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Jun 30, 2021

Colgate Q2 2021 Earnings Report

Net sales and EPS increased driven by volume growth and higher pricing.

Key Takeaways

Colgate-Palmolive reported strong second-quarter results with net sales increasing by 9.5% and EPS growing by 12%. The company's organic sales grew by 5.0%, marking the tenth consecutive quarter of growth in or above the targeted range. Despite facing raw material and logistics cost headwinds, the company delivered increased operating profit, net income, and earnings per share on a Base Business basis.

Net sales increased 9.5% and organic sales grew 5.0%.

EPS grew 12% to $0.83 on a GAAP basis.

GAAP Gross profit margin decreased 80 basis points to 60.0%.

Colgate’s leadership in toothpaste continued with its global market share at 39.3% year to date.

Total Revenue
$4.26B
Previous year: $3.9B
+9.3%
EPS
$0.8
Previous year: $0.74
+8.1%
OPHC Sales Growth
3%
Previous year: 4%
-25.0%
Pet Nutrition Sales Growth
15%
Previous year: 11.5%
+30.4%
Gross Profit
$2.56B
Previous year: $2.37B
+7.9%
Cash and Equivalents
$937M
Previous year: $997M
-6.0%
Total Assets
$16B
Previous year: $15.1B
+5.7%

Colgate

Colgate

Colgate Revenue by Segment

Forward Guidance

The Company still expects net sales to be up 4% to 7% including a low-single-digit benefit from foreign exchange. The Company still expects organic sales to be up within its long-term targeted range of 3% to 5%. On a GAAP basis, the Company now expects a decline in gross profit margin, increased advertising investment and earnings-per-share growth at the lower end of its low to mid-single-digit range. On a non-GAAP (Base Business) basis, the Company now expects a decline in gross profit margin, increased advertising investment and earnings-per-share growth at the lower end of its mid to high-single-digit range.

Revenue & Expenses

Visualization of income flow from segment revenue to net income