Overview
- Colgate reported on Friday that Q2 net sales rose 4.9% to $5.36 billion and adjusted EPS was $0.99, topping analyst estimates.
- The company reaffirmed its 2026 net-sales target of 2%–6% growth and lifted the base of its adjusted earnings outlook to mid-single-digit growth.
- Performance was split by region, with Latin America, Europe and Asia Pacific driving growth while North America posted about a 3% organic sales decline and a 3.9% drop in volumes.
- Executives warned that new U.S. tariffs (10% and 12.5%), higher oil-linked input costs and logistics pressures are additional headwinds that could offset recent tariff refunds and squeeze margins.
- Management had earlier disclosed roughly $300 million of extra raw-material and logistics costs for 2026, and investors pared the stock by about 2.5% as they weighed Colgate’s defensive assets against rising cost sensitivity.