Procter & Gamble Faces Slow Start, But Outlook Remains Steady

Core Viewpoint - Procter & Gamble Company (NYSE:PG) is preparing to announce its first-quarter earnings, with shares trading slightly lower ahead of the announcement [1] Outlook And Near-Term Setup - Analyst Nik Modi forecasts organic sales growth of 1.4%, which rounds to 1% under P&G's whole-number reporting, aligning with buy-side expectations [2] - Modi anticipates a slightly lower bottom line but expects P&G to meet consensus, noting that growth has remained slow since early October, with a significant drop of 16% in the week ending October 6 [3][4] Macro, Regional Trends, And Tariffs - Management's focus is on reaccelerating global market growth, which is currently around 2% to 2.5%, slower than the last twelve months but still acceptable [5] - North America is tracking 2% to 3% growth with limited volume, while Europe appears flat, and China is facing challenges but moving towards a positive trajectory [6] - The impact of tariffs has been reduced from $1 billion to $700–$750 million, with limited effects expected on P&L after this reduction [6][7] - Overall, a slow fiscal start is anticipated, with the first quarter expected to be near the low end of P&G's guidance, amid ongoing macro uncertainty [7]