Business

Procter & Gamble warns of high costs and slow sales

Procter & Gamble Co. has shown a bleak outlook for the next year, predicting slower sales and historically high costs of raw materials and transportation as inflation recovers and the global health crisis continues.

Manufacturers of Pampers diapers and tide detergents recorded increased sales in almost every business unit in the last quarter, but growth slowed and profit margins slowed as the company spent more on manufacturing and delivering products. It has dropped.

The result is P & G by David Taylor Resigned as CEO in November After 6 years of execution. He will be replaced by John Moller, Vice President of P & G for the past two years and former Finance Officer.

“Product and cost pressures have increased significantly,” Taylor said in an interview. “You have a harsh external environment and a raging pandemic. Many parts of the world are in the worst possible situation ever.”

P & G expects rising freight rates and commodity costs to hit $ 1.9 billion after tax, and sales growth for the fiscal year beginning July 1 will slow in half.

Procter & Gamble warns of high costs and slow sales

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