PG · 10-K · 2026A · Full report
FX / Currency Headwinds
PROCTER & GAMBLE Co · 2026-08-04 · Importance 31 · Surprise 32 · No source text
Foreign exchange affected the Company’s international operations, including a favorable 2% impact on Baby, Feminine & Family Care net sales in fiscal 2026 and lower foreign exchange transactional charges in SG&A. The Company manages currency exposure through natural hedges, forward contracts and currency swaps with maturities of less than 18 months. Management stated that a near-term currency-rate change would not materially affect the financial statements, but identified further currency devaluation against the U.S. dollar as a risk to Gillette’s fair value and future cash flows.
Key facts
- Net sales increased 3% to $87.0 billion in fiscal 2026 driven by favorable foreign exchange of 2% and pricing of 1%; unit volume and mix were unchanged versus the prior year. source
- Foreign exchange impacts increased net earnings by approximately $224 million in fiscal 2026. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| revenue | positive | realized | +2.0% | Net sales increased 3% to $87.0 billion in fiscal 2026 driven by favorable foreign exchange of 2% and pricing of 1%; unit volume and mix… |
| revenue | positive | realized | +1.0% | Net sales increased 3% to $87.0 billion in fiscal 2026 driven by favorable foreign exchange of 2% and pricing of 1%; unit volume and mix… |