Toothpaste manufacturer Colgate-Palmolive has reported strong profit growth for the last quarter of 2013.
Revenue for the quarter to December 31 increased by 2% to $4.36 billion; volumes rose by the same margin.
In Latin America, its biggest market by sales, revenue jumped 12.5% helped by new product launches. In Asia, revenue rose by 9%.
Meanwhile, net profit fell 5.7% to $564 million – including a $133 million restructuring charge.
Cost reductions offset the impact of a strong dollar.
Profits and margins were helped by improved leasing terms with suppliers, sourcing cheaper raw materials and reducing packaging material.
The group forecast organic sales to grow by 5% to 7% this year. Colgate said it expected fluctuations in foreign exchange to impact sales by 3% and profit by 4-5%.
@ 2014 ESM Magazine
