NEW YORK CITY (dpa-AFX) - Consumer products giant Colgate-Palmolive Co. (CL) Thursday said its profit for the fourth quarter declined from last year, hurt by charges, despite a 5 percent growth in revenues. Adjusted earnings matched Wall Street view, but revenues missed. Further, the company warned that its fiscal 2012 profit may be hit by adverse currency translation. Net income attributable to the company declined to $590 million or $1.21 per share from last year's $624 million or $1.24 per share and prior quarter's $643 million or $1.31 per share. The latest results included $0.09 per share charge resulting from the implementation of business realignment and other cost-saving initiatives, the sale of land in Mexico and a competition law matter in France regarding a divested detergent business. Excluding charges, net income for the recent quarter totaled $634 million or $1.30 per share and matched the average estimate of 22 analysts polled by Thomson Reuters. Analysts' estimates typically exclude one-time items. Worldwide net sales grew 5 percent to $4.17 billion from $3.98 billion, but declined from the prior quarter's $4.38 billion. Analysts estimated revenues of $4.19 billion for the quarter. Global unit volume grew 4 percent, pricing increased 3 percent and foreign exchange was negative 2 percent. The Sanex acquisition contributed 1.5 percent to sales and volume growth, the company said. Organic sales, which exclude foreign exchange, acquisitions and divestments, grew 6 percent in the quarter. Total Oral, Personal and Home Care sales advanced 5 percent to $3.61 billion, with growth in all regions. Pet Nutrition sales grew to $564 million from $552 million. North America net sales grew 3.5 percent, while Latin America saw a 6.5 percent growth. Net sales increased 5 percent in Europe/South Pacific. Gross profit margin for the quarter dropped 170 basis points to 57.4 percent. Excluding the costs associated with the business realignment and other cost-saving initiatives, gross profit margin was 57.7 percent, down 140 basis points from last year, reflecting continued increases in raw and packaging material costs worldwide. For the year as a whole, net income attributable to the company rose to $2.43 billion or $4.94 per share from $2.20 billion or $4.31 per share. Sales climbed to $16.73 billion from $15.56 billion. Analysts expected earnings of $5.02 per share on revenues of $16.75 billion. Looking ahead, the company said if average exchange rates for full year 2012 equaled current spot rates, currency translation would decrease full year earnings per share growth by about 4 percent. CL closed on Wednesday at $89.44, up from the prior close of $88.25, on 2.42 million shares.
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