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CLAIM #48943 · Procter & Gamble Company (PG) · 2023Q3 earnings call · Apr 21, 2023 · due Jun 30, 2023

We would expect progress on the gross margin side.

Andre Schulten · CFO

PENDING
graded after results covering Jun 30, 2023 are reported

In context

ssumptions and freight assumptions are a bit better than they were previously. So, just wanted to get a sense if we start to see this sustained improving gross margin environment, what's your perspective on the bias to sort of reinvest that upside back into marketing versus let it drop to the bottom-line? This quarter, obviously, with the magnitude of gross profit upside, you could do both. But just want to get a sense on how you think about that going forward? And if I can slip in a second part, are you comfortable you're getting a strong ROI on the higher ad spend? Presumably, obviously, you did this quarter, but how do you think about that going forward and sort of ROI on any spend that may be opportune or incremental to what you originally expected? Andre Schulten: Good morning, Dara. We would expect progress on the gross margin side. Actually we're encouraged by the productivity numbers that have helped us on top of pricing to deliver the first modest increase in gross margin after a very long period of heavy cost headwinds impacting us to the negative side. And as we've done this quarter, we will continue to look for value creating opportunities to reinvest. We firmly believe the reason why we are able to grow the top-line at the range we are growing, the reason why we are able to hold volume share and value share globally in a very tough environment is because of our superiority-driven innovation across product, package, communication and retail execution. And we believe that as pricing goes into the market and the consumer is even more, I think, sensitive towards the value equation that they are being offered, cont

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SEC filings for PG · Claim quote is verbatim from the 2023Q3 earnings call.