Colgate-Palmolive Company ( CL ) shares are trading slightly higher after the consumer giant reported first-quarter FY24 sales growth of 6.2% year-on-year to $5.065 billion, beating the analyst consensus estimate of $4.956 billion.

Organic sales increased by 9.8%. Total Oral, Personal, and Home Care net sales increased by 6.8% to $3.96 billion.

Non-GAAP EPS of $0.86 beat the consensus estimate of $0.81.

Gross profit was $3.03 billion, while the margin expanded 310 basis points to 60%. Selling, general and administrative expenses rose 9% to $1.9 billion.

Operating margin expanded 160 basis points to 20.7%, and operating income for the quarter increased 15.2% to $1.04 billion.

The company held $1.07 billion in cash and equivalents as of March-end. Operating cash flow totaled $681 million.

“The strong gross and operating margin expansion in the quarter funded a 16% increase in advertising and we expect strong levels of brand investment over the balance of 2024,” said Chairman, President, and CEO Noel Wallace.

Outlook: Colgate raised FY24 net sales growth guidance to 2%-5% (prior view 1%-4%). The company also raised its organic sales growth outlook to 5%-7% (prior view 3%-5%).

On a non-GAAP basis, the company still expects gross profit margin expansion, increased advertising investment, and mid to high-single-digit earnings-per-share growth.

Price Action: CL shares are trading higher by 0.85% at $90.05 in premarket at the last check Friday.