The Global Demographic Tailwind

[DewDiligence]

PG Tops Estimates, Raises FY2010 Guidance

[The figure most investors scrutinize for PG is the “organic growth,” which strips out the effects of FX and acquisitions; it was +2% year-over-year, better than the company’s prior guidance and the analysts’ consensus. PG’s fiscal year ends Jun 30; the quarter reported today was FY1Q10.]

http://www.reuters.com/article/marketsNews/idAFN2925686820091029

›Thu Oct 29, 2009 7:26am EDT

CHICAGO, Oct 29 (Reuters) - Procter & Gamble Co (PG) posted a quarterly profit well ahead of analysts' forecasts and said it has modestly higher expectations for growth in the industry even as consumers continue to remain cautious.

P&G's pantry of products have been pressured for months, as shoppers try cheaper brands than Pampers and Tide, and eschew indulgences such as Hugo Boss cologne and SK-II face cream.

The world's largest household products maker earned $3.31 billion, or $1.06 per share, in the fiscal first quarter that ended on Sept. 30, compared with a profit of $3.35 billion, or $1.03 per share, a year earlier. Analysts, on average, expected P&G to earn 99 cents per share, according to Thomson Reuters I/B/E/S. Net sales fell 6 percent to $19.8 billion, with declines in every category ranging from beauty to snacks and pet care.

Organic sales, which exclude the impact of currency fluctuations, acquisitions and divestitures, rose 2 percent. P&G had predicted such sales would be flat to down 3 percent.‹