| The Procter & Gamble Company: (NYSE:PG) reported fourth quarter and fiscal year 2024 results. |
| “Fiscal year 2024 was another year of strong results for P&G,” said Jon Moeller, Chairman of the Board, President and Chief Executive Officer. “The team met or exceeded our going-in plans for organic sales growth, core EPS growth, cash generation and cash returned to shareowners in a challenging economic and geopolitical environment. As we look forward to fiscal 2025, we expect to deliver strong organic sales growth, EPS growth and free cash flow productivity – each in-line with our long-term growth algorithm. We remain committed to our integrated strategy – a focused product portfolio of daily use categories where performance drives brand choice, superiority (of product performance, packaging, brand communication, retail execution and consumer and customer value), productivity, constructive disruption and an agile and accountable organization – all aimed at delivering sustainable, balanced growth and value creation.” |
| Fiscal Year ($ billions, except EPS) |
| GAAP |
2024 |
2023 |
% Change |
|
Non-GAAP* |
2024 |
2023 |
% Change |
| Net Sales |
$84.0 |
$82.0 |
+2% |
Organic Sales |
n/a |
n/a |
+4% |
| Diluted EPS |
$6.02 |
$5.90 |
+2% |
Core EPS |
$6.59 |
$5.90 |
+12% |
|
| Fourth Quarter ($ billions, except EPS) |
| GAAP |
2024 |
2023 |
% Change |
|
Non-GAAP* |
2024 |
2023 |
% Change |
| Net Sales |
$20.5 |
$20.6 |
—% |
Organic Sales |
n/a |
n/a |
+2% |
| Diluted EPS |
$1.27 |
$1.37 |
(7)% |
Core EPS |
$1.40 |
$1.37 |
+2% |
|
| * Please refer to Exhibit 1 - Non-GAAP Measures for the definition and reconciliation of these measures to the related GAAP measures. |
| Fiscal Year 2024 Results: |
| The Company reported fiscal year 2024 net sales of $84.0 billion, an increase of two percent versus the prior year. Organic sales, which excludes the impacts of foreign exchange and acquisitions and divestitures, increased four percent. Higher pricing contributed four points of growth to organic sales. Shipment volumes and mix were unchanged versus the prior year. |
| Diluted net earnings per share were $6.02, an increase of two percent versus prior year as the increase in net sales was partially offset by a non-cash charge to impair the carrying value of the Gillette trade name intangible asset and higher non-core restructuring charges. Core net earnings per share increased by 12% to $6.59. Currency-neutral core EPS increased 16% versus the prior year EPS. |
| The Company generated operating cash flow of $19.8 billion and net earnings of $15.0 billion for the fiscal year. Adjusted free cash flow productivity was 105%, which is calculated as operating cash flow less capital spending and certain other items, as a percentage of net earnings excluding the Gillette impairment charge and non-cash charge for accumulated foreign currency translation losses due to the substantial liquidation of operations in certain Enterprise Markets, including Nigeria. |
| The Company returned over $14 billion of value to shareholders in fiscal 2024 via $9.3 billion in dividend payments and $5 billion of share repurchases. With the dividend increase in April 2024, this marks the 68th consecutive year that P&G has increased its dividend and the 134th consecutive year that P&G has paid a dividend since its incorporation in 1890. |
| April-June Quarter Results: |
| The Company reported fiscal year 2024 fourth quarter net sales of $20.5 billion, unchanged versus the prior year. A one percent increase in all-in volume and one percent increase due to higher pricing were offset by two percentage points of unfavourable foreign exchange impacts. Organic sales, which excludes the impacts of foreign exchange and acquisitions and divestitures, increased two percent. Excluding the impacts of acquisitions and divestitures, organic volume increased two percent. Mix had a neutral impact on sales growth for the quarter. |
| Diluted net earnings per share were $1.27, a decrease of seven percent versus the prior year driven primarily by higher restructuring charges related to the substantial liquidation of operations in certain Enterprise Markets, including Nigeria. Core net earnings per share increased two percent to $1.40. Currency-neutral core EPS increased six percent versus the prior year EPS. |
| Operating cash flow was $5.8 billion and net earnings were $3.1 billion, with adjusted free cash flow productivity of 148%. |
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The Procter & Gamble Company |
