Procter & Gamble Co. Files 10-Q for Period Ending December 31, 2023

TL;DR

<b>Procter & Gamble Co. filed its quarterly report (10-Q) for the period ending December 31, 2023, detailing its financial performance and position.</b>

AI Summary

PROCTER & GAMBLE Co (PG) filed a Quarterly Report (10-Q) with the SEC on January 23, 2024. The filing covers the period from July 1, 2023, to December 31, 2023. The company's fiscal year ends on June 30. Procter & Gamble Co. is incorporated in Ohio. The company's primary SIC code is 2840 (Soap, Detergent, Cleaning Preparations, Perfumes, Cosmetics). The filing is a 10-Q, indicating a quarterly report.

Why It Matters

For investors and stakeholders tracking PROCTER & GAMBLE Co, this filing contains several important signals. This 10-Q filing provides investors with updated financial information for the second quarter of fiscal year 2024, allowing for assessment of recent performance and trends. Understanding the company's financial health and operational segments through this report is crucial for making informed investment decisions regarding Procter & Gamble stock.

Risk Assessment

Risk Level: low — PROCTER & GAMBLE Co shows low risk based on this filing. The risk is low as this is a routine quarterly filing for a well-established company, and no immediate red flags are apparent from the header information.

Analyst Insight

Review the detailed financial statements and segment performance within the 10-Q to assess revenue growth, profitability, and any significant changes in debt or cash positions.

Key Numbers

• 20231231 — Report Period End Date (CONFORMED PERIOD OF REPORT)
• 20240123 — Filing Date (FILED AS OF DATE)
• 2023-07-01 — Fiscal Year Start Date (Fiscal Year Start Date)
• 2023-12-31 — Fiscal Year End Date (Fiscal Year End Date)
• 2024-01-23 — Date as of Change (DATE AS OF CHANGE)
• 2840 — SIC Code (STANDARD INDUSTRIAL CLASSIFICATION)
• 0630 — Fiscal Year End Month/Day (FISCAL YEAR END)
• 10-Q — Form Type (FORM TYPE)

Key Players & Entities

• PROCTER & GAMBLE Co (company) — FILER
• OH (location) — STATE OF INCORPORATION
• CINCINNATI (location) — BUSINESS ADDRESS CITY
• OH (location) — BUSINESS ADDRESS STATE
• 45202 (location) — BUSINESS ADDRESS ZIP
• 5139831100 (phone) — BUSINESS PHONE
• CINCINNATI (location) — MAIL ADDRESS CITY
• OH (location) — MAIL ADDRESS STATE

Forward-Looking Statements

• P&G will continue to manage its diverse debt portfolio effectively, leveraging various maturities and currencies. (PROCTER & GAMBLE Co) — high confidence, target: 2025-12-31

FAQ

Key Dates

• 2024-01-23: Filing Date — Submission of the quarterly report for the period ending December 31, 2023.
• 2023-12-31: Report Period End Date — End of the second fiscal quarter for 2024.
• 2023-07-01: Report Period Start Date — Beginning of the second fiscal quarter for 2024.
• 2024-06-30: Fiscal Year End — The company's fiscal year concludes on this date.

Filing Documents

• pg-20231231.htm (10-Q) — 1363KB
• fy2324q2ond10-qexhibit311.htm (EX-31.1) — 10KB
• fy2324q2ond10-qexhibit312.htm (EX-31.2) — 10KB
• fy2324q2ond10-qexhibit321.htm (EX-32.1) — 5KB
• fy2324q2ond10-qexhibit322.htm (EX-32.2) — 5KB
• pg-20231231_g1.jpg (GRAPHIC) — 6KB
• 0000080424-24-000018.txt (&nbsp;) — 5904KB
• pg-20231231.xsd (EX-101.SCH) — 37KB
• pg-20231231_cal.xml (EX-101.CAL) — 54KB
• pg-20231231_def.xml (EX-101.DEF) — 202KB
• pg-20231231_lab.xml (EX-101.LAB) — 440KB
• pg-20231231_pre.xml (EX-101.PRE) — 283KB
• pg-20231231_htm.xml (XML) — 945KB

Item 1. Financial Statements

PART I Item 1. Financial Statements 1 Consolidated Statements of Earnings 1 Consolidated Statements of Comprehensive Income 1 Consolidated Balance Sheets 2 Consolidated Statements of Shareholders' Equity 3 Consolidated Statements of Cash Flows 5

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements 6 Note 1: Basis of Presentation 6 Note 2: New Accounting Pronouncements and Policies 6 Note 3: Segment Information 6 Note 4: Goodwill and Intangible Assets 7 Note 5: Earnings Per Share 9 Note 6: Share-Based Compensation and Postretirement Benefits 9 Note 7: Risk Management Activities and Fair Value Measurements 10 Note 8: Accumulated Other Comprehensive Income/(Loss) 11 Note 9: Commitments and Contingencies 11 Note 10: Supplier Finance Programs 12 Note 11: Restructuring Program 12

