Colgate Q1 Net Sales Reached $4.7 Billion with Growth in All Division

Colgate released its 2023 Q1 result. The company‘s net sales increased by 8.5% to $ 4.7 billion. Colgate remains the market leader in toothpaste, with a global market share of 40.2% year to date.

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According to Colgate's Q1 2023 results, the company's net sales rose by 8.5% to reach 4.7 billion. Additionally, there was a 10% increase in organic sales in Q1, with growth reported in all divisions and in all four categories.

Colgate said the company remains the top brand in toothpaste with a global market share of 40.2% so far this year. Similarly, Colgate also maintains its leadership position in manual toothbrushes, with a global market share of 30.6% year to date.

In terms of divisional performance，North America organic sales increased by 4%. Colgate organic sales growth in oral care and personal care products, there was a decline in organic sales in home care due to the voluntary recall of certain Fabuloso multi-purpose cleaners.

In the United States, Colgate holds a market share of 34.3% in the toothpaste category and a market share of 42.0% in the manual toothbrush category so far this year.

While Latin America saw growth of 14.5% in organic sales. Colgate said the organic sales growth was led by Mexico, Argentina, Brazil and Colombia.

In Europe，Colgate‘s organic sales increased by 4.5%. Colgate's organic sales growth was driven by strong performance in Germany, Poland, the Netherlands, France, and the United Kingdom. However, there were some declines in organic sales in the Filorga business, which were mainly due to reduced sales in the travel retail sector and in China.

In Asia Pacific，Colgate reported 8.5% growth in organic sales. The company ‘s organic sales growth was led by the Greater China region, India, Australia and the Philippines.

Colgate also pointed out that the growth in operating profit as a proportion of net sales can be attributed mainly to increased pricing, reduced overhead costs, and cost savings resulting from the Company's funding-the-growth initiatives. However, this increase was partially offset by significantly higher costs of raw materials and packaging, as well as increased investment in advertising.

Colgate now has revised its expectations for net sales growth to be between 3% and 6%. This projection takes into account the positive impact of the company's recent acquisitions of pet food businesses, as well as a low-single-digit negative impact from foreign exchange.