Proctor & Gamble, known for making several popular household brands including Tide and Charmin, will raise prices on a quarter of its products starting in August.
The move is primarily due to higher costs stemming from President Donald Trump's tariffs , the company announced in its fourth quarter earnings report .
The consumer goods giant reported sales of $20.9 billion for the April June quart of fiscal year 2025, an increase from $20.5 billion in the same period last year.
However, Proctor & Gamble anticipates a significant financial burden from tariffs in the upcoming fiscal year.
"The Company's outlook includes around $1 billion dollars before-tax, or approximately $800 million after-tax, in higher costs from tariffs," the report states. Proctor & Gamble also expects to face an additional, "$200 million after tax from unfavorable commodity costs."
While the company had previously stated in April that it was "doing whatever it could" to reduce higher costs from tariffs, such as shifting sourcing or changing product formulations, Chief Financial Officer Andre Schulten confirmed that the company would still "likely have to pass on higher prices to shoppers as early as July," the Associated Press reported.
"The consumer clearly is more selective in terms of shopping behavior in our categories, and we see a desire to find value," Schulten told reporters Tuesday, according to the Associated Press. He added that "when price increases are combined with improved features on products they resonate with customers."
More Business News
-
Runways, red carpets and real style: Mass. fashion scene lights up between now and October
-
Starbucks plans major cafe closures; up to 90 stores affected
-
Sports betting brought trouble for gamblers, not jobs for Mass., UMass research finds
-
After his death, fans of music legend want a Chipotle burrito named in his honor
-
Holyoke teacher publishes debut novel 'Born of Fire: The Phoenix Knight'
Read the original article on MassLive .
