P&G shares rise despite cut to profit forecast as demand remains high
Procter & Gamble saw shares rise by more then 4% on Tuesday after reporting strong consumer demand in its second quarter.
In the three months to December, volume grew 4% in the US and 3% in Europe as it increased global prices by 4%, however, the consumer goods company cut its annual profit forecast following a $1.3bn (£1.01bn) charge after a drop in the value of its Gillette business.
However margins were better than expected as P&G’s gross margin increased by 590 points before currency effects, Financial Times reported.
Subscribe to Grocery Gazette for free
Sign up here to get the latest grocery and food news each morning
P&G chief financial officer Andre Schulten said that price increases at the group would likely slow and that the next two quarters would “see less pricing benefit”
