Regulatory News:
Colgate-Palmolive Company (NYSE:CL) today reported record net
income and diluted earnings per share in third quarter 2009 of $590
million and $1.12, respectively. Third quarter 2008 reported net
income and diluted earnings per share were $500 million and $.94,
respectively, which included $31 million of aftertax charges ($.05
per diluted share) related to the 2004 Restructuring Program.
Excluding restructuring charges (which pertain only to 2008), net
income and diluted earnings per share increased 11% and 13%,
respectively.
Worldwide sales as reported were $3,998 million, even with the
year ago quarter, and unit volume as reported increased 1.5%.
Excluding divested businesses, worldwide sales grew 0.5% and unit
volume increased 2.0%. Organic sales (excluding foreign exchange,
acquisitions and divestments) grew 7.0%. Global pricing increased
5.0% while foreign exchange was negative 6.5%.
Gross profit margin as reported increased to 59.2% in third
quarter 2009 from 56.1% in the year ago period. Excluding
restructuring charges in 2008, gross profit margin increased 280
basis points to 59.2% in third quarter 2009 from 56.4% in third
quarter 2008, reflecting the benefits of increased pricing and
cost-savings programs, which more than offset the impact of
negative foreign exchange.
Selling, general and administrative expenses were 35.1% and
35.5% of net sales in third quarter 2009 and 2008, respectively.
Excluding restructuring charges in 2008, selling, general and
administrative expenses increased to 35.1% of net sales in third
quarter 2009 from 35.0% of net sales in third quarter 2008.
Worldwide advertising costs declined 30 basis points as a
percentage to sales versus the year ago period from 11.0% to 10.7%,
largely brought about by lower media rates in most areas of the
world. Sequentially, advertising increased 20 basis points versus
second quarter 2009.
Operating profit was $926 million in third quarter 2009 compared
to $791 million as reported in third quarter 2008. Excluding
restructuring charges in 2008, operating profit rose 11% to $926
million in third quarter 2009 from $837 million in third quarter
2008, increasing to 23.2% from 21.0% as a percent to sales.
Net cash provided by operations year to date increased by 34% to
$2,375 million. Working capital decreased to 0.7% of sales versus
2.6% in the comparable 2008 period. These results reflect the
strength of the Company’s overall balance sheet and key ratios as
well as its tight focus on working capital.
Ian Cook, Chairman, President and Chief Executive Officer,
commented on the results excluding restructuring charges, “We are
delighted that our strong momentum continued this quarter with
operating profit, net income and earnings per share all increasing
double-digit and organic sales growing a healthy 7%, driven by
positive volume and higher pricing. Pleasingly, this momentum was
widespread with every operating division achieving operating profit
increases, both absolutely and as a percent to sales, as well as
positive organic sales growth.
“We are very pleased that gross profit margin increased by 280
basis points allowing for another quarter of sequentially higher
advertising spending behind Colgate’s brands. As expected, with
lower media rates, this spending level equated to a higher number
of consumer impressions versus the year ago quarter, which helped
to drive market share gains worldwide.
“Colgate’s global toothpaste leadership strengthened to 45.1%
during the quarter with market share gains in key countries around
the world including the United States, Mexico, Brazil, China, India
and Russia. Colgate also strengthened its global leadership in
manual toothbrushes, with its global market share in that category
reaching a record 30.8% year to date, up 0.4 share points versus
year ago.”
Mr. Cook continued, “Looking ahead, the excellent gross margin
should continue in the balance of the year driven by easing raw and
packaging material costs and continued benefit from both price
increases already implemented and our ongoing aggressive savings
programs. We expect gross profit margin should be at around the
same level in the fourth quarter as it was this quarter.
“Given the continued gross margin strength and our top-line
momentum, we are comfortable with external profit expectations for
both the fourth quarter and the year. While our 2010 budget process
is still in its initial stages, we anticipate another year of
double-digit earnings per share growth in 2010.”
At 11:00 a.m. ET today, Colgate will host a conference call to
elaborate on third quarter results. To access this call as a
webcast, please go to Colgate’s web site at http://www.colgate.com.
The following are comments about divisional performance. See
attached Geographic Sales Analysis and Segment Information
schedules for additional information on divisional sales and
operating profit.
