“We again delivered top tier performance within the consumer packaged goods industry including full year organic sales growth of 3.2%, double digit international organic sales growth, adjusted gross margin expansion of 120 basis points and adjusted earnings growth of 9.3%,” said Matthew Farrell, CEO. “We overcame the year-long cyclical weakness in our specialty products business to deliver on our commitment to shareholders. Finally, we concluded the year with a strong fourth quarter.”
Organic sales increased by 2.7% primarily due to A&H liquid and unit dose laundry detergent, A&H cat litter, Batiste dry shampoo, vitamins and Oxiclean additives, partially offset by a decline in sales of A&H powder laundry detergent and Spinbrush toothbrushes. Volume growth contributed 3.5% to organic sales partially offset by a decrease of 0.8% attributable to product mix and pricing.
Arm & Hammer unit dose laundry detergent grew at twice the category consumption growth for the third consecutive quarter while also increasing share, said Church & Dwight.
C&D’s consumer international segment reported net sales were $127.6 million, up 2.1%. Organic sales increased by 7.4%, driven largely by Batiste, Oxiclean and A&H baking soda in the export business and Sterimar, A&H liquid laundry detergent and baking soda in Mexico. Volume increased 7.2%, while favorable product mix and pricing contributed 0.2%.