Procter & Gamble shares soar as sales rise amid Covid-19 panic buying
The US-based consumer goods company has seen quarterly sales increase by 5% as consumers stockpile essentials amid lockdowns aimed at curbing the spread of the coronavirus.
Procter & Gamble (P&G) recorded a 5% increase in quarterly sales on Friday, which has sent its shares soaring in early morning trading.
The rise in the company’s third-quarter (Q3) revenues comes as consumers stockpile everything from hand sanitiser to snacks amid government-imposed lockdowns aimed at limiting the spread of Covid-19.
‘The strong results we delivered this quarter are a direct reflection of the integral role our products play in meeting the daily health, hygiene and cleaning needs of consumers around the world,’ P&G chairman, president and chief executive officer (CEO) David Taylor said in a statement.
‘Our organisation has been doing a terrific job against our near-term priorities – protecting the health and safety of each other, maximising availability of P&G products to meet heightened consumer need and helping society meet and overcome the challenges of this crisis.’
Procter & Gamble Q3 earnings: key figures
P&G reported net sales of $17.2 billion in Q3 2020, with core earnings per share increasing 10% to $1.17, according to its latest financial results.
Operating cash flow was $4.1 billion for the quarter, with free cash flow productivity of 113%.
P&G returned $2.8 billion of cash to shareholders through $1.9 billion in dividend payments and $900 million of common stock repurchases in the third quarter.
Over the last 10 years, P&G has returned over $120 billion to shareholders in cash dividends and stock repurchase.
Earlier this week, P&G also announced a 6% increase in its quarterly dividend.
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