Luxury brand bounce-back boosts P&G beauty segment

Travel retail opportunities have seen the company’s SK-II enjoy disproportionate growth on the prior year period

Procter & Gamble has unveiled its fourth quarter and fiscal year 2021 results, with net sales for the quarter increasing 7% on the same period of 2020 to reach US$18.9bn and full year net sales at $76.1bn, also up 7%.

In the beauty segment, skin and personal care organic sales increased in double digits, driven by innovation and increased pricing, but also due to the disproportionate growth of P&G’s super-premium SK-II brand, due to a pandemic-related travel disruptions in the base period.

Hair care, meanwhile, increased but only in the low single digits.

Organic sales in grooming, meanwhile, were up 6% in Q4 2021 versus a year ago.

David Taylor, Chairman, President and Chief Executive Officer of P&G, said: “We delivered another year of strong results with balanced top and bottom-line growth and strong cash generation, exceeding each of our in-going targets.

“We built strong momentum prior to the pandemic and have strengthened our position further.

“As we look forward to fiscal 2022, we expect to continue to grow top-line and bottom-line and to deliver another year of strong cash return to shareholders despite a challenging cost and operating environment.”

P&G said it expects all-in sales growth in the range of 2-4% in fiscal year 2022 versus 2021.

 

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