Procter & Gamble (PG) reported earnings on Tue 25 Oct 16 (b/o)

** charts before earnings **

 

** charts after earnings **

 

Procter & Gamble beats by $0.05, reports revs in-line; reaffirms FY17 guidance :

• Reports Q1 (Sep) earnings of $1.03 per share, $0.05 better than the Capital IQ Consensus of $0.98; revenues fell 0.1% year/year to $16.52 bln vs the $16.48 bln Capital IQ Consensus. Organic sales increased three percent. Organic sales increased in all five business segments driven by low-to-mid single digit organic volume growth in all segments. Core operating profit margin increased 20 basis points as improvement in core gross margin was partially offset by an increase in core SG&A costs as a percent of net sales. Operating cash flow was $3.0 billion for the quarter. Free cash flow productivity was 85%. The Company repurchased $1 billion of common stock and returned $1.9 billion of cash to shareholders as dividends.
• Co reaffirms guidance for FY17, sees mid single digit EPS growth to ~$3.82-3.89 vs. $3.88 Capital IQ Consensus; sees FY17 revs +1% to ~$65.95 bln vs. $66 bln Capital IQ Consensus Estimate; organic sales +2%; the Company expects the combined headwinds of foreign exchange and minor brand divestitures to reduce sales growth by about one percentage point.