Stable Organic Sales with Mixed Volume/Pricing
Organic sales were in line with the prior year (0%); volume declined ~1 percentage point while pricing added ~1 point and mix was flat for the quarter.
Category and Regional Strengths
Seven of 10 product categories held or grew organic sales — Hair Care grew mid-single digits; Skin & Personal Care, Personal Health Care, Home Care, and Oral Care each up low single digits. Seven of 10 regions grew organic sales with Latin America up ~8%, Europe (aggregate) up ~1%, Greater China organic sales up ~3% (Pampers and SK-II each up mid-teens or more), and enterprise markets growing mid-single digits.
Notable Product Wins and Innovation Momentum
Successful innovations are already driving growth: Pampers Prestige in Greater China delivered double-digit organic growth and ~3 percentage points of share gain over 18 months; Downy Intense in Mexico produced double-digit organic growth and >2 points value share growth; Tide Boosted and TideEVO are positioned for back-half rollouts.
Strong Productivity and Cash Returns
Reported productivity improvement of ~270 basis points. Adjusted free cash flow productivity was 88% this quarter. The company returned $4.8 billion to shareholders (≈$2.5B dividends and $2.3B share repurchases) in the quarter.
Guidance Maintained and Confidence in Back Half
Fiscal 2026 guidance ranges were maintained: organic sales growth of in line to +4% and core EPS growth in line to +4% (range noted ~€6.83 to $7.09 per share). Management expects the second half to be stronger and embedded plans to accelerate growth and share recovery.
Technology, Data and Supply Chain Investment
Progress on digital transformation and capability building: petabyte-scale data lake, AI/gen-AI and programmatic media tools, Supply Chain 3.0 and capacity additions — management expects these platforms to generate scalable benefits over the next 12–18 months.