Procter & Gamble's Stock Slips As Sales Fall More Than Expected

Procter & Gamble Co.'s stock fell 0.8% in premarket trade, after the consumer products giant beat fiscal first-quarter profit expectations, but missed on sales. For the quarter ended Sept. 30, earnings rose to $2.6 billion, or 91 cents a share, from $1.99 billion, or 69 cents a share, in the same period a year ago. Core earnings per share, which excludes non-recurring items and discontinued operations, came to 98 cents, above the FactSet consensus of 95 cents. Sales fell 12% to $16.53 billion, below the FactSet consensus of $17.28 billion, as a decline in shipment volume offset increases in pricing and sales mix. Unfavorable foreign currency movements reduced revenue by nine percentage points. The company said increased volatility in market growth and currency rates made it difficult to forecast earnings for fiscal 2016, but said it would maintain its previous guidance of a slight decline to growth in the mid-single-digit percentage range. The stock has dropped 18% year to date through Thursday, while the Dow Jones Industrial Average has lost 1.9%.