Colgate-Palmolive Q1 Sales $5.32B, EPS 97¢ Beat Estimates
Colgate-Palmolive reported Q1 net sales of $5.32 billion and adjusted EPS of $0.97, exceeding forecasts for $5.22 billion and $0.95. Overseas volume growth of 1.1% and a 2.2% pricing lift offset a 3.2% North America volume decline, with full-year sales guidance at 2–6% growth despite a lower margin outlook from tariffs.
1. Q1 Performance Highlights
Colgate-Palmolive reported net sales of $5.32 billion for the quarter, surpassing $5.22 billion expectations, and delivered adjusted EPS of $0.97 versus $0.95 forecasts. Pricing initiatives added 2.2% to revenues while overall volumes rose 1.1%.
2. Segment and Regional Trends
Strong international demand underpinned growth, offsetting a 3.2% volume decline in North America as price-sensitive shoppers traded down to lower-cost alternatives. Four of five divisions and every category saw organic sales gains.
3. Guidance and Margin Outlook
Full-year 2026 net sales growth guidance remains at 2%–6% and non-GAAP EPS growth in the low to mid-single digits. Gross profit margin expectations were lowered following tariffs finalized as of April 29, which are projected to impact input costs.
4. Strategic Growth and Productivity Program
The board approved an expansion of the cost-savings program, raising cumulative pretax charges to $350 million–$550 million from $200 million–$300 million. Once fully implemented, annual pretax savings of $200 million–$300 million are expected.