North America (19% of Company
Sales)
North America sales grew 3.0% in the third quarter. Unit volume
increased 5.0% with 1.5% lower pricing and 0.5% negative foreign
exchange. Organic sales grew 3.5% during the quarter. North America
operating profit increased 32% during the quarter as increased
advertising was more than offset by higher sales driven by new
products, cost-savings programs and lower raw and packaging
material costs.
In the U.S., new product launches are contributing to market
share gains across categories. Market share gains year to date were
seen in toothpaste, manual toothbrushes, body washes, hand dish
liquid, liquid cleaners, liquid hand soaps and fabric conditioners.
Colgate’s toothpaste market share reached 36.6% year to date, up
0.6 share points versus year ago. Colgate Total Enamel Strength,
Colgate Sensitive Enamel Protect, Colgate Max Fresh with Mouthwash
Beads and Colgate Max White with Mini Bright Strips toothpastes
contributed to the share gains. Colgate’s share of the manual
toothbrush market reached a record 31.7% year to date, up 4.1 share
points versus year ago, including new Colgate Wisp mini-brush whose
market share reached 4.5% year to date and 5.6% for the third
quarter. Colgate 360° ActiFlex, Colgate Max Fresh and Colgate Max
White manual toothbrushes also contributed to the share gains.
Successful new products contributing to growth in the U.S. in
other categories include Softsoap Nutri Serums, Softsoap Body
Butter Apricot Scrub, Irish Spring Hair and Body and Cool Relief
body washes and Ajax Lime with Bleach Alternative dish liquid.
Looking ahead, the innovation pipeline in the U.S. is very
robust with an array of exciting introductions across categories
planned for launch in early 2010 including new Wisp Plus Whitening
mini-brush.
Latin America (29% of Company
Sales)
Latin American sales grew 5.0% and unit volume increased 3.0%.
Volume gains were achieved in most countries, led by a significant
increase in Venezuela. Higher pricing added 13.0% while foreign
exchange was negative 11.0%. Organic sales for Latin America grew
16.0% during the quarter. Latin America operating profit increased
11% during the quarter due to higher pricing, cost-saving
initiatives and lower advertising costs, partially offset by
negative foreign exchange.
Colgate continues to build its strong leadership in oral care
throughout Latin America with its regional toothpaste market share
at a record high of 78.5% year to date, driven by market share
gains in nearly every country. In Brazil, for example, Colgate’s
toothpaste market share reached 70.1% year to date, up 110 basis
points versus year ago. Strong sales of premium-priced offerings
such as Colgate Total Professional Sensitive, Colgate Total
Professional Whitening and Colgate Max Fresh Night toothpastes
drove share gains throughout the region. Colgate’s leading share of
the manual toothbrush market for the region is 40.1% year to date,
up 60 basis points versus year ago. Strong sales of Colgate 360°
Deep Clean and Colgate Max White manual toothbrushes throughout the
region contributed to this success.
In other product categories, Colgate Plax Complete Care
mouthwash, Fabuloso Oxy liquid cleaner, Lady Speed Stick Depil
Control and Speed Stick Waterproof deodorants, and Suavitel GoodBye
Ironing and Suavitel Magic Moments fabric conditioners contributed
to market share gains in the region.
Europe/South Pacific (22% of
Company Sales)
As reported, Europe/South Pacific sales declined 5.5% and unit
volume increased 2.5%. Excluding divested businesses, sales
declined 5.0% and unit volume increased 3.0% led by France,
Germany, the United Kingdom, Denmark, Greece, Portugal and the GABA
business. Pricing was even versus the year ago quarter while
foreign exchange was negative 8.0%. Organic sales for Europe/South
Pacific grew 3.0%. Operating profit for the region increased 6%
during the quarter due to lower raw and packaging material costs,
cost-savings initiatives and lower advertising costs, partially
offset by negative foreign exchange.
Colgate maintained its oral care leadership in the Europe/South
Pacific region with toothpaste share gains in Germany, Greece,
United Kingdom, Austria, Czech Republic and Slovakia. Successful
premium products driving share gains include Colgate Sensitive
Pro-Relief, Colgate Total Advanced Sensitive and Colgate Max Fresh
with Mouthwash Beads toothpastes. In the manual toothbrush
category, Colgate 360° ActiFlex, Colgate Max White and Colgate Zig
Zag toothbrushes contributed to share gains in key countries
throughout the region.
