Procter & Gamble (P&G) has been grabbing headlines following a corporate buying spree in the prestige beauty and haircare categories. Since November, the multinational has snapped up Farmacy Beauty, Ouai haircare and Tula Skincare.
But the US giant has been doing very well with its current portfolio of brands from Olay to Pantene. P&G’s net sales for its Q2 2022 reached US$21 billion – up six per cent over the same period a year earlier.
Skin and personal care sales increased by 2 per cent in the second quarter, driven by volume growth in personal care, innovation and pricing for major brands including Olay, SK-II and Snowberry.
Haircare organic sales rose in single digits, thanks to Pantene, Herbal Essences and Head & Shoulders. While Gillette, P&G’s powerhouse in the grooming sector, pushed shavecare sales up 5 per cent due to volume growth, increased pricing and sales in developed markets.
Babycare and feminine care, boosted by super-brands Pampers and Tampax, also saw a 5 per cent rise in organic sales in Q2.
We delivered very strong top-line growth and made sequential progress on earnings in the face of significant cost headwinds, said Jon Moeller, President and CEO of P&G. “These results keep us on track to deliver our earnings outlook and raise estimates for sales growth, cash productivity and cash return to shareowners.”
P&G has raised its all-in-sales growth outlook for fiscal 2022 from a range of 2 to 4 per cent to 3 to 4 per cent. The multinational has also upped its guidance for organic sales growth from a range of 2 to 4 per cent to 4 to 5 per cent.