Procter & Gamble earnings beat estimates, but weak demand in China hurts sales

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Procter & Gamble said volume fell in its Greater China market despite the earnings beat.

Procter & GambleHere's what the company reported compared with what Wall Street was expecting, based on a survey of analysts by LSEG:Revenue: $21.74 billion vs. $21.91 billion expected

The company reported flat volume for the quarter. The metric excludes pricing, which makes it a more accurate reflection of demand than sales. Like many consumer companies, P&G has seen demand for its products fall after several years of price hikes. Last quarter was the first time in more than two years that its volume increased.

P&G's beauty business, which includes brands like Pantene and Olay, saw volume fall 2% in the quarter. In particular, its skin care segment struggled, with organic sales tumbling more than 20%. P&G blamed the steep decline on lower volume and decreased sales of its pricey SK-II brand, which has struggled ever since pandemic lockdowns.

 

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