Tide Pods laundry detergent is displayed at a Costco Wholesale store on May 15, 2026, in San Diego, California.
Kevin Carter | Getty Images
Procter & Gamble reported mixed quarterly results on Wednesday, as disappointing demand led to weaker-than-expected sales.
Shares of the company dropped more than 3% in premarket trading.
Here is how Procter & Gamble’s results compared with Wall Street expectations, based on an LSEG analyst survey:
- Adjusted earnings per share: $1.43, versus the $1.41 forecast
- Revenue: $21.2 billion, versus the $21.38 billion forecast
For the fiscal fourth quarter, Procter & Gamble reported net income attributable to the company of $3.04 billion, or $1.26 per share, down from $3.62 billion, or $1.48 per share, a year earlier.
Excluding restructuring costs, transaction gains, and other items, the company earned $1.43 per share.
Net sales rose 2% to $21.2 billion. The company’s organic revenue, which excludes acquisitions, divestitures, and currency fluctuations, remained flat for the quarter due to stable volume across P&G’s portfolio.
During full fiscal year 2026, Procter & Gamble recorded volume growth in only one quarter. Like many consumer goods companies, it has faced weakening demand as shoppers become more price-conscious, opting for cheaper private-label alternatives or making their household products last longer.
For the fiscal fourth quarter, Procter & Gamble’s beauty division was the top performer, with volume rising 3%. The segment includes Pantene shampoo and Olay and SK-II skincare products.
Fabric and home care was the sole other segment to register volume growth. The division, which encompasses Tide detergent and Swiffer, reported a 1% increase in volume during the quarter.
Procter & Gamble’s baby, feminine and family care division, as well as its grooming business, both reported a 1% decline in volume.
Health care was the division’s weakest performer this quarter. Housing Oral-B and Vicks, the division saw volume contract 3%, driven by declining oral care sales.
Looking ahead, the company does not forecast a significant pickup in product demand.
For fiscal 2027, Procter & Gamble expects core earnings per share to range between $6.89 and $7.11. The company is also projecting all-in sales growth of 1% to 3% compared with the prior year. Analysts on Wall Street were expecting earnings per share of $7.04 and revenue growth of 2.7% for fiscal 2027.
Procter & Gamble is presently estimating a $1 billion after-tax headwind from increased costs for raw materials, energy, and transportation. When combined with projections for higher net interest expense, lower non-operating income, and unfavorable currency movements, the company anticipates an 8% drag—or 56 cents—on its earnings per share for fiscal 2027.
Additionally, Procter & Gamble announced on Wednesday that CEO Shailesh Jejurikar will assume the role of board chair, effective August 1, alongside his current responsibilities. He will succeed former CEO Jon Moeller.
