Colgate Announces 1st Quarter 2025 Results

Published: 2025-04-28 11:40:26 ET CL

NEW YORK- Colgate-Palmolive Company (NYSE:CL):

Net sales decreased 3.1%; Organic sales* increased 1.4%, including a 0.4% negative impact from lower private label pet volume; foreign exchange was a 4.4% headwind to net sales

GAAP EPS increased 2% to $0.85; Base Business EPS* increased 6% to $0.91

GAAP Gross profit margin and Base Business Gross profit margin* increased 80 basis points to 60.8%

Net cash provided by operations was $600 million for the first three months of 2025

Colgate's leadership in toothpaste continued with its global market share at 40.9% year to date

Colgate's leadership in manual toothbrushes continued with its global market share at 31.9% year to date

The Company updated its financial guidance for full year 2025

First Quarter Total Company Results (GAAP)

($ in millions except per share amounts)

First Quarter Total Company Results (Base Business - Non-GAAP)*

*Indicates a non-GAAP financial measure. Please refer to 'Non-GAAP Financial Measures' later in this release for definitions of non-GAAP financial measures and to 'Table 5 - Geographic Sales Analysis Percentage Changes' and 'Table 6 - Non-GAAP Reconciliations' included with this release for a reconciliation of these non-GAAP financial measures to the related GAAP measures.

Colgate-Palmolive Company (NYSE:CL) today reported results for first quarter 2025. Noel Wallace, Chairman, President and Chief Executive Officer, commented on the Base Business first quarter results, 'Colgate-Palmolive people delivered another quarter of organic sales and earnings per share growth in the face of very difficult market conditions worldwide. The positive organic sales growth, in a period of slowing category growth in many markets, is a testament to the strength of our brands and our commitment to executing against our strategy.

'Our focus on building flexibility into our P&L enabled us to deliver year-over-year growth in operating profit, net income and earnings per share despite the volatile operating environment. The leverage in our P&L also funded a 30 basis point increase in advertising to 13.6% to sales, as we continue to invest to drive brand health and increase household penetration.

'As we look ahead, uncertainty and volatility in global markets, including the impact of tariffs, remain challenging. We are confident in our strategy and will continue to execute with focus and agility to mitigate these factors and achieve our revised 2025 financial targets.'

Full Year 2025 Guidance

Based on current spot rates and including the estimated impact of tariffs announced and in effect as of April 24, 2025:

The Company now expects net sales to be up low single digits, including a low-single-digit negative impact from foreign exchange.

The Company now expects organic sales growth to be 2% to 4%.

On a GAAP basis, the Company now expects both gross profit margin and advertising investment to be roughly flat as a percentage of net sales, and earnings per share to be up low single digits.

On a non-GAAP (Base Business) basis, the Company now expects both gross profit margin and advertising to be roughly flat as a percentage of net sales, and earnings per share to be up low single digits.

Divisional Performance

See attached 'Table 5 - Geographic Sales Analysis Percentage Changes' and 'Table 4 - Segment Information' for additional information on net sales and operating profit by division.

First Quarter Sales Growth By Division

(% change 1Q 2025 vs. 1Q 2024 except % of Total Company Sales)

See full release at: https://investor.colgatepalmolive.com/news-releases/news-release-details/colgate-announces-1st-quarter-2025-results