P&G Announces Results for the Second Quarter of Fiscal Year 2024
P&G people delivered another strong quarter in Q2 fiscal year 2024 — solid sales, market share, margin progress, earnings and cash results — driven by the continued excellent execution of our integrated strategy — across portfolio, superiority, productivity, constructive disruption and organization.
We delivered strong results in the second quarter, enabling us to raise our core EPS growth guidance and maintain our top-line outlook for the fiscal year. We remain committed to our integrated strategy of a focused product portfolio of daily use categories where performance drives brand choice, superiority — across product performance, packaging, brand communication, retail execution and consumer and customer value — productivity, constructive disruption and an agile and accountable organization. The P&G team’s execution of this strategy has enabled us to build and sustain strong momentum. We have confidence this remains the right strategy to deliver balanced growth and value creation.
Second quarter organic sales grew 4%.
Growth across categories continued to be broad based, with eight of 10 product categories holding or growing organic sales in the quarter.
Focus markets grew 3% for the quarter, and Enterprise markets grew 7%.
As consumers continue to choose P&G brands, global aggregate value share was up 40 basis points versus the prior year, with 28 of our top 50 category/country combinations holding or growing share.
Core earnings per share were up 16% versus the prior year. On a currency neutral basis, core EPS increased 18%.
Adjusted free cash flow productivity was 95%.
We returned $3.3 billion of cash to shareowners through about $2.3 billion in dividends and $1 billion in share repurchase.
In summary, against what continues to be a challenging and volatile operating environment — strong overall results in the first half of the year, delivered by P&G people executing our integrated strategy:
- A focused portfolio of products in daily use categories where performance drives brand choice. Our portfolio is performing, delivering broad-based growth across nearly all categories and most geographies for several years.
- Irresistible superiority across the five vectors of product, package, brand communication, retail execution and value — holistically defined. We are leveraging that superiority to grow markets, and our share in them, to jointly create value with retail partners.
- Productivity improvement in all areas of our operations to fund investments in innovation, brand building and market growth, to mitigate cost and currency challenges, and to expand margins and generate cash.
- Constructive disruption of ourselves and our industry. A willingness to change, adapt and create new trends, technologies and capabilities that will shape the future of our industry and extend our competitive advantage.
- An empowered, agile and accountable organization that is also increasingly diverse, enabling us to serve an increasingly diverse set of consumers.
- Strengthening this strategy through four focus areas — supply, environmental sustainability, digital acumen and a superior employee value equation. These four focus areas are not new or separate strategies. They simply strengthen our ability to execute the strategy.
For a deeper dive into the results announced today, visit: https://news.pg.com/news-releases/news-details/2024/PG-Announces-Fiscal-Year-2024-Second-Quarter-Results/default.aspx. Slides and the webcast replay of earnings results are available at www.pginvestor.com/event.
See www.pginvestor.com/event for P&G's full Q2 FY24 earnings release issued January 23, 2024, the associated webcast presentation, definitions of non-GAAP measures and reconciliation to the most closely related GAAP measure, as well as cautionary information on forward-looking statements, which are based on current assumptions and subject to risks and uncertainties that may cause actual results to differ materially.