P&G profit surges 144% in Q4 2012

Consumer and personal care products offering firm Procter & Gamble (P&G) has reported a 144% increase in profit to $4.1bn for the second quarter ended 31 December 2012, up from $1.7bn during the same quarter in 2011.

The firm posted revenue of $22.18bn for the current quarter, as against $21.74bn in the corresponding quarter of the previous year.

P&G said the growth was primarily gained from the purchase of the balance of P&G’s Baby Care and Feminine Care joint venture in Iberia, which was completed on 22 October 2012.

The firm’s operating income for the fourth quarter increased to $4.49bn, compared to $2.68bn in the fourth quarter of 2011.

Procter & Gamble chairman, president and chief executive officer Bob McDonald said the firm has attained the growth from implementing growth strategy and progress in productivity and cost savings goals.

"Our strong first half results have enabled us to raise our sales, earnings and share repurchase outlook for the fiscal year, while we strengthen investments in our innovation and marketing programs," McDonald added.

The firm’s beauty care segment net sales grew by 1% to $5.4bn, while the organic sales rose 3% and the unit volume was unchanged.

Grooming division reported a decrease in net sales of 4% to $2.12bn , whereas the unit volume was down by 2% and organic sales attained a 2% growth.

Baby Care and Family Care net sales rose 4% to $4.32bn on unit volume growth of 6% and the organic sales increased 5%.

Procter & Gamble (P&G), an American multinational consumer goods company headquartered in Cincinnati, operates in personal care, cleaning agents, foods and beverages segments.

Image: P&G delivered broad-based organic sales growth, with all business segments increasing organic sales by 2% or more as against the prior year. Photo: Derek Jensen (Tysto).