P&G's Losing Gamble: Fool by Numbers

On May 3, Procter & Gamble (NYSE: PG  ) released Q3 2006 earnings for the period ending March 31.

  • Sales of $17.25 billion came up $350 million short of Street expectations.
  • Margins improved across the board, thanks to pricing power, increased volume, and cost savings.
  • Management raised the mid-point of full-year guidance by $0.02 because of what it said was "strong business performance" and good progress in integrating Gillette, which it acquired last March.

(Figures in millions, except per-share data)

Income Statement Highlights

Avg. Est.

Q3 2006

Q3 2005







Net Profit










Get back to basics with a look at the income statement.

Margin Checkup

Q3 2006

Q3 2005


Gross Margin




Op. Margin




Net Margin




Margins are the earnings engine. See how they work.

Balance Sheet Highlights


Q3 2006

Q3 2005


Cash+ ST Invest.








Accounts Rec.





Q3 2006

Q3 2005


Long-Term Debt




Accounts Pay.




Learn the ways of the balance sheet.

Cash Flow Checkup

Q3 2006

Q3 2005


Cash From Ops




Capital Expend.




Free Cash Flow




Find out why Fools always follow the money.

Related Companies:

  • Church & Dwight (NYSE: CHD  )
  • Clorox Co. (NYSE: CLX  )
  • Colgate-Palmolive (NYSE: CL  )
  • Johnson & Johnson (NYSE: JNJ  )
  • Kimberly Clark (NYSE: KMB  )
  • Unilever (NYSE: UL  )

Related Foolishness:

Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so checkFool.comfor more of our in-depth discussion of what the numbers mean.

Unilever is aMotley Fool Income Investorselection. Colgate-Palmolive is aMotley Fool Inside Valuepick. Check out our entire suite of newsletters by clicking here.

Fool contributor Tim Beyers didn't own shares in any of the companies mentioned in this story at the time of publication. You can find out what is in his portfolio by checking Tim's Fool profile. The Motley Fool has an ironclad disclosure policy.

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Tim Beyers

Tim Beyers first began writing for the Fool in 2003. Today, he's an analyst for Motley Fool Rule Breakers and Motley Fool Supernova. At, he covers disruptive ideas in technology and entertainment, though you'll most often find him writing and talking about the business of comics. Find him online at or send email to For more insights, follow Tim on Google+ and Twitter.

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11/30/2015 3:59 PM
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