Procter & Gamble has raised its full-year sales forecast, saying that consumer demand for cleaning and personal healthcare products remains resilient despite rising prices.
The company, however, warned that higher commodity and freight costs could dent its annual core earnings per share, which it now expects at the low-end of 3% to 6% growth that was predicted in January.
The consumer goods giant said it expects fiscal 2022 sales to rise 4% to 5%, compared with its prior forecast of a 3% to 4% increase.
The Tide detergent maker said net sales rose 7% to $19.38 billion (€17.9 billion) in the quarter ended 31 March, compared with analysts' estimates of $18.73 billion (€17.3 billion), according to Refinitiv data.
The company's shares were trading up at $162.13 before the opening bell.
Organic sales in the beauty segment increased by 3% year on year during the quarter, with skin and personal care seeing low single-digit growth due to increased pricing and market growth.
The company's grooming division saw organic sales growth of 8%, driven by double-digit growth in sales of shave care products due to innovation, market growth, increased pricing, and a positive mix from the growth of premium products.
The healthcare division saw organic sales rise by 16%, with high single-digit growth in the oral care segment driven by the continued growth of premium products and increased pricing.
Its personal health care segment saw organic sales increasing by more than 30%, due to a stronger cough, cold and flu season versus the prior year, and innovation in sleep and digestive wellness.
The company's fabric and home care unit saw organic sales up by 10%, with double-digit growth in the fabric care segment and mid-single-digit growth in the home care segment.
Baby, feminine and family care segments registered 10% growth in organic sales during the quarter, the company noted.