Summary
Colgate-Palmolive Co. (CL) reported its second-quarter and first-half results for 2009, demonstrating resilience in a challenging global economic environment. For the three months ended June 30, 2009, net sales were $3.75 billion, a decrease of 5.5% compared to the prior year, primarily due to volume declines and unfavorable foreign exchange impacts, although net selling price increases partially offset this. Diluted earnings per share (EPS) rose to $1.07, an increase from $0.92 in the prior year's second quarter, reflecting improved profitability and effective cost management. The company saw strong performance in North America and Latin America, with solid organic sales growth in these regions. Despite global headwinds, including currency fluctuations and challenging macroeconomic conditions, Colgate-Palmolive maintained its focus on operational efficiency and strategic initiatives to drive growth and shareholder value.
Financial Highlights
45 data points| Revenue | $3.75B |
| Cost of Revenue | $1.54B |
| Gross Profit | $2.20B |
| SG&A Expenses | $1.30B |
| Operating Income | $887.00M |
| Net Income | $562.00M |
| EPS (Basic) | $0.56 |
| EPS (Diluted) | $0.54 |
| Shares Outstanding (Basic) | 1.00B |
| Shares Outstanding (Diluted) | 1.05B |
Key Highlights
- 1Net sales for the second quarter of 2009 were $3,745.0 million, a 5.5% decrease from the prior year, with volume declines and foreign exchange impact being key drivers.
- 2Diluted Earnings Per Share (EPS) increased to $1.07 for the three months ended June 30, 2009, up from $0.92 in the same period of 2008.
- 3Operating profit increased by 13% to $887.1 million in the second quarter of 2009, despite challenges, indicating improved operational efficiency.
- 4Organic sales (excluding foreign exchange, acquisitions, and divestments) grew by 6.0% in the second quarter of 2009, highlighting underlying business strength.
- 5The company successfully managed its selling, general, and administrative expenses, which decreased as a percentage of net sales due to lower advertising spend and cost-savings programs.
- 6Despite a decline in Europe/South Pacific and Greater Asia/Africa net sales, North America and Latin America showed positive net sales growth or resilience, with strong organic growth in Latin America.
- 7Cash provided by operations increased by 17% to $1,210.7 million in the first half of 2009, indicating robust cash generation.