Pandemic-driven cleaning routines boost P&G sales forecast again

FILE PHOTO: Procter & Gamble’s Oral-B toothbrush heads are seen in a store in Manhattan, New York, U.S., August 1, 2016. REUTERS/Andrew Kelly/File Photo GLOBAL BUSINESS WEEK AHEAD

(Reuters) – Procter & Gamble Co raised its full-year sales forecast for a second time on Wednesday as the consumer products giant benefited from a sustained high level of demand for its home care and cleaning products due to the COVID-19 pandemic. The company’s shares rose 2% before the opening bell.

P&G said it expects full-year sales to rise 5% to 6%, compared with a prior forecast of a 3% to 4% increase.

The company also raised its fiscal 2021 core earnings per share forecast to 8% to 10%, from 5% to 8%, and said organic sales are now expected to grow 5% to 6%, compared with the 4% to 5% it anticipated earlier.

Net sales beat Wall Street predictions, rising 8% to $19.75 billion in the three months to Dec. 31. Analysts on average had estimated $19.27 billion, according to IBES data from Refinitiv. The boost was led by a jump in sales in its Fabric and Home care business, which sells Tide Pods and Microban 24 disinfectant sprays.

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