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 13

Quantitative and Qualitative Disclosures About Market Risk

Item 3. Quantitative and Qualitative Disclosures About Market Risk 29

Controls and Procedures

Item 4. Controls and Procedures 29

Item 1. Legal Proceedings

PART II Item 1. Legal Proceedings 29

Risk Factors

Item 1A. Risk Factors 30

Unregistered Sales of Equity Securities, Use of Proceeds and Issuer Purchases of Equity Securities

Item 2. Unregistered Sales of Equity Securities, Use of Proceeds and Issuer Purchases of Equity Securities 30

Other Information

Item 5. Other Information 30

Exhibits

Item 6. Exhibits 31 Signature 31 The Procter & Gamble Company 1

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements THE PROCTER & GAMBLE COMPANY AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF EARNINGS Three Months Ended December 31 Six Months Ended December 31 Amounts in millions except per share amounts 2023 2022 2023 2022 NET SALES $ 21,441 $ 20,773 $ 43,312 $ 41,385 Cost of products sold 10,144 10,897 20,645 21,743 Selling, general and administrative expense 5,522 5,091 11,127 9,918 Indefinite-lived intangible asset impairment charge 1,341 — 1,341 — OPERATING INCOME 4,433 4,785 10,200 9,724 Interest expense ( 248 ) ( 171 ) ( 472 ) ( 294 ) Interest income 133 66 262 108 Other non-operating income, net 177 155 309 294 EARNINGS BEFORE INCOME TAXES 4,496 4,835 10,299 9,832 Income taxes 1,003 876 2,250 1,910 NET EARNINGS 3,493 3,959 8,049 7,922 Less: Net earnings attributable to noncontrolling interests 25 26 60 50 NET EARNINGS ATTRIBUTABLE TO PROCTER & GAMBLE $ 3,468 $ 3,933 $ 7,988 $ 7,872 NET EARNINGS PER COMMON SHARE (1) Basic $ 1.44 $ 1.63 $ 3.33 $ 3.25 Diluted $ 1.40 $ 1.59 $ 3.23 $ 3.16 (1) Basic net earnings per common share and Diluted net earnings per common share are calculated on Net earnings attributable to Procter & Gamble. CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME Three Months Ended December 31 Six Months Ended December 31 Amounts in millions 2023 2022 2023 2022 NET EARNINGS $ 3,493 $ 3,959 $ 8,049 $ 7,922 OTHER COMPREHENSIVE INCOME/(LOSS), NET OF TAX Foreign currency translation 492 379 83 ( 333 ) Unrealized losses on investment securities ( 1 ) ( 1 ) ( 2 ) ( 3 ) Unrealized gains/(losses) on defined benefit postretirement plans ( 75 ) ( 76 ) ( 30 ) 11 TOTAL OTHER COMPREHENSIVE INCOME/(LOSS), NET OF TAX 416 302 51 ( 325 ) TOTAL COMPREHENSIVE INCOME 3,909 4,261 8,100 7,597 Less: Total comprehensive income attributable to noncontrolling interests 25 23 58 42 TOTAL COMPREHENSIVE INCOME ATTRIBUTABLE TO PROCTER & GAMBLE $ 3,884 $ 4,238 $ 8,041 $ 7,555 See accompanying Notes to Consolidated Financial S

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS 1. Basis of Presentation The accompanying unaudited Consolidated Financial Statements of The Procter & Gamble Company and subsidiaries ("the Company," "Procter & Gamble," "P&G," "we" or "our") should be read in conjunction with the Company's Annual Report on Form 10-K for the fiscal year ended June 30, 2023. We have prepared these statements in conformity with accounting principles generally accepted in the United States (U.S. GAAP) pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (SEC) for interim financial information. Note that certain columns and rows may not add due to rounding. In the opinion of management, the accompanying Consolidated Financial Statements contain all normal recurring adjustments necessary to present fairly the financial position, results of operations and cash flows for the interim periods reported. However, the results of operations included in such financial statements may not necessarily be indicative of annual results. 2. New Accounting Pronouncements and Policies In November 2023, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2023-07, "Segment Reporting: Improvements to Reportable Segment Disclosures." This guidance requires disclosure of incremental segment information on an annual and interim basis. This amendment is effective for our fiscal year ending June 30, 2025 and our interim periods within the fiscal year ending June 30, 2026. We are currently assessing the impact of this guidance on our disclosures. In December 2023, the FASB issued ASU No. 2023-09, "Income Taxes: Improvements to Income Tax Disclosures." This guidance requires consistent categories and greater disaggregation of information in the rate reconciliation and disclosures of income taxes paid by jurisdiction. This amendment is effective for our fiscal year ending June 30, 2026. We are currently assessing the impact of this guidance on