On October 24, 2025, The Procter & Gamble Company announced its fiscal first‑quarter 2026 results, reporting net sales of $22.4 billion—up 3% year‑over‑year—and organic sales growth of 2%. Diluted earnings per share rose to $1.95, a 21% increase from the prior year, while core EPS climbed to $1.99, up 3% from $1.93 in the same quarter last year.
Operating cash flow for the quarter reached $5.4 billion, and the company returned $3.8 billion to shareholders through $2.55 billion in dividends and $1.25 billion in share repurchases. Adjusted free‑cash‑flow productivity was 102%, reflecting strong cash generation despite higher commodity and tariff costs. The company also highlighted a 70‑basis‑point decline in gross margin, offset by 140 basis points of productivity savings and 50 basis points of pricing gains.
P&G maintained its fiscal‑2026 guidance, projecting all‑in sales growth of 1%‑5% and core earnings per share between $6.83 and $7.09. The company reiterated a commodity‑cost headwind of roughly $100 million after tax and a tariff headwind of about $400 million, while noting a $300 million foreign‑exchange tailwind. These factors are expected to produce a net headwind of $0.19 per share for the year.
The earnings release underscores P&G’s continued focus on its “irresistible superiority” strategy, with investment in innovation and a two‑year restructuring program that has cut up to 7,000 non‑manufacturing roles. Despite a challenging macro environment, the company’s strong performance in beauty and grooming categories helped offset flat growth in fabric and baby care, positioning it to meet its long‑term value‑creation goals.
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