Recent premium innovations contributing to growth in other
product categories include Colgate Plax Alcohol Free and Colgate
Plax Ice mouth rinses, Palmolive Aromatherapy Morning Tonic and
Palmolive Thermal Spa Beauty Soft shower gels, Ajax Professional
bucket dilutable and Ajax Professional glass cleaners, Lady Speed
Stick Aloe spray deodorant and Soupline Magic Moments and Soupline
Aroma Tranquility fabric conditioners.
Greater Asia/Africa (17% of
Company Sales)
Greater Asia/Africa sales and unit volume declined 3.0% and
2.5%, respectively. Volume gains in India, Thailand and Turkey were
more than offset by volume declines in Russia, Philippines, South
Africa and Ukraine. Pricing increased 7.0% while foreign exchange
was negative 7.5%. Organic sales for Greater Asia/Africa increased
4.5%. Operating profit for the region increased 17% during the
quarter due to higher pricing and lower raw and packaging material
costs, partially offset by negative foreign exchange.
Colgate maintained its toothpaste leadership in Greater Asia
with market share gains in key countries throughout the region
including India, China, Russia, Turkey, Hong Kong, Philippines and
Malaysia. Successful new products driving the share gains
throughout the region include Colgate Total Professional Clean and
Colgate Sensitive Enamel Protect toothpastes.
New products contributing to growth in other categories in the
region include Colgate 360° ActiFlex, Colgate Max Fresh and Colgate
Extra Clean Gum Care manual toothbrushes, Colgate Plax Ice
mouthwash, Protex hand sanitizer, Protex Clean and Pure shower
cream and bar soap and Lady Speed Stick Cloud Freshness
deodorant.
Hill’s (13% of Company
Sales)
Hill’s sales grew 1.5% during the quarter as unit volume
decreased 2.5%. Pricing increased 4.5% while foreign exchange was
negative 0.5%. Hill’s organic sales rose 2.0% during the quarter.
Volume growth achieved in France, Mexico and Australia was more
than offset by volume declines in the U.S. Operating profit
increased 2% during the quarter due to higher pricing, cost-savings
programs and lower raw and packaging material costs more than
offsetting increased advertising.
Innovative new products succeeding in the U.S. specialty channel
include Science Diet Culinary Creations Feline and a significantly
expanded line of Science Diet Simple Essentials Treats Canine.
Available in seven varieties, the treats are formulated for a wide
range of special needs including oral care, mobility, immunity
support and healthy skin and coat.
New pet food products contributing to international sales
include Science Plan Simple Essentials Snacks Canine and Science
Plan Healthy Mobility Canine, a wellness diet that promotes active
mobility, supports joint flexibility and enhances ease of
movement.
* * *
About Colgate-Palmolive: Colgate-Palmolive is a leading global
consumer products company, tightly focused on Oral Care, Personal
Care, Home Care and Pet Nutrition. Colgate sells its products in
over 200 countries and territories around the world under such
internationally recognized brand names as Colgate, Palmolive,
Mennen, Softsoap, Irish Spring, Protex, Sorriso, Kolynos, Elmex,
Tom’s of Maine, Ajax, Axion, Fabuloso, Soupline and Suavitel, as
well as Hill’s Science Diet and Hill’s Prescription Diet. For more
information about Colgate’s global business, visit the Company's
web site at http://www.colgate.com.
Unless otherwise indicated, all market share data included in
this press release is as measured by ACNielsen.
Cautionary Statement on
Forward-Looking Statements
This press release and the related webcast (other than
historical information) may contain forward-looking statements.
Such statements may relate, for example, to sales or volume growth,
organic sales growth, profit and profit margin growth, earnings
growth, financial goals, cost-reduction plans, tax rates and new
product introductions. These statements are made on the basis of
our views and assumptions as of this time and we undertake no
obligation to update these statements. We caution investors that
any such forward-looking statements are not guarantees of future
performance and that actual events or results may differ materially
from those statements. Investors should consult the Company’s
filings with the Securities and Exchange Commission (including the
information set forth under the captions “Risk Factors” and
“Cautionary Statement on Forward-Looking Statements” in the
Company’s Annual Report on Form 10-K for the year ended December
31, 2008) for information about certain factors that could cause
such differences. Copies of these filings may be obtained upon
request from the Company’s Investor Relations Department or the
Company’s web site at http://www.colgate.com.
