Net Sales Increase 2% for P&G in Q2 2025

Net sales increased 2% for the Procter & Gamble Company in the second quarter 2025 to $21.9 billion, compared to the prior-year quarter.

Organic sales, which excludes the impacts of foreign exchange and acquisitions and divestitures, increased 3% versus the prior year. Diluted net earnings per share were $1.88, an increase of 34% versus prior year, due primarily to a non-cash impairment of the carrying value of the Gillette intangible asset in the base year. Core earnings per share were $1.88, an increase of 2% versus the prior year.

“The P&G team delivered an acceleration in organic sales growth, core EPS growth and strong cash return to shareowners in the second quarter,” said Jon Moeller, chairman of the board, president and CEO. “Our first-half results keep us on track to deliver within our guidance ranges on all key financial metrics for the fiscal year. We remain committed to our integrated growth strategy of a focused product portfolio of daily use categories where performance drives brand choice, superiority — across product performance, packaging, brand communication, retail execution and consumer and customer value — productivity, constructive disruption and an agile and accountable organization. This strategy has enabled our solid results and is a foundation for balanced growth and value creation.”

Beauty

Beauty segment organic sales increased 2% versus year ago. Hair care organic sales increased low single digits driven by volume growth in North America, Europe and Latin America and favorable geographic and premium product mix, partially offset by volume declines primarily in Greater China. Personal Care organic sales increased double digits driven by innovation-based volume growth. Skin Care organic sales declined mid-single digits due to volume declines, partially offset by favorable product mix from higher sales of the super-premium SK-II brand.

Grooming

Grooming segment organic sales increased 2% versus year ago behind innovation-driven volume growth partially offset by unfavorable geographic mix, officials said. Oral care organic sales increased low single digits driven by product mix from premium innovation. Personal health care organic sales increased low single digits due to volume growth and pricing, partially offset by unfavorable product mix.

Fabric and Home Care

Fabric and home care segment organic sales increased 3% versus year ago. Fabric care organic sales increased low single digits driven by volume growth and favorable geographic mix from growth in North America. Home care organic sales increased mid-single digits due to volume growth and favorable product mix.

Fiscal Year 2025 Guidance

P&G maintained its guidance range for fiscal 2025 all-in sales growth to be in the range of two to four percent versus the prior year. The combined headwinds from foreign exchange and divestitures are expected to negatively impact all-in sales growth by approximately one percentage point. The Company also maintained its outlook for organic sales growth in the range of 3 to 5%.

P&G continues to expect a core effective tax rate to be in the range of 20% to 21% in fiscal 2025. Capital spending is estimated to be in the range of 4 to 5% of fiscal 2025 net sales.

P&G continues to expect adjusted free cash flow productivity of 90% and expects to pay around $10 billion in dividends and to repurchase $6 to $7 billion of common shares in fiscal 2025.