Introduction
Shailesh G. Jejurikar
Chairman of the Board, President
and Chief Executive Officer
Dear Shareowners,
We met our core objectives for fiscal year 2026 despite unexpected headwinds. We managed through a very volatile environment to deliver another year of organic sales and core earnings-per-share growth within our initial guidance ranges. We built plans to return to consistent growth across all categories and regions, and we stabilized global market share. Importantly, we continued our long-standing track record of returning cash to you, our shareowners.
Organic sales grew more than 1%. Core earnings per share grew 1%. On a currency neutral basis, core earnings per share were in-line with the prior year. Adjusted free cash flow productivity was 100%.
Over the course of the year, we sequentially improved top-line results — moving from up one point in the first half of the year to two points in the second half. We also saw improvement in market share in the second half despite some softening in underlying market growth as inflation increased. Positive trends to build on in the year ahead.
Growth was broad-based across categories and regions.
Nine of 10 product categories held or grew organic sales for the year. Hair Care and Skin & Personal Care each grew mid-single digits. Personal Health Care, Baby Care, Home Care, Fabric Care, Feminine Care, Grooming and Oral Care were each in-line to up low single digits. Family Care was down for the year.
All regions held or grew organic sales.
Fiscal Year 2026
By the Numbers
Focus market organic sales were up 1% for the year, with North America and Europe Focus Markets each up modestly. Greater China organic sales were up 4% for the year.
Enterprise markets were up 4%, led by Latin America with 6% organic sales growth.
E-commerce sales increased 6%, now representing 20% of Company total sales.
Twenty-six of our top 50 category/country combinations held or grew share for the fiscal year. Five of 10 product categories held or grew share globally. In aggregate, global value and volume share trends improved in the back-half, exiting the year roughly flat.
We increased our dividend by 3% and returned over $15 billion of value to shareowners through over $10 billion in dividends and $5 billion in share repurchase. This was our 70th consecutive annual dividend increase, and the 136th consecutive year P&G has paid a dividend.
In summary, fiscal 2026 was another year of sales and earnings growth and strong cash return to shareowners. Despite the volatile geopolitical, macroeconomic and consumer dynamics we faced — headwinds not anticipated at the start of the fiscal year — we delivered within our going-in guidance ranges across all key financial metrics.
There is much to build on in the year ahead with broad-based growth across all regions and with nine of 10 categories growing or holding organic sales. We also finished the year holding global share, with trends improving in the second semester. However, there is clearly more work to be done to sustain and accelerate the momentum underway. We believe we are focused on the right strategic choices and executional plans to deliver the sequential progress we expect moving forward, and we are committed to improving results semester by semester and year by year.
VARIOUS STATEMENTS IN THIS ANNUAL REPORT, including estimates, projections, objectives and expected results, are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 and are generally identified by the words “believe,” “expect,” “anticipate,” “intend,” “opportunity,” “plan,” “project,” “will,” “should,” “could,” “would,” “likely” and similar expressions. Forward-looking statements are based on current assumptions that are subject to risks and uncertainties that may cause actual results to differ materially from the forward-looking statements, including the risks and uncertainties discussed in Item 1A – Risk Factors of the Form 10-K included in this Annual Report. Such forward-looking statements speak only as of the date they are made, and we undertake no obligation to update or revise publicly any forward-looking statements, except as required by law.