Global company Procter & Gamble (P&G) has reported a strong sales performance for the second quarter of fiscal 2019, with net sales of $17.4 billion, primarily due to higher product pricing.
Organic sales increased by 4 per cent and the company returned $2.6 billion of cash to shareholders via nearly $1.9 billion of dividend payments and $0.8 billion of common stock repurchases.
“We delivered strong organic sales in the second quarter, building on our first quarter momentum, which enables us to increase our outlook for the year,” said David Taylor, P&G chairman, president and chief executive officer. “Our focus on superiority, productivity and improving P&G’s organization and culture is delivering improved results despite a challenging competitive and macroeconomic environment.”
Skin and Personal Care organic sales increased double digits due to premium innovation, positive product mix from the disproportionate growth of SK-II and Olay Skin Care brands and increased pricing. Hair Care organic sales increased low single digits primarily due to increased pricing. The Health Care segment, which includes Crest toothpaste, saw organic sales increase by 5 per cent while Oral Care organic sales lifted due to premium innovation.
The Fabric and Home Care segment, which includes Tide, saw organic sales increase 5 per cent for the quarter driven by innovation, increased pricing and positive mix due to the disproportionate growth of premium products.
P&G’s Baby, Feminine and Family Care segment saw organic sales lift 3 per cent compared to last year.
