By Will Feuer
Colgate-Palmolive Co. said its profit fell in the first quarter as higher costs outpaced price increases.
The consumer-products company posted net income of $559 million, compared with $681 million a year earlier. Earnings were 66 cents a share, down from 80 cents a share a year ago.
The company said its drop in earnings was driven by increases in raw and packaging material costs and overhead expenses, driven by higher logistics costs. Higher costs were partially offset by price increases, the company said.
Adjusted earnings were 74 cents a share, matching expectations of analysts polled by FactSet.
Net sales rose 1.5% to $4.40 billion, the company said. Organic sales, which strip out currency effects, rose 4%, driven by higher pricing in nearly every region. Analysts were looking for $4.40 billion.
Cost of sales rose from $1.71 billion to $1.83 billion.
"We expect the difficult cost environment to continue for the next several quarters," Chief Executive Noel Wallace said.
Write to Will Feuer at Will.Feuer@wsj.com
(END) Dow Jones Newswires
April 29, 2022 07:21 ET (11:21 GMT)Copyright (c) 2022 Dow Jones & Company, Inc.