“First quarter sales and earnings results were in line with our going-in expectations and keep us on track to deliver our targets for the fiscal year,” said David Taylor, chairman, president and chief executive officer. “We delivered organic sales growth in a decelerating global market and against a relatively strong base period. Market share trends continue to improve, with more of our top brands and countries holding or growing share. Looking forward, we will drive innovation, productivity and organization transformation to accelerate top-line growth while further expanding our industry-leading profit margins.”
Beauty segment organic sales increased 5%; organic sales were up double digits in skin and personal care driven by growth in China, including the continued acceleration of the super-premium SK-II brand due to the ongoing strength of the brand campaign. Organic sales increased low single digits in hair care primarily due to increased pricing across regions behind product innovation.
Grooming segment organic sales decreased 6% due to lower sales in shave care, partially offset by growth in appliances.
Oral care organic sales increased low single digits behind product innovation on power toothbrushes and toothpastes, and increased marketing support. Personal health care organic sales decreased low single digits due to decreased volume primarily caused by relatively lower levels of product innovation versus year ago.
Fabric and home care segment organic sales increased 2% versus year ago driven by gains in fabric care. Also, fabric care organic sales increased low single digits behind volume growth from product innovation and increased marketing support. Home care organic sales were unchanged. Baby, feminine and family care segment organic sales fell 1%.
P&G said it is maintaining its guidance for organic sales growth in the range of 2-3% for fiscal 2018.