Procter & Gamble reports 16% rise in earnings

Consumer products giant Procter & Gamble said today third-quarter net earnings rose 16 per cent, fueled by sales of Clairol…

Consumer products giant Procter & Gamble said today third-quarter net earnings rose 16 per cent, fueled by sales of Clairol hair-care products and other lines.

Volume, which excludes price changes and currency factors, rose 10 per cent, marking the first quarter that both volume and earnings per share rose double-digits on a percentage basis since 1995, the latest sign that the company is reaping the benefits of a turnaround program.

The maker of Tide laundry detergent, Crest toothpaste and a host of other well-known items posted net income of $1.04 billion, or 74 cents a share, for the quarter ended March 31st, compared with $893 million, or 63 cents a share, a year earlier.

The company said its third-quarter sales rose 4 per cent to $9.9 billion.

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P&G shares, a component of the Dow Jones industrial average, closed yesterday at $90. Since the beginning of the year the shares have risen about 15 per cent, while the Dow Jones industrial average has fallen about 2 per cent.