As required, the Company adopted the consolidation Topic of the
FASB Codification on January 1, 2009 and as a result of the
adoption, certain prior period amounts attributable to
noncontrolling interests in less-than-wholly-owned subsidiaries
were reclassified within the Condensed Consolidated Statements of
Income, Balance Sheets and Cash Flows. While the reclassification
had no impact on Net income or earnings per common share, it did
impact the previously reported Operating profit and effective tax
rate. A complete reconciliation to previously reported 2008 amounts
is available on Colgate’s web site.
Non-GAAP Financial
Measures
The following provides information regarding the non-GAAP
measures used in this earnings release:
To supplement Colgate's condensed consolidated income statements
presented in accordance with accounting principles generally
accepted in the United States of America (GAAP), the Company has
disclosed non-GAAP measures of operating results that exclude
certain items. Gross profit margin, selling, general and
administrative expenses, operating profit, operating profit margin,
net income and earnings per share are discussed in this release
both as reported (on a GAAP basis) and excluding the impact of
restructuring charges related to the restructuring program that
began in the fourth quarter of 2004 and was completed as of the end
of 2008 (the "2004 Restructuring Program"). These restructuring
charges include separation-related costs, incremental depreciation
and asset write-downs, and other costs related to the
implementation of the 2004 Restructuring Program. In light of their
nature and magnitude, the Company believes these items should be
presented separately to enhance an investor’s overall understanding
of its ongoing operations.
Management believes these non-GAAP financial measures provide
useful supplemental information to investors regarding the
underlying business trends and performance of the Company’s ongoing
operations and are useful for period-over-period comparisons of
such operations. See “Consolidated Income Statement and
Supplemental Information — Reconciliation Excluding the 2004
Restructuring Program” for the three and nine months ended
September 30, 2009 and 2008 included with this release for a
reconciliation of these financial measures to the related GAAP
measures.
Sales and unit volume growth, both worldwide and in relevant
geographic divisions, are discussed in this release both as
reported and excluding divestments. Management believes this
provides useful supplemental information to investors as it allows
comparisons of sales growth and volume growth from ongoing
operations on a period-over-period basis. This release also
discusses organic sales growth (excludes the impact of foreign
exchange, acquisitions and divestments). Management believes this
measure provides investors with useful supplemental information
regarding the Company’s underlying sales trends by presenting sales
growth excluding the external factor of foreign exchange as well as
the impact from acquisitions and divestments. See “Geographic Sales
Analysis, Percentage Changes – Third Quarter 2009 vs. 2008” for a
comparison of sales excluding divestments and organic sales to
sales as reported in accordance with GAAP.
The Company uses these financial measures internally in its
budgeting process and as factors in determining compensation. While
the Company believes that these financial measures are useful in
evaluating the Company’s business, this information should be
considered as supplemental in nature and is not meant to be
considered in isolation or as a substitute for the related
financial information prepared in accordance with GAAP. In
addition, these non-GAAP financial measures may not be the same as
similar measures presented by other companies.
The Company defines free cash flow before dividends as net cash
provided by operations less capital expenditures. As management
uses this measure to evaluate the Company’s ability to satisfy
current and future obligations, repurchase stock, pay dividends and
fund future business opportunities, the Company believes that it
provides useful information to investors. Free cash flow before
dividends is not a measure of cash available for discretionary
expenditures since the Company has certain non-discretionary
obligations such as debt service that are not deducted from the
measure. Free cash flow before dividends is not a GAAP measurement
and may not be comparable to similarly titled measures reported by
other companies. See “Condensed Consolidated Statements of Cash
Flows For the Nine Months Ended September 30, 2009 and 2008” for a
comparison of free cash flow before dividends to net cash provided
by operations as reported in accordance with GAAP.
(See attached tables for third
quarter results.)
