Colgate-Palmolive Co. on July 27 reported lower-than-expected second-quarter adjusted EPS even as net profit topped analyst expectations.
Diluted EPS for the three months ended June 30 totaled 73 cents, below the mean consensus estimate for normalized EPS of 77 cents compiled by S&P Capital IQ. Net income on a non-GAAP basis increased to $673 million from $639 million for the same period in 2017. The S&P Capital IQ mean consensus estimate for net income excluding exceptions was $672.0 million.
The New York-based consumer goods maker lowered expectations for full-year net sales, saying it expects growth in the low single digits. The company previously said it expected net sales to increase by mid-single digits.
The company still expects organic sales for all of 2018 to increase by low single digits.
Organic sales at the maker of Murphy Oil Soap wood cleaner rose 0.5%, a result that was "below our expectations," Chairman and CEO Ian Cook said. The increase was led by growth of 3% for organic sales in Africa and Eurasia as well as a 2% increase in North America. Organic sales exclude the effects of acquisitions, divestitures and foreign currencies.
Net sales for the quarter totaled $3.89 billion, an increase of 1.5% over the year-ago period.