Tags: Procter | Gamble | Outlook | Currency

Procter & Gamble Cuts Outlook on Currency Impact

Tuesday, 11 Feb 2014 05:30 PM

Procter & Gamble Co., the world's largest household products maker, on Tuesday cut its sales and earnings outlook for the year to reflect unfavorable foreign exchange rates in Venezuela and the devaluation of currencies in various developing markets.

The changed outlook reflects the recent devaluation against the dollar of the Argentine peso, Turkish lira, South African rand, Russian ruble, Ukrainian hryvnia, Brazilian real and several other currencies, said P&G, whose products include Pampers diapers and Tide detergent.

For U.S. companies that do substantial business in developing countries, the devaluations cause their earnings in those currencies to be worth less when converted back to dollars.

Procter & Gamble said it now sees growth in core earnings per share of 3 to 5 percent, down from its prior outlook for growth of 5 to 7 percent. It also revised its forecast for sales growth to a range of flat to a rise of 2 percent versus its prior forecast for growth in a range of 1 to 2 percent.

Procter & Gamble shares were unchanged in after-market trading on Tuesday, after closing up 1.4 percent at $78.84 in regular trade on the New York Stock Exchange.

© 2017 Thomson/Reuters. All rights reserved.

 
1Like our page
2Share
Companies
Procter & Gamble, the world's largest household products maker, on Tuesday cut its sales and earnings outlook for the year to reflect unfavorable foreign exchange rates in Venezuela and the devaluation of currencies in various developing markets.
Procter,Gamble,Outlook,Currency
194
2014-30-11
Tuesday, 11 Feb 2014 05:30 PM
Newsmax Inc.
 

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved