Beauty Packaging Staff01.20.21
The Procter & Gamble Company reported second quarter fiscal year 2021 net sales of $19.7 billion, an increase of eight percent versus the prior year.
Business Segments
Beauty segment net sales increased six percent versus year ago. Skin and Personal Care organic sales increased mid-single digits primarily driven by innovation, increased pricing and positive mix impact of premium Olay Skin Care and Safeguard hand soap and hand sanitizer launches. Hair Care organic sales increased mid-single digits led by strong demand and retail execution in Greater China and increased pricing.
Grooming segment net sales increased five percent versus year ago. Appliances organic sales increased more than 20% due to increased demand for at-home shaving and styling products and innovation. Shave Care organic sales increased low single digits driven by innovation and devaluation-related pricing, partially offset by category contraction due to the pandemic and negative geographic mix impact.
Health Care segment net sales increased nine percent for the quarter. Oral Care organic sales increased double digits, with high single digits or higher growth in each region driven by innovation and positive mix impacts from the disproportionate growth of premium products. Personal Health Care organic sales increased mid-single digits primarily due to innovation, increased consumption, and increased pricing, partially offset by negative mix due to a decline in the sales of respiratory products driven by a lower-than-average incidence of cough, cold and flu this season.
Fabric and Home Care segment net sales increased 12% for the quarter. Fabric Care organic sales increased high single digits driven by innovations, incremental marketing spending, the disproportionate growth of premium forms like laundry unit dose and fabric enhancer beads and increased pricing. Home Care organic sales increased around 30% driven by increased consumer demand for home cleaning products during the pandemic, premium innovation and incremental marketing spending resulting in mid-single digits or higher growth in every region. Dish Care, Air Care and Surface Care each grew high teens or more.
Baby, Feminine and Family Care segment net sales increased six percent versus year ago.
Maintaining Strong Momentum
“We delivered another strong quarter of results across all key measures – top line, bottom line and cash,” said David Taylor, chairman, president and chief executive officer. “We remain focused on executing our strategies of superiority, productivity, constructive disruption and improving P&G’s organization and culture. These strategies enabled us to build strong business momentum before the COVID crisis, accelerated our progress in calendar year 2020 and remain the right strategies to deliver balanced growth and value creation over the long term.”
P&G raised its outlook for fiscal 2021 all-in sales growth from a range of three to four percent to a range of five to six percent versus the prior fiscal year.
Business Segments
Beauty segment net sales increased six percent versus year ago. Skin and Personal Care organic sales increased mid-single digits primarily driven by innovation, increased pricing and positive mix impact of premium Olay Skin Care and Safeguard hand soap and hand sanitizer launches. Hair Care organic sales increased mid-single digits led by strong demand and retail execution in Greater China and increased pricing.
Grooming segment net sales increased five percent versus year ago. Appliances organic sales increased more than 20% due to increased demand for at-home shaving and styling products and innovation. Shave Care organic sales increased low single digits driven by innovation and devaluation-related pricing, partially offset by category contraction due to the pandemic and negative geographic mix impact.
Health Care segment net sales increased nine percent for the quarter. Oral Care organic sales increased double digits, with high single digits or higher growth in each region driven by innovation and positive mix impacts from the disproportionate growth of premium products. Personal Health Care organic sales increased mid-single digits primarily due to innovation, increased consumption, and increased pricing, partially offset by negative mix due to a decline in the sales of respiratory products driven by a lower-than-average incidence of cough, cold and flu this season.
Fabric and Home Care segment net sales increased 12% for the quarter. Fabric Care organic sales increased high single digits driven by innovations, incremental marketing spending, the disproportionate growth of premium forms like laundry unit dose and fabric enhancer beads and increased pricing. Home Care organic sales increased around 30% driven by increased consumer demand for home cleaning products during the pandemic, premium innovation and incremental marketing spending resulting in mid-single digits or higher growth in every region. Dish Care, Air Care and Surface Care each grew high teens or more.
Baby, Feminine and Family Care segment net sales increased six percent versus year ago.
Maintaining Strong Momentum
“We delivered another strong quarter of results across all key measures – top line, bottom line and cash,” said David Taylor, chairman, president and chief executive officer. “We remain focused on executing our strategies of superiority, productivity, constructive disruption and improving P&G’s organization and culture. These strategies enabled us to build strong business momentum before the COVID crisis, accelerated our progress in calendar year 2020 and remain the right strategies to deliver balanced growth and value creation over the long term.”
P&G raised its outlook for fiscal 2021 all-in sales growth from a range of three to four percent to a range of five to six percent versus the prior fiscal year.
