Colgate Stays Course On Earnings Forecast Against Stormy Headwinds From Costs

Higher material and packaging costs in North America drove Colgate’s Q2 operating profit down 21%. Oral care sales were the bright spot in an otherwise difficult quarter in North America, where total sales declined 4% due to COVID-related demand in 2020 and competitive pressure.

• Source: Alamy

Colgate-Palmolive Co.’s latest quarterly results add to the convincing evidence of higher raw material and packaging costs, some linked to the COVID-19 pandemic, slowing income growth for US consumer health product firms.

The firm reported raw material and packaging costs particularly hit its North American business, which accounts for 21% of total...

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