10:20 AM EDT, 08/01/2025 (MT Newswires) -- Colgate-Palmolive's ( CL ) second-quarter results unexpectedly increased on an annual basis despite challenging market conditions, while the consumer products company reiterated its full-year earnings and net sales growth outlook.

Adjusted earnings came in at $0.92 a share for the June quarter, up from $0.91 the year before, and defying the FactSet-polled consensus for a decline to $0.90. Sales edged 1% higher to $5.11 billion, better than the Street's view for a decrease to $5.04 billion.

Overall volume was flat while pricing increased 2% with gains across all regions, except for North America. Organically, sales inclined 1.8% year on year.

"I am pleased that Colgate-Palmolive ( CL ) people achieved another quarter of net sales, organic sales and earnings per share growth in the face of continued difficult market conditions worldwide, with organic sales growth improving sequentially versus the first quarter despite an even greater negative impact from lower private label pet sales," Chief Executive Noel Wallace said in a statement.

For 2025, Colgate-Palmolive ( CL ) continues to project adjusted EPS and sales to rise by low single digits each. The Street is looking for non-GAAP EPS of $3.67 and sales of $20.33 billion. Organic sales are now anticipated to be at the low end of the company's previously issued growth range of 2% to 4%, including the impact over the course of the year of its planned exit from private label pet sales.

"The cost environment is difficult as we're dealing with tariff increases, higher raw and packaging material costs and less underlying category inflation," Wallace said during an earnings call, according to a FactSet transcript. "This means that our revenue growth management strategies need to drive additional pricing and mix with lower levels of elasticity, as we look to improve organic sales growth in the second half of the year."

Second-quarter sales in the oral, personal and home care segment nudged up to $3.95 billion from $3.94 billion in the prior-year period. Revenue declined in North America and Latin America, but rose in Europe, Asia Pacific and Africa/Eurasia. The pet nutrition business sales rose to $1.16 billion from $1.11 billion.

Colgate-Palmolive ( CL ) also announced a new three-year productivity program as part of its efforts to generate growth and support its 2030 strategy. The plan includes optimizing the company's supply chain and streamlining its organizational structure to cut overhead costs.

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