augmented sales across all five product divisions, with the most substantial gains in beauty and personal care.
This materialized despite what the US-based entity depicted as a “demanding consumer and geopolitical backdrop” with inflation-burdened shoppers and rapidly altering tariff guidelines.
Earnings for the quarter concluding September 30 reached US$4.8 billion, a 20 percent increase. Revenue grew by three percent to $22.4 billion.
The consumer products giant — which revealed a reduction in non-factory workforce in June following the tariff pressure — now projects an impact of US$500 million in fiscal year 2026, a decrease from a prior projection of US$1 billion.
Chief Financial Officer Andre Schulten stated that the improved anticipation mirrored actions by the White House to excuse from tariffs “natural substances and elements” not cultivated in the United States, such as eucalyptus wood pulp and psyllium.
“Fundamentally, what the government has implemented is the granting of exemptions, extensive exemptions in various tariff structures for those materials impossible to cultivate domestically, which is greatly appreciated and logical,” he articulated during a conference discussion with analysts.
Schulten indicated that the company’s strategy to dismiss 7,000 non-manufacturing positions over a span of two years remained on course. The objective is “smaller, better-organized teams” equipped to harness digital advancements “to prioritize the consumer and brand development,” he remarked.
P&G has experienced progress in the expanded China market, where revenues increased by five percent. Schulten described the performance as “very substantial headway” after a reassessment of strategies and marketing while depicting the competitive setting as challenging.
“I don’t anticipate it to be uniform progression, but I am optimistic about the advances achieved,” Schulten commented regarding China.