Table 1
Colgate-Palmolive Company Consolidated Income
Statement and Supplemental Information Reconciliation
Excluding the 2004 Restructuring Program For the
Three Months Ended September 30, 2009 and 2008 (in
Millions Except Per Share Amounts) (Unaudited) 2009 2008
As Reported As Reported Restructuring
Excluding
Restructuring
Net sales $ 3,998 $ 3,988 $ - $ 3,988 Cost of sales
1,631 1,752 11 1,741 Gross profit 2,367 2,236 (11 ) 2,247
Gross profit margin 59.2% 56.1% 56.4% Selling,
general and administrative expenses 1,403 1,415 21 1,394
Other (income) expense, net 38 30 14 16 Operating profit 926
791 (46 ) 837 Operating profit margin 23.2% 19.8% 21.0%
Interest expense, net 17 23 - 23 Income before income
taxes 909 768 (46 ) 814 Provision for income taxes 292 246
(15 ) 261 Effective tax rate 32.1% 32.0% 32.1% Net
income including noncontrolling interests 617 522 (31 ) 553
Less: Net income attributable to noncontrolling interests* 27 22 -
22 Net income 590 500 (31 ) 531 Earnings per common
share Basic $ 1.17 $ 0.98 $ (0.06 ) $ 1.04 Diluted $ 1.12 $ 0.94 $
(0.05 ) $ 0.99 Average common shares outstanding Basic 499.1
505.5 505.5 505.5 Diluted 524.6 534.3 534.3 534.3
*
To conform to the current year
presentation required by the Consolidation Topic of the FASB
Codification, net income attributable to noncontrolling interests
in less-than-wholly-owned subsidiaries has been reclassified from
Other (income) expense, net to a new line below Operating profit
called Net income attributable to noncontrolling interests. The
reclassification had no effect on Net income or Earnings per common
share.
Refer to the Company's website for
a reconciliation to previously reported amounts for all quarters of
2008 as well as full year 2008 and 2007.
Note: The impact of
"Restructuring” on the basic and diluted earnings per share may not
necessarily equal the earnings per share if calculated
independently as a result of rounding.
Table 2
Colgate-Palmolive Company Consolidated Income
Statement and Supplemental Information Reconciliation
Excluding the 2004 Restructuring Program For the Nine
Months Ended September 30, 2009 and 2008 (in Millions
Except Per Share Amounts) (Unaudited) 2009 2008 As
Reported As Reported Restructuring
Excluding
Restructuring
Net sales $ 11,246 $ 11,666 $ - $ 11,666 Cost of
sales 4,665 5,090 48 5,042 Gross profit 6,581 6,576 (48 )
6,624 Gross profit margin 58.5% 56.4% 56.8% Selling,
general and administrative expenses 3,885 4,187 55 4,132
Other (income) expense, net 72 65 22 43 Operating profit
2,624 2,324 (125 ) 2,449 Operating profit margin 23.3% 19.9%
21.0% Interest expense, net 59 82 - 82 Income before
income taxes 2,565 2,242 (125 ) 2,367 Provision for income
taxes 824 717 (43 ) 760 Effective tax rate 32.1% 32.0% 32.1%
Net income including noncontrolling interests 1,741 1,525
(82 ) 1,607 Less: Net income attributable to noncontrolling
interests* 81 65 - 65 Net income 1,660 1,460 (82 ) 1,542
Earnings per common share Basic $ 3.27 $ 2.84 $ (0.16 ) $
3.00 Diluted $ 3.16 $ 2.72 $ (0.15 ) $ 2.87 Average common
shares outstanding Basic 500.2 507.2 507.2 507.2 Diluted 525.0
536.7 536.7 536.7
*
To conform to the current year
presentation required by the Consolidation Topic of the FASB
Codification, net income attributable to noncontrolling interests
in less-than-wholly-owned subsidiaries has been reclassified from
Other (income) expense, net to a new line below Operating profit
called Net income attributable to noncontrolling interests. The
reclassification had no effect on Net income or Earnings per common
share.
Refer to the Company's website for
a reconciliation to previously reported amounts for all quarters of
2008 as well as full year 2008 and 2007.
Note: The impact of
"Restructuring” on the basic and diluted earnings per share may not
necessarily equal the earnings per share if calculated
independently as a result of rounding.
