Colgate-Palmolive Company Announces Unaudited Consolidated Earnings Results for the First Quarter Ended March 31, 2017; Provides Earnings Guidance for the Year 2017
April 27, 2017
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Colgate-Palmolive Company announced unaudited consolidated earnings results for the first quarter ended March 31, 2017. For the quarter, the company reported net sales of $3,762 million against $3,762 million a year ago. Operating profit was $885 million against $867 million a year ago. Income before income taxes was $862 million against $839 million a year ago. Net income attributable to the company was $570 million or $0.64 per diluted share against $533 million or $0.59 per diluted share a year ago. Net cash provided by operations was $691 million compared to $614 million for the same period a year ago. Capital expenditures were $121 million against $114 million a year ago. Operating profit, non-GAAP was $931 million against $922 million a year ago. Net income attributable to the company non-GAAP was $601 million or $0.67 per diluted share against $571 million or $0.63 per diluted share a year ago.
As the company look ahead, uncertainty in global markets and slowing category growth worldwide remain challenging. While based on current spot rates, the company continues to expect a low-single-digit net sales increase for 2017, based on slow start to the year, now expect organic sales growth for 2017 to be modestly below 4% - 7% range with sequential improvement throughout the year. On a GAAP basis, based on current spot rates, the company is planning for a year of gross margin expansion and expect earnings per share on a dollar basis to be flat.
Colgate-Palmolive Company is one of the worldwide leaders in the manufacturing and marketing of cleaning and hygiene products. The group also products and sells pet food (dogs and cats). Net sales break down by family of products as follows:
- hygiene and cleaning products (78%): oral hygiene (toothpaste, toothbrushes, mouthwashes, etc.; Colgate brand), body care (soaps, shower gels, shampoos, conditioners, deodorants, shaving products, etc.; Palmolive, Speed Stick, Softsoap, etc.), household care, and linen care (dishwashing liquids, detergents, stain removers, fabric softeners, bleach, etc.; Palmolive, Ajax, Soupline, Suavitel, etc.). Net sales are distributed geographically as follows: North America (25.9%), Latin America (30.6%), Asia-Pacific (18.3%), Europe (18.1%), Africa and Eurasia (7.1%);
- cat and dog foods (22%; Hill's): world leader.
Colgate-Palmolive Company Announces Unaudited Consolidated Earnings Results for the First Quarter Ended March 31, 2017; Provides Earnings Guidance for the Year 2017