P&G announces quarterly dividend of US$1.0065 per share
Payment reinforces company's commitment to investors amid operational challenges and financial projection adjustments
The Board of Directors of Procter & Gamble, the multinational personal hygiene products company, has approved the payment of a quarterly dividend of US$1.0065 per share on its common and preferred shares. The payment will be made on February 18, 2025, based on the shareholding position recorded on January 24, 2025.
P&G maintains a long tradition of dividend distribution, practiced continuously for 134 years. In addition, the company has increased its dividend for 68 consecutive years, reaffirming its commitment to generating stable financial returns for its investors.
ADJUSTMENTS TO MARKET PROJECTIONS
At the same time, Procter & Gamble has faced operational challenges and adjustments to market projections. Deutsche Bank revised the target price of the company’s shares to US$188, following a cyber attack that affected one of its main logistics service providers. This incident is expected to impact the company’s revenue growth and earnings per share in the second quarter of fiscal year 2025.
Other banks and financial institutions have also reassessed their positions on P&G. DA Davidson changed its recommendation from Neutral to Buy, raising the target price to US$209. On the other hand, Jefferies maintained a cautious outlook, recommending a hold on the stock with an estimate of US$174 per share, due to risks such as instabilities in the supply chain. Stifel raised its target price to US$167, while Piper Sandler continued with a conservative position of US$174 per share.
In addition to the market movements, P&G announced measures aimed at sustainability. In response to pressure from shareholders, the company promised more transparency in audits of its wood pulp suppliers, with the aim of ensuring more responsible practices in its supply chain.
Despite the adversity, P&G reported a 2% increase in organic sales for the first fiscal quarter, driven by volume growth and pricing strategies. The recent developments reflect a challenging scenario, but the company remains committed to delivering value to its investors.