Table 3
Colgate-Palmolive Company Condensed Consolidated
Balance Sheets As of September 30, 2009, December 31,
2008 and September 30, 2008 (Dollars in Millions)
(Unaudited) September 30, December 31, September 30,
2009 2008 2008 Cash and cash equivalents $ 847 $ 555 $ 635
Receivables, net 1,780 1,592 1,761 Inventories 1,241 1,197 1,306
Other current assets 336 366 385 Property, plant and equipment, net
3,351 3,119 3,047 Other assets, including goodwill and intangibles
3,512 3,150 3,421 Total
assets $ 11,067 $ 9,979 $ 10,555 Total
debt 3,263 3,783 3,518 Other current liabilities 3,211 2,754 3,022
Other non-current liabilities** 1,482 1,398
1,396 Total liabilities 7,956 7,935 7,936
Total Colgate-Palmolive Company shareholders' equity 2,952 1,923
2,468 Noncontrolling interests** 159 121
151 Total liabilities and shareholders’ equity
$ 11,067 $ 9,979 $ 10,555
Supplemental Balance Sheet Information Debt less cash, cash
equivalents and marketable securities* $ 2,378 $ 3,216 $ 2,861
Working capital % of sales 0.7 % 2.5 % 2.6 % *
Marketable securities of $38, $12
and $22 as of September 30, 2009, December 31, 2008 and September
30, 2008, respectively, are included in Other current assets.
**
To conform to the current year
presentation required by the Consolidation Topic of the FASB
Codification, prior period balances of accumulated undistributed
earning relating to noncontrolling interests in
less-than-wholly-owned subsidiaries have been reclassified from
Other non-current liabilities to a component of shareholders'
equity.
Refer to the Company's web site
for a reconciliation to previously reported amounts for all
quarters of 2008 as well as full year 2008 and 2007.
Table 4 Colgate-Palmolive Company Condensed
Consolidated Statements of Cash Flows For the Nine
Months Ended September 30, 2009 and 2008 (Dollars in
Millions) (Unaudited) 2009 2008*
Operating
Activities Net income $ 1,660 $ 1,460 Adjustments to reconcile
net income to net cash provided by operations: Restructuring, net
of cash (14 ) (36 ) Depreciation and amortization 262 261
Stock-based compensation expense 97 82 Deferred income taxes 16 38
Cash effects of changes in: Receivables (104 ) (132 ) Inventories
10 (176 ) Accounts payable and other accruals 355 162 Other
non-current assets and liabilities 93 118
Net cash provided by operations 2,375 1,777
Investing Activities Capital expenditures (347 ) (392 )
Sales (purchases) of marketable securities and investments (147 ) 1
Other 10 50 Net cash used in investing
activities (484 ) (341 )
Financing Activities
Principal payments on debt (3,011 ) (1,424 ) Proceeds from issuance
of debt 2,561 1,447 Dividends paid (702 ) (627 ) Purchases of
treasury shares (664 ) (833 ) Proceeds from exercise of stock
options and excess tax benefits 196 224
Net cash used in financing activities (1,620 ) (1,213 )
Effect of exchange rate changes on Cash and cash equivalents
21 (17 ) Net increase in Cash and cash equivalents
292 206 Cash and cash equivalents at beginning of period 555
429 Cash and cash equivalents at end of period
$ 847 $ 635
Supplemental Cash Flow
Information Free cash flow before dividends (Net cash provided
by operations less capital expenditures) Net cash provided by
operations $ 2,375 $ 1,777 Less: Capital expenditures (347 )
(392 ) Free cash flow before dividends $ 2,028 $
1,385 Income taxes paid $ 853 $ 662 *
To conform to the current year
presentation required by the Consolidation Topic of the FASB
Codification, certain reclassifications have been made to prior
year amounts.
