Colgate-Palmolive tops Q4 consensus expectations By Investing.com

By Sam Boughedda

Colgate-Palmolive (NYSE:) shares fell before the open Friday in reaction to its latest earnings report in which the company topped earnings and revenue consensus expectations.

The consumer products firm posted earnings of $0.77 per share, $0.01 better than the analyst estimate of $0.76, while revenue for the quarter came in at $4.63 billion versus the consensus estimate of $4.57B.

However, its EPS declined 3% compared to the same period last year, while on a GAAP basis, its EPS declined 94% to $0.01, driven by goodwill and intangible assets impairment charges related to the Filorga skin health business.

The company’s net sales increased 5%, with organic sales rising 8.5% year-over-year. Full-year net sales rose 3%, with organic sales for the year up 7%.

CL shares were down 3.6% in premarket trading.

Colgate-Palmolive said 2022 demonstrated a continuation of its strong growth momentum despite the difficult macroeconomic environment it had to navigate.

“By delivering on our revenue growth management and productivity initiatives, we are continuing to fund increased investment behind innovation, advertising and digital transformation, which is helping to drive this broad-based growth and deliver improved market share performance,” said Noel Wallace, chairman, president, and chief executive officer at CL.

Looking forwards, the company expects net sales growth to be between 2% and 5%, which includes the benefit from its acquisitions of pet food businesses and a low-single-digit negative impact from foreign exchange. Organic sales growth is seen towards the high end of its long-term targeted range of 3% to 5%.