Grooming Investments Pay Off, Merck OTCs Count Organically In P&G's Latest Quarter
P&G’s grooming segment grew 4% in its latest quarter, the third consecutive of organic growth as the Gillette brand wins 18m customers in 12 months. The results suggest investments the company made to ward off subscription-based competitors are starting to pay off.
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P&G Grooming’s Response To Disruptor Billie? ‘Female First’ Subscription Shave Brand Will Join Venus
P&G has acknowledged that it was slow to react to direct-to-consumer threats in the men’s shave market. Perhaps intent on avoiding the same mistakes, the firm plans to acquire Billie, a subscription-based razor and body-care startup that has endeared itself to younger demographics with its affordable offerings and of-the-moment messaging.
Net and organic sales up 7% to $17.8bn in its FY 2020 Q1 as its turnaround takes hold and pricing increases it implemented a year ago push revenues. CFO Jon Moeller says P&G revises guidance upwards for FY2020 and is better positioned to counter potential recession headwinds than it was in 2008.
P&G names Merck KGAA consumer chief Uta Kemmerich-Keil to lead international division of personal health business as it closes on $4.2bn acquisition of German firm's consumer business. Deal closes a month after P&G announced biggest changes to organizational structure in 20 years, including combining personal care and health care into personal health and forming six global units, each headed by a CEO.