P&G is #4 on our Top Global Beauty Companies 2023 Report

P&G is #4 on our Top Global Beauty Companies 2023 report. 

Below is a look at the company's 2023 highlights, recent acquisitions, best-selling brands and latest innovations.

Corporate Sales:

$82 billion

Beauty/Personal Care Sales:

$15 billion

Key P&G Executives 

• Jon R. Moeller, chairman, president and CEO
• Shailesh G. Jejurikar, chief operating officer
• Gary Coombe, CEO, grooming
• Jennifer Davis, CEO, health care
• Ma. Fatima D. Francisco, CEO, baby, feminine care and executive sponsor, gender equality
• R. Alexandra Keith, CEO, beauty and executive sponsor, corporate sustainability

P&G's Major Brands

Hair Care

Head & Shoulders, Aussie, Herbal Essences, Pantene

Skin & Personal Care

Gillette, Ivory, Olay, Old Spice, Safeguard, Secret, Native, Snowberry, SK-II, First Aid Beauty

New Products

• Pantene Miracle Rescue hair repair line
• Head & Shoulders Bare Limited Ingredient Anti-Dandruff Shampoo

A Look at P&G's Sales

P&G saw its overall net sales rise 2% to $82 billion thanks in part to a 2% increase in unit volume. Regional volume saw mid-single digit increases in North America and Latin America, and low single digit increases in Asia Pacific and IMEA. Volume in Europe was unchanged and decreased mid-single digits in Greater China.

The company’s beauty net sales increased 2% to $14.7 billion and represented 18% of the company’s net sales and 22% of its net earnings in 2022. While its beauty unit volume was unchanged, higher pricing increased net sales by 3% and foreign exchange had no impact on net sales. Net sales were negatively impacted (1%) by an unfavorable mix due to the disproportionate decline of SK-II sales.

Hair Care net sales increased low single digits. Positive impacts of higher pricing (driven by all regions) and benefit from acquisitions were partially offset by the negative impacts of unfavorable foreign exchange and a decrease in unit volume.

The volume decrease was driven mostly by declines in Europe (due to portfolio reduction in Russia and increased pricing), Greater China (due to market contraction and pandemic-related disruptions) and Asia Pacific (due to increased pricing). Global market share of the hair care category decreased more than half a point.

P&G’s Skin and Personal Care net sales increased low single digits. Positive impacts of a low single-digit increase in volume and increased pricing were partially offset by negative category mix due to the decline of SK-II brand (which has higher than category-average selling prices).

Organic sales increased low single digits. Volume increased mid-teens in Latin America (due to innovation) and increased mid-single digits in North America (due to innovation in personal care and acquisitions) and in Greater China (due to innovation and market growth). Global market share of the skin and personal care category increased half a point.

The company also spent a total of $1.4 billion in 2022 to add Farmacy Beauty, Ouai and TULA to its Beauty unit.

2022-2023 Highlights

In addition to the beauty acquisitions mentioned above, P&G launched a new Olay Regenerist Hyaluronic Peptide 24 collection.

And the new Head & Shoulders BARE line of anti-dandruff shampoos is formulated with just nine ingredients and no silicones, dyes or sulfated surfactants.

The “bare” theme was carried into the product’s recyclable bottle, which is made using a bare minimum of plastic and can be rolled up to not only squeeze out the last drop of product but also reduce packaging waste—and takes up less space in household recycling bins.

See also: Olay's New Super Serum Changes from Purple to Clear

Looking Ahead

In July, Reuters reported that a P&G executive announced to investors that it would drop its pledge from a corporate policy to not buy wood pulp from degraded forests, drawing anger from “several” P&G investors.

P&G updated its Forest Commodities Policy and removed language that said it would not permit forest degradation, which included activities that impact drinking water, animal habitats or other elements of forests. How the new language would impact P&G’s now tenuous relationship with the EU’s forthcoming deforestation law remains to be seen; however, P&G said it would comply with the law’s requirements.
 
In April, P&G announced that it would be phasing out Opte, an inkjet wand that enabled targeted makeup application. Opte is no longer fulfilling new product or refill orders and subscription refills ceased in January.

Opte was one of the first brands to emerge from P&G Ventures, a division tasked with identifying innovative products in categories new to the company. Opte was launched in 2019 after more than a decade of development and more than 40 patents

And in July, P&G announced its fourth quarter 2023 net sales were up 5% to $20.6 billion, with full year net sales up 2%. Its fourth quarter 2023 organic beauty unit sales were also up 11% versus a year ago. This comes after the company raised prices 10% earlier in the year following a decline in sales volume that led to drops in revenue and profit.

See next—LVMH is #5 on our Top 20 Global Beauty Companies 2023 report.