External Business Partners,
Last week you may have seen P&G’s earnings release. Despite significant headwinds in commodities, labor, power, and transportation & warehousing, we started the year with a solid quarter. Our broad-based growth of 4% was driven by product (+2%), pricing (+1%) and mix (+1%). I encourage you to review the detailed summary of our 1st quarter performance of FY21/22. Below is a high-level snapshot*.
These results keep us on track to deliver our top-line, bottom-line and cash targets for the fiscal year. Our focused strategies of superiority, productivity, constructive disruption and continually improving P&G’s organization structure and culture continue to enable P&G to deliver for our customers, consumers and shareholders.
We continue to see growth in developed (+4%) and enterprise (+5%) markets, as well as in 9 out of 10 of our global categories. eCommerce sales were up (+16%) as shopping habits continue to evolve, and P&G continues to drive marketing and supply chain superiority for this channel.
We expect to continue to face tough headwinds given the challenging cost and operating environment. Our Company focus, and that of our supply network, remains unchanged:
- Protecting our People. We must remain vigilant to ensure the health, safety and well-being of our people.
- Serving Consumers by maximizing availability of products that help people & their families with health, hygiene and cleaning needs. For our EBPs, this means we must continue to exhaust all efforts to build resilient end to end supply chains. It means we must continue deliver products and services of superior quality and value, regardless of the channel. Additionally, we must ensure we are taking the proper steps reduce cybersecurity risks that can threaten our ability to meet the needs of our customers and consumers.
- Supporting our Communities by being a Force for Good. For our EBPs, this includes all our environmental sustainability efforts associated with Net Zero 2040 Ambition, as well as the work behind our $5 Billion commitment to global supplier diversity.
It is not going to be an easy year, but I have seen what our supply network is capable of doing together. Thank you again for your contributions and unwavering commitment to P&G.
Chief Purchasing Officer
* See https://www.pginvestor.com/event for P&G's full Q1 2022 earnings release issued October 19, 2021, the associated webcast presentation, definitions of non-GAAP measures and reconciliation to the most closely related GAAP measure, as well as cautionary information on forward-looking statements, which are based on current assumptions and subject to risks and uncertainties that may cause actual results to differ materially.