Procter & Gamble has claimed that further price increases on its products are inevitable due to turbulence affecting exchange rates in emerging markets.
The consumer products giant, the maker of brands including Pringles, Duracell batteries and Gillette razors, has warned that price rises would be inevitable in response to what it called “unprecedented” volatility in foreign exchange rates.
The company also revised its sales forecasts for the year ahead due to the strength of the dollar, with the more modest projection causing a 3% dip in its share price.
P&G chief financial officer Clayt Daley said “the devaluation across the emerging markets we are witnessing is unprecedented in its depth, breadth and speed”.
News of the imminent price increases comes despite P&G this week posting a 9% rise in first-quarter profits to $3.35bn, while sales grew by 5% on a like-for-like basis to $22.03bn.
Last month the company signalled plans to take on retailers by selling its products direct to consumers via a new online venture dubbed theEssentials.com.