The Procter & Gamble Company (NYSE:PG) reported its Q2 results on Thursday, highlighted by a decrease in net sales, which was due to the strong U.S. dollar negatively impacting international demand for PG’s consumer goods.
Net sales came in at $20.8 billion (down 1% year-over-year). The company, which generates over half of its income from international markets, announced that an “adverse” foreign exchange market had a 6% impact on net sales. Despite this, the figure was slightly above the Street estimate of $20.74 billion. The company reported Q2 EPS of $1.59, compared to the Street estimate of $1.58.
The higher pricing, however, likely allowed gross margins to finish roughly in line with Street expectations (47.5% vs. Street’s 47.3%). Growth across Beauty, Grooming, and Health Care lagged expectations, while Fabric & Home Care came in stronger (Baby, Feminine, & Family Care in line).
The company provided its outlook for fiscal 2023, raising its all-in sales guidance to (1%)-0% from prior (3%)-(1%). 2023 EPS growth guidance was maintained at 0-4%.