Procter & Gamble ups guidance on solid profits

Procter & Gamble, reporting quarterly earnings that bested analyst expectations, raised its 2013 earnings guidance due to strong productivity gains and the effects of cost-saving efforts.

A Dow industrial index member that manufactures health and beauty goods, Procter & Gamble reported $1.22 per share "core" earnings, a benchmark that strips out special items and other items not related to sustainable earnings.

Analysts had forecast earnings of $1.11 for this category.

The company's revenues came in at $22.18 billion, above the $21.91 billion forecast by analysts.

"Global market share trends improved as we continued to implement our growth strategy and made very good progress against our productivity and cost savings goals," said chief executive Bob McDonald.

"Our strong first-half results have enabled us to raise our sales, earnings and share repurchase outlook for the fiscal year."

Procter & Gamble said its growth was broad-based and that all five of its business segments grew organic sales by at least two percent. The biggest growth came in the company's baby care and family care segment with 5 percent.

The results enabled Procter & Gamble to raise its full-year 2013 core earnings guidance to $3.97-$4.07 from the previous range of $3.80-$4.00.

Net income came in at $4.1 billion, or $1.39 per share, compared with the year-ago figure of $1.7 billion, or 57 cents per share.

Procter & Gamble also raised its forecast of 2013 share repurchases to a range of $5-6 billion, up from the previous range of $4-6 billion.