Earnings

Colgate-Palmolive forecast a surprise fall in 2019 profit on Friday, as the world’s largest toothpaste maker spent more on advertising, while battling higher commodity costs.

The company’s share fell 3 percent to 60.4 before the bell.

Colgate is spending more on advertising as it battles competition from brands such as Procter & Gamble’s Oral-B and Unilever’s Close Up, especially in emerging markets.

Like other consumer goods companies, Colgate has also struggled with rising commodity costs in the last year, forcing it to raise prices in many markets.

Colgate said it expects a mid-single-digit decline in earnings per share in 2019, excluding certain charges, while analysts were expecting a 2.4 percent rise, according to IBES data from Refinitiv.

For the fourth quarter, Colgate’s adjusted net income fell 3 percent to $638 million. On a per-share basis, it earned 74 cents, beating analysts’ estimates of 73 cents, according to IBES data from Refinitiv.

Net sales fell to $3.81 billion from $3.89 billion, beating estimates of $3.77 billion.

Products You May Like

Articles You May Like

Pedestrian crash avoidance systems pass tests, with one notable exception
The new tax code offers extra perks for 529 savers. Your state may not
Here are 5 ways the super-rich manage to pay lower taxes
Auto sales are headed for further declines, says AutoNation CEO Mike Jackson
Why this year’s post-Oscar sales bump is unlikely to be huge for the best picture winner

Leave a Reply

Your email address will not be published. Required fields are marked *