Strong organic sales 

Procter & Gamble (PG) posted better-than-expected third-quarter sales. Procter & Gamble’s net sales of $16.5 billion beat analysts’ estimate of $16.4 billion and increased ~1% on a YoY (year-over-year) basis.

The company’s top-line beat was aided by its stellar organic sales, which increased 5% in the third quarter. Higher pricing (+2%), increased volumes (+2%), and a favorable product mix (+1%) drove the company’s organic sales.

Procter & Gamble Posted Strong Sales in Q3

Sign up for Bagels & Stox, our witty take on the top market and investment news, straight to your inbox! Whether you’re a serious investor or just want to be informed, Bagels & Stox will be your favorite email.

Two of the company’s largest markets, including the US and China, recorded organic sales growth of 4% and 11%, respectively. Management stated that organic growth was broad-based.

Kimberly-Clark (KMB) posted healthy organic sales growth during the last reported quarter. Kimberly-Clark’s organic sales rose 3% due to higher pricing and a positive mix. Higher pricing and innovation are expected to drive the organic sales of other consumer packaged goods companies including Colgate-Palmolive (CL), Church & Dwight (CHD), and Clorox (CLX).

Organic sales by segments

The beauty segment’s organic sales rose 9% due to higher volumes and pricing and a favorable mix. In the beauty segment, skin and personal care organic sales increased by the mid-teens, which reflects premium innovation and a favorable product mix. Organic sales in the hair care category marked mid-single-digit growth due to strong growth in developed and developing regions. Higher pricing supported organic sales.

The grooming segment’s organic sales continued to decline and fell 1% in the third quarter. The volumes were impacted by higher pricing amid heightened competitive activity.

The health care segment’s organic sales rose 5%, which reflected strong volumes growth and a favorable sales mix in developed markets. The fabric and home care segment’s organic sales rose 7%, which reflected innovation-driven volumes growth.

Organic sales in the baby, feminine, and family care segment increased 2% due to the higher pricing and mix. However, the baby care organic sales fell by the low-single digits, which reflected the heightened competitive activity.

Latest articles

Apple (AAPL) investors have had a roller coaster week. Apple stock has lost just under 2% in a week, ending on August 23, 2019.

Competition taking a toll on Netflix as its share of US subscription video streaming market keep falling as rivals gain ground.

Crude oil production continues to rise, and oil prices remain at $50. Despite that, US energy stocks aren’t getting investors’ interest.

Apple stock fell 4.6% as the US-China trade war intensified today. China warned of tariffs on more US goods, followed by Trump's tweeted response.

In response to new tariffs from China and President Trump's tweets, the market tanked to session lows on Friday. The DJIA nosedived more than 600 points.

Coverage on Cresco Labs has increased from seven analysts in July to nine in August. Six analysts favor a “strong buy,” and three recommend a “buy.”