Procter & Gamble
The 10-second takeaway
For the quarter ended Sep. 30 (Q1), Procter & Gamble met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped and GAAP earnings per share contracted.
Gross margins increased, operating margins dropped, net margins dropped.
Procter & Gamble recorded revenue of $20.74 billion. The 15 analysts polled by S&P Capital IQ foresaw net sales of $20.78 billion on the same basis. GAAP reported sales were 5.4% lower than the prior-year quarter's $21.92 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $1.06. The 20 earnings estimates compiled by S&P Capital IQ predicted $0.96 per share. GAAP EPS of $0.96 for Q1 were 6.8% lower than the prior-year quarter's $1.03 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 50.1%, 60 basis points better than the prior-year quarter. Operating margin was 19.1%, 70 basis points worse than the prior-year quarter. Net margin was 13.6%, 20 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $21.74 billion. On the bottom line, the average EPS estimate is $1.09.
Next year's average estimate for revenue is $83.74 billion. The average EPS estimate is $3.90.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 7,431 members out of 7,678 rating the stock outperform, and 247 members rating it underperform. Among 1,962 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 1,922 give Procter & Gamble a green thumbs-up, and 40 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Procter & Gamble is outperform, with an average price target of $69.98.
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Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no positions in the stocks mentioned above. Motley Fool newsletter services recommend The Procter & Gamble Company. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.