Procter & Gamble

Performance indicators

2023: Procter & Gamble bought Gillette as early as 18 years ago but is still losing billions of dollars because of it

On December 5, 2023, Procter & Gamble announced its intention to restructure a number of its regional divisions. At the same time, the American consumer goods manufacturer is forced to write off assets in the amount of $2- $2.5 billion in 2024 and 2025 financial years, including in connection with the Gillette business, which was acquired in 2005.

The reorganization is said to affect operations in several countries, including Argentina and Nigeria, which recorded high inflation due to difficult macroeconomic conditions. The corresponding costs are estimated at $1 to $1.5 billion. Procter & Gamble said it intends to sell its fabric and home goods business in Argentina, whereas operations in Nigeria will be refocused solely on imports.

Procter & Gamble continues to lose money over Gillette

Procter & Gamble CFO Andre Schulten said the company faced difficulties in these markets due to currency fluctuations and the unstable situation in general. In addition, there are certain difficulties in China, which is one of the key sales regions for Procter & Gamble.

We assumed that the recovery of the industry would be slow and uneven. But now it becomes obvious that the situation in China will continue to deteriorate in all food areas before the situation improves, says Schulten.

As part of the restructuring, Procter & Gamble will also write off the value of intangible assets received when buying Gillette for $57 billion. The impairment is estimated at approximately $1.3 billion before taxes. The unit has faced increased pressure from rivals such as Dollar Shave Club and Harry's, which offer shavers and accessories at lower prices.^[1]

2021: Revenue growth by 7%, to $76.1 billion, profit - $14.3 billion

At the end of 2021, Procter & Gamble raised $76.1 billion, an increase of 7% compared to 2020. Most of the turnover ($18.85 billion) came from the Baby, Feminine & Family Care division, which produces and sells feminine hygiene products and products for children (diapers, etc.). Relative to the 2020 financial year, revenue in this business rose by 3%.

In the category of products in the sphere health care , a 10% increase in revenue was registered, up to $9.96 billion. Shaving sales rose 6% to $6.44 billion. The revenue of the washing powder and other similar products in 2020 exceeded $26 billion, an increase of 10% compared to a year ago.

Procter & Gamble's net profit in 2021 rose by 10% to $14.3 billion.^[2]

History

2021

Recall of shampoos found to contain cancer-causing benzene

On December 21, 2021, it was reported that Procter & Gamble was recalling aerosol sprays for dry shampoos and conditioners of various brands sold in the United States after discovering benzene in some of them, which could potentially cause cancer. Read more here.

Don Meller is the new CEO of Procter & Gamble

At the end of July 2021, Procter & Gamble announced the change of CEO and published a report on the results of work in the 2021 financial year.

Starting November 1, 2021, the company will be led by its chief operating officer and vice chairman, Don Meller. He will succeed David Taylor.

Meller has been with the corporation since 1988, where he began as a cost estimator in the food division.

John Meller has been an integral part of P&G's leadership team for more than two decades. He is an outstanding leader, and the company will benefit a lot from his leadership, "said James McNerney, lead director of the company's board of directors.

Procter & Gamble's new chief operating officer will be Shailesh Jejurikar, who heads the fabrics and homewares segment by the end of July 2021. He will take office on October 1, 2021.^[3]

2020: Among the world leaders in pollution of the environment with plastic packaging

Data on the release of plastic packaging in metric tons per year for 2020

2018: World's largest advertiser

In early February 2019, Kantar Media announced a ranking of the world's largest advertisers. The study reports that the first place in advertising budgets was retained by the manufacturer of consumer goods Procter & Gamble. Read more here.

2017: Takeover of deodorant maker Native

In November 2017, Procter & Gamble (P&G) announced the purchase of deodorant manufacturer Native. The acquisition was the first in eight years for P & G. Read more here.

2010: On the Market Leaders Map

Company brands on the market leaders map for the mid-2010s

Racist advertising

"Why doesn't your mom wash you with Fairy soap?"