Table 5 Colgate-Palmolive Company Segment
Information For the Three and Nine Months Ended
September 30, 2009 and 2008 (Dollars in Millions)
(Unaudited) Three Months Ended
September 30,
Nine Months Ended
September 30,
2009 2008 2009 2008
Net sales Oral, Personal and Home Care
North America $ 740 $ 718 $ 2,204 $ 2,142 Latin America
1,136 1,081 3,097 3,092 Europe/South Pacific 896 948 2,406 2,815
Greater Asia/Africa 695 717
1,972 2,043 Total Oral, Personal and
Home Care 3,467 3,464 9,679 10,092 Pet Nutrition 531
524 1,567 1,574
Total Net sales $ 3,998 $ 3,988 $ 11,246
$ 11,666 Three Months Ended
September 30,
Nine Months Ended
September 30,
2009 2008 2009 2008
Operating profit Oral, Personal and Home
Care North America $ 217 $ 164 $ 608 $ 497 Latin America 346
312 987 887 Europe/South Pacific 219 206 539 600 Greater
Asia/Africa* 161 138 457
392 Total Oral, Personal and Home Care 943 820
2,591 2,376 Pet Nutrition 136 133 407 391 Corporate
(153 ) (162 ) (374 ) (443 ) Total
Operating Profit $ 926 $ 791 $ 2,624 $ 2,324
* To conform to the current year presentation
required by the Consolidation Topic of the FASB Codification, the
amounts of net income attributable to noncontrolling interests in
less-than-wholly-owned subsidiaries of $22 and $65 for the three
and nine months ended September 30, 2008, respectively, which were
previously deducted from Greater Asia/Africa Operating profit, have
been reclassified to a new line below Operating profit.
Note: The Company evaluates segment performance based on several
factors, including Operating profit. The Company uses Operating
profit as a measure of the operating segment performance because it
excludes the impact of corporate-driven decisions related to
interest expense and income taxes. Corporate operations include
restructuring and related implementation costs, stock-based
compensation related to stock options and restricted stock awards,
research and development costs, Corporate overhead costs, and gains
and losses on sales of non-core product lines and assets.
For the three and nine months ended September 30, 2008, Corporate
operating expenses include $46 and $125 of charges related to the
Company’s 2004 Restructuring Program, respectively.
Table 6 Colgate-Palmolive Company
Geographic Sales Analysis Percentage Changes -
Third Quarter 2009 vs 2008 September 30, 2009
(Unaudited) COMPONENTS OF SALES CHANGE
COMPONENTS OF SALES CHANGE THIRD QUARTER NINE
MONTHS
Region
3rd Qtr
Sales
Change
As
Reported
3rd Qtr
Sales
Change
Ex-Divestment
3rd Qtr
Organic
Sales
Change
Ex-Divested
Volume
Pricing
Coupons
Consumer &
Trade
Incentives
Exchange
9 Months
Sales
Change
As
Reported
9 Months
Sales
Change
Ex-Divestment
9 Months
Organic
Sales
Change
Ex-Divested
Volume
Pricing
Coupons
Consumer &
Trade
Incentives
Exchange Total Company 0.0 % 0.5
% 7.0 % 2.0 % 5.0 % (6.5 %) (3.5 %) (3.5 %) 7.0 % 0.0 % 7.0 % (10.5
%)
Europe/South Pacific (5.5 %) (5.0 %) 3.0 % 3.0 %
0.0 % (8.0 %) (14.5 %) (14.0 %) 0.0 % (1.0 %) 1.0 % (14.0 %)
Latin America 5.0 % 5.0 % 16.0 % 3.0 % 13.0 % (11.0 %) 0.0 %
0.0 % 16.5 % 2.5 % 14.0 % (16.5 %)
Greater
Asia/Africa (3.0 %) (3.0 %) 4.5 % (2.5 %) 7.0 % (7.5 %) (3.5 %)
(3.0 %) 8.0 % 0.5 % 7.5 % (11.0 %)
Total
International (1.0 %) (0.5 %) 8.5 % 1.5 % 7.0 % (9.0 %) (6.0 %)
(5.5 %) 8.5 % 0.5 % 8.0 % (14.0 %)
North America 3.0
% 3.0 % 3.5 % 5.0 % (1.5 %) (0.5 %) 3.0 % 3.0 % 4.0 % 3.0 % 1.0 %
(1.0 %)
Total CP Products 0.0 % 0.5 % 8.0 % 2.5 % 5.5
% (7.5 %) (4.0 %) (4.0 %) 7.5 % 1.0 % 6.5 % (11.5 %)
Hill's 1.5 % 1.5 % 2.0 % (2.5 %) 4.5 % (0.5 %) (0.5 %) (0.5
%) 3.0 % (7.0 %) 10.0 % (3.5 %)
Colgate Palmolive (NYSE:CL)
Historical Stock Chart
From Jun 2024 to Jul 2024
Colgate Palmolive (NYSE:CL)
Historical Stock Chart
From Jul 2023 to Jul 2024