Key takeaways from P&G Q1 financial results in a volatile global economy
Proctor and Gamble recently released its quarter-one financial results, indicating a turbulent market and the company’s philosophy on surviving the economy.
While P&G saw a slight increase in net sales compared to 2021, roughly $274 million, the company overall had a 4% decrease in net earnings.
Chief Financial Officer Andre Schulten said on the earnings call that several factors are contributing to that result, including:
- High commodity and transportation costs
- Inflation in the upstream supply chain
- Inflation in P&G’s operation costs
- Accelerating headwinds from foreign exchange
- Geopolitical issues
- COVID disruptions impacting consumer confidence
- Historically high inflation impacting consumer budgets
- Lower shipments in Russia
- Greater China sales down due to COVID-19 lockdowns and lower consumer confidence