The Procter & Gamble Company · Q2 2026 call

For the fourth quarter, we saw improving global share trends versus prior period, but headline results were impacted by trade dynamics in the U.S. and the spike in input costs.

Organic sales in North America were down 1% versus prior year, while consumption and market share of P&G brands improved, through the quarter, there was a notable disconnect between sell-out and sell-in, with sell-out or consumption at +2% and sell-in at -1%.

Tide did their biggest upgrade in over two decades on their original Tide liquid detergent, which represents more than one-fourth of all Tide detergent users. Significantly improving the product for the same price. Since launch, Tide Original Liquid has gone from declining to high-single-digit growth.

This outlook includes a cost headwind of approximately $1 billion after tax, driven by higher raw materials, energy, transportation costs, and other premiums resulting from the conflict in The Middle East. […] This estimate assumes an effective Brent crude oil price of $90 a barrel

While we do not typically provide quarterly guidance, we estimate the cost dynamic will cause Q1 EPS to be down 5% or more versus prior year.

Fiscal year 26 was a year of foundation building. The operating environment was even more challenging than expected. But we delivered another year of organic sales and core EPS growth and we continued a long-term record of returning high levels of cash to shareowners.

We continue to believe the best path to sustainable balanced growth is to double down on the strategy. Stronger integrated execution to delight consumers with superior products, at a superior value.

We are happy with the recovery on the consumer front. Particularly our performance relative to getting new users in. I think it is best reflected in the fact that our global share has now stabilized and has been flat for 3-month periods.

We are now growing share in China for the first time in 15 quarters, driven by fundamental changes we made similar to what we are doing in the company. We changed our go-to-market.

So we see a good $5 billion to $10 billion growth opportunities over the next 3 to 5 years in both the U.S. and Europe just fundamentally by addressing some of these huge growth opportunities that still exist. A lot of this will require a higher level of innovation

And if you look at our media spend and advertising spend over the last 3 to 5 years, the only way we have gone is up. And as I said, I think neither I nor Shailesh believe that 100% of that spending has been effective.

So if I dissect the guidance on the top-line range, the base assumption is category growth at the current levels we are seeing in the market, which is 2%.

So we are the number 1 baby care brand in China which is an amazing accomplishment by the team.

So it beat our expectations is a simple answer. […] What did we do? We set price the same. Give a much better performance. Intuitively, you know it is going to work, but you cannot really say is it going to grow 3%, 5%, 7%?