$3 billion (Personal Care)
Ian Cook chairman, president and chief executive officer; Jean-Luc Fischer, president, Colgate-Africa/Eurasia; Vinod Nambiar, president, Colgate-Asia Pacific; Prabha Parameswaran, president, Colgate-Europe; Panagiotis Tsourapas, president, Colgate-Latin America.
Colgate oral care products; Tom’s of Maine; Irish Spring deodorants, soaps and body washes; Softsoap; Protex soap; Gard anti-dandruff shampoo with conditioner; Speed Stick and Lady Speed Stick antiperspirants and deodorants; Afta men’s toiletries.
Colgate Total Clean-In Between, Tom’s of Maine Rapid Relief Sensitive toothpastes; Softsoap Luminous Oils and Irish Spring Signature for Men body washes; Sanex Advanced Reviva Firm.
As chairman Ian Cook put it, challenging macroeconomics, foreign exchange volatility and slowed category growth all played a significant role in Colgate-Palmolive’s 2016 fiscal year, which saw corporate sales drop 5% and unit volumes also decline 3%.
The company still enjoyed strong market shares, with Colgate leading the way with 44% of the global toothpaste market (with a small dip of just -0.3%). In fact, oral care products accounted for 47% of the company’s overall net sales, with personal care at a distant second, contributing 20% of the sales. Actual net sales in these categories (which also included home care products), however, were down a total of -6.5% from 2015 though.
Regionally, Latin America ranked as Colgate-Palmolive’s top geographic region for net sales (24%) but experienced -15% in sales due to volume declines and unfavorable foreign exchange rates. The company’s second most lucrative market was North America, which commanded 21% of net sales and provided a tidy 1.0% increase thanks to +2.5% increase in volume growth in predominantly oral care and personal care. Asia-Pacific, which comprised 18% of the company’s net sales, clocked in at -5%. Sales in Europe (16%) dipped -3% where oral care gains were offset by declines in personal care and home care sales.
Developed markets accounted for 51% of 2016 net sales, while emerging markets rounded out the remaining 49%, where organic sales grew 6.5%.
In his statement to shareholders, Cook pledged that Colgate was working harder to engage customers with integrated marketing campaigns across digital media platforms.
News of Note in 2017
Fiscal 2017 continues to be difficult for Colgate-Palmolive. In Q1, sales were even at $3.7 billion, but global unit volume fell 2%. Organic sales grew less than 1%. Cook termed the quarter as “challenging” because the company did not meet its expectations.
Q2 net sales tallied $3.8 billion, a decrease of 0.5% versus second quarter 2016. Global unit volume decreased 1.0%, pricing increased 1.0% and foreign exchange was negative 0.5%. Organic sales were even with the year ago period.