Procter & Gamble hurt by strong dollar | RetailDetail

Procter & Gamble hurt by strong dollar

Procter & Gamble hurt by strong dollar

A strong dollar has hit Procter & Gamble quite hard in its fourth quarter, weakening both its turnover and profit.

Turnover dropped 4 %

"The October – December 2014 quarter was a challenging one, with unprecedented currency devaluations. Virtually every currency in the world devalued versus the U.S. dollar, with the Russian Ruble leading the way", CEO Alan Lafley said at the numbers's presentation.


The disadvantageous exchange rates have kept the American company's turnover at 20.2 billion dollars (17.8 billion euro) for its fourth quarter, 4 % lower than in the same period the year before. Net profit even dropped 31 % to 2.37 billion dollars (2.09 billion euro).


Lafley believes the exchange rate will continue to impact his company for months to come. For its full fiscal year, from July - June, he expects a 5 % turnover drop and a 12 % drop in net profit. To keep the effects to a minimum, the company which owns brands like Pampers, Luvs, Head & Shoulders, Ariel and Pantene, will cust costs while less profitable brands will be sold.

Questions or comments? Please feel free to contact the editors

Australian cult brand Aesop opens in Belgium


Aesop, an Australian beauty brand, is to open a first store in the Belgian fashion capital Antwerp. It would be the first own store for the chain in the Benelux. 

Henkel stays steady in difficult market conditions


Despite negative exchange rates and logistical issues in the United States, Henkel still sees positive signs in the first quarter. Its glue division outperformed the laundry and beauty divisions.

P&G wants 100 % recyclable packaging by 2030


Procter & Gamble has announced new sustainability targets for 2030, as it has already – for the largest part – reached its 2020 targets. One of its goals is to make sure that all packaging is recyclable or reusable.

Zalando launches beauty product sales


Zalando launched its beauty product range in Germany today, which it announced in October. Markets outside of Germany will follow later.

CK Hutchison owner steps down


Li Ka-shing, CK Hutchinson’s owner and CEO, will step aside mid-May. The 89-year old will then pass on the baton to his eldest son, Victor Li, who will then take control of chains like Kruidvat and ICI Paris XL.

Europe wants global ban on animal testing for cosmetics


Several Members of the European Parliament say the current European ban on animal testing for cosmetic purposes needs to be extended to a global one.