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P&G Forecasts Slower Growth for Fiscal 2027 After Q4 Revenue Miss

Higher commodity and energy prices plus weaker buying by value-conscious shoppers will trim profits and force tighter spending next year.

Overview

  • P&G reported fiscal fourth-quarter adjusted EPS of $1.43, slightly above estimates, while net sales of $21.2 billion fell short of expectations.
  • The company said organic revenue and overall volumes were flat for the quarter with gains in beauty and fabric care offset by declines in baby, grooming and health care.
  • P&G expects roughly a $1 billion hit from higher raw material, energy and transport costs in fiscal 2027 and warned that higher interest costs, lower non-operating income and adverse currency will further cut about 56 cents from EPS.
  • Core operating margin fell 130 basis points for the third straight quarter as P&G raised marketing spending and absorbed higher commodity prices.
  • Leadership continuity was confirmed with CEO Shailesh Jejurikar becoming board chair on Aug. 1 as the company positions for modest 1%–3% sales growth and $6.89–$7.11 adjusted EPS in fiscal 2027 while watching consumer trade-downs and cost volatility.