The Procter & Gamble Company (PG) Q4 2026 earnings summary

Executive summary

• Fiscal 2026 delivered organic sales, core EPS, and cash return to shareholders within guidance despite volatile macroeconomic and geopolitical conditions and input cost spikes.

• Organic sales grew 1% year-over-year, with volume flat and pricing up 1%; net sales rose 3% to $87.0 billion, aided by favorable foreign exchange.

• 9 of 10 categories and all 7 regions held or grew organic sales; 26 of top 50 category/country combinations held or grew share, though global value share slightly declined.

• Strategic interventions and innovation drove user growth, especially in China, Latin America, and key U.S. categories.

• Major leadership transition announced with Jon Moeller retiring from the Board after 38 years of service.

Financial highlights

• Core EPS for FY 2026 was $6.89, up 1% year-over-year; diluted EPS increased 2% to $6.62.

• Adjusted free cash flow productivity reached 100% for FY 2026; operating cash flow was $19.6 billion.

• Over $15 billion was returned to shareholders via $10.2 billion in dividends and $5.0 billion in share repurchases.

• Q4 core EPS was $1.43, down 3% year-over-year; Q4 diluted EPS was $1.26, down 15% year-over-year.

• Q4 adjusted free cash flow productivity was 133%.

Outlook and guidance

• Fiscal 2027 guidance: net and organic sales growth of 1–3%, core EPS growth of 0–3% ($6.89–$7.11), and diluted EPS growth of 1–5%.

• $1 billion after-tax cost headwind expected, mainly from higher raw materials, energy, and supply chain premiums, plus $50 million FX headwind.

• Q1 FY 2027 EPS expected to decline 5% or more year-over-year due to cost timing.

• Capital spending forecasted at 4.5–5.5% of sales; adjusted free cash flow productivity at 85–90%.

• Plan to return $15 billion to shareholders in fiscal 2027 through dividends and share repurchases.