P&G reports 9 percent growth for Q1 2009
CINCINNATI Procter & Gamble announced on Oct. 29 that first quarter net sales rose 9 percent $22 billion, while volume grew 2 percent driven in part by double-digit growth of Gillette Fusion, Head & Shoulders and Cover Girl.
“This quarter was yet another example of the strength of P&G’s balanced brand and geographic portfolio,” chairman and chief executive officer A.G. Lafley said. “We continue to focus on delighting consumers with trusted household and personal care products that consumers purchase weekly and use daily gives me continuing confidence P&G will deliver target growth over the long term, even in a challenging economic environment.”
Net sales for the quarter rose 9 percent to $22 billion. Price increases added 3 percent to net sales, according to P&G, and a favorable foreign exchange contributed 5 percent to sales growth. Disproportionate growth in developing regions and product mix shifts drove a negative 1 percent mix impact on sales. Organic sales rose 5 percent for the quarter.
Net earnings increased 9 percent to $3.3 billion and diluted net earnings per share rose 12 percent to $1.03 for the quarter.
In beauty, net sales rose 12 percent during the quarter to $5.1 billion. Globally, all major retail hair care brands contributed to volume growth led by mid-single digit growth of Pantene and double-digit growth of Head & Shoulders and Rejoice. This was partially offset by a low-single digit decline in professional hair care. Cosmetics volume grew double-digits behind continued growth of Cover Girl. Skin care volume grew low-single digits due to double-digit growth of SK-II. Earnings grew 9 percent during the quarter to $754 million.
In grooming, net sales were up 6 percent to $2.1 billion. Blades and razors volume grew low-single digits as double-digit growth of Gillette Fusion and high-single digit growth of Venus were mostly offset by declines in legacy shaving systems. Net earnings increased 6 percent to $478 million during the quarter.
Celeb stylist, Kate Hudson collaborate on WildAid hair care line
LOS ANGELES Celebrity hairstylist David Babaii and actress Kate Hudson have announced the launch of retail partnerships with select Target, CVS and Duane Reade stores for the David Babaii for WildAid hair care line beginning this fall.
International distribution of the eco-friendly line is slated for 2009.
“We are thrilled to work with Target, CVS and Duane Reade since they provide consumers with an opportunity to buy professional grade products at cost effective prices,” Babaii said.
As previously reported by Drug Store News, Hudson and Babaii teamed up to develop the hair care line, and a percentage of the revenue benefits the global wildlife conservation organization WildAid.
WildAid works with governments and communities of the world to reverse the devastation to the planet’s wildlife. Their mission is to end the illegal wildlife trade and allow threatened species to recover to safe levels. The non-profit organization is based in San Francisco with representation in China, India, Galapagos, London and New York.
Made with a blend of natural ingredients, the products are free of sulfates, parabens, animal products and animal testing.
Philips Norelco asks men to sport moustaches for prostate cancer awareness
STAMFORD, Conn. Philips Norelco is teaming up with charitable organization Movember to raise awareness for prostate cancer, a disease that affects 1-in-6 men.
Movember is a global charity event that invites men to grow moustaches for the month of November. The moustache serves as the “hairy ribbon” and the vehicle by which participants in Movember raise funds and awareness for men’s health, specifically prostate cancer.
“How men wear facial hair is an indication of their personal style, and Philips Norelco makes products for every look,” Jacopo D’Alessandris, senior director of customer marketing for Philips Norelco said. “We’re excited to partner with an organization like Movember that encourages men to have fun with their style while helping an important cause.”
Participants are asked to start the month of November clean-shaven. Throughout the month, men can grow their moustaches and groom and style them to reflect their individual personalities. The moustache then becomes the catalyst to discuss men’s health issues with friends, family and co-workers, according to the company.
The “Mo’-vement” concludes at gala parties nationwide—in New York, Los Angeles, San Francisco, Aspen, Chicago and San Diego—where men will shave off their moustaches in celebration of Movember.