Procter & Gamble says its second quarter was decent after core business turnover increased again, partially because of price hikes. Previously, the company managed to offload underperforming brands.
Net profit growth
Its autonomous turnover, prior to exchange rate fluctuations and acquisitions, increased 2% while it dropped 1% in the previous quarter. Nevertheless, the company's total turnover plummeted 8.5%, down to $16.92 billion (€15.57 billion), which is slightly below analysts' expectations.
The company places the blame for the drop entirely on the strong dollar and the exchange rate fluctuations as these have had a negative 9% impact on turnover. It expects a similar turnover drop for its full fiscal year.
Procter & Gamble's net profit did grow too $3.2 billion (€2.9 billion) a huge spike compared to the year before when profit reached $2.4 billion (€2.2 billion). The reason for this increase in profit is that the company managed to cut costs a lot over the past year.