The Investor
31 Oct 2025, 15:08
Colgate-Palmolive Reports Q3 2025 Results; Updates Organic Sales Outlook, Maintains EPS Guidance
Colgate-Palmolive Company (NYSE: CL) reported third-quarter 2025 net sales of $5.13 billion, up 2.0% year over year, with organic sales growth of 0.4%, reflecting a 0.8% drag from the company’s exit from private label pet sales. GAAP and Base Business EPS were both $0.91, with GAAP earnings up 1% compared to the prior year.
Profitability and Cash Flow
Gross profit margin declined 170 basis points to 59.4% (both GAAP and Base Business). For the first nine months of 2025, net cash provided by operations reached $2.75 billion, underscoring strong cash generation.
Market Leadership
Colgate maintained its global leadership in oral care, holding a 41.2% share in toothpaste and a 32.4% share in manual toothbrushes year-to-date.
CEO Commentary
Chairman and CEO Noel Wallace highlighted that the company “delivered another quarter of growth despite slowing category trends,” adding that Colgate’s 2030 strategy and Strategic Growth and Productivity Program will position the company to reaccelerate growth through innovation, digital engagement, and improved organizational efficiency.
Outlook
For full year 2025, Colgate:
• Expects net sales to rise in the low single digits, including a flat-to-slightly negative impact from FX.
• Lowers organic sales growth guidance to 1%–2%, roughly in line with year-to-date performance (1.2%).
• Projects gross profit margin around 60.1%, consistent with year-to-date levels.
• Maintains guidance for advertising spending as a percentage of sales and expects EPS to grow at a low single-digit rate.
•
Wallace reaffirmed that Colgate’s long-term focus remains on sustained margin expansion and compounded EPS growth through science-based innovation and global brand strength.
Colgate-Palmolive Company (NYSE: CL) reported third-quarter 2025 net sales of $5.13 billion, up 2.0% year over year, with organic sales growth of 0.4%, reflecting a 0.8% drag from the company’s exit from private label pet sales. GAAP and Base Business EPS were both $0.91, with GAAP earnings up 1% compared to the prior year.
Profitability and Cash Flow
Gross profit margin declined 170 basis points to 59.4% (both GAAP and Base Business). For the first nine months of 2025, net cash provided by operations reached $2.75 billion, underscoring strong cash generation.
Market Leadership
Colgate maintained its global leadership in oral care, holding a 41.2% share in toothpaste and a 32.4% share in manual toothbrushes year-to-date.
CEO Commentary
Chairman and CEO Noel Wallace highlighted that the company “delivered another quarter of growth despite slowing category trends,” adding that Colgate’s 2030 strategy and Strategic Growth and Productivity Program will position the company to reaccelerate growth through innovation, digital engagement, and improved organizational efficiency.
Outlook
For full year 2025, Colgate:
• Expects net sales to rise in the low single digits, including a flat-to-slightly negative impact from FX.
• Lowers organic sales growth guidance to 1%–2%, roughly in line with year-to-date performance (1.2%).
• Projects gross profit margin around 60.1%, consistent with year-to-date levels.
• Maintains guidance for advertising spending as a percentage of sales and expects EPS to grow at a low single-digit rate.
•
Wallace reaffirmed that Colgate’s long-term focus remains on sustained margin expansion and compounded EPS growth through science-based innovation and global brand strength.
