Procter & Gamble has admitted that it will have to raise the price of its products, particularly in newer markets, after currency fluctuations hurt profit and sales growth for its first quarter. The world’s largest FMCG maker said net profit for the three months to 31 March were up just 2% to $2.6bn. Overall sales were flat at $20.6bn, although they grew by 3% on an organic basis. Sales in developed markets were up just 1% on an organic basis, while they grew by 5% in emerging markets.

CFO Jon Moeller said the group now plans to hike prices, largely to offset currency fluctuations. He noted that the hikes would be “primarily focused” in such markets, adding: “We’re not planning broad scale increases in North America.” Moeller also addressed the ongoing unrest in countries such as Ukraine, Turkey, and Venezuela, saying P&G continues to “monitor” the situation.
 

Source: www.kamcity.com