The Procter & Gamble Company (PG) To Drop Nearly 100 Underperforming Brands

Bloomberg TV in its “In The Loop” program commented on the streamlining efforts being made by Alan G. Lafley, who is the Chairman of the Board, President, Chief Executive Officer of FMCG major The Procter & Gamble Company (NYSE:PG) in order to increase its profitability and turn the company around.

The Procter & Gamble Company (NYSE:PG)

Julie Hyman of Bloomberg reported that  The Procter & Gamble Company (NYSE:PG) has finalized plans to either spin off, discontinue nearly 100 brands from its global product portfolio over the next two years time frame. These steps are being taken by the $217 billion market cap global giant; Hyman explained that in order to cut its operational costs and realign its focus on its most popular and profitable products.

Commenting about the likely impact the elimination of these 100 identified brands could have on the top line and bottom line of The Procter & Gamble Company (NYSE:PG), Julie Hyman indicated that, “the brands they are getting rid of, whether they sell them or discontinue them, or spin them off in some way, account for only about 10% of revenue and five percent of profits”.  This means that the products/ brands that are being discontinued were the “least profitable brands” of the company.

On completion of this consolidation program, The Procter & Gamble Company (NYSE:PG) portfolio is expected to include roughly 70 to 80 core brands. The reporter noted that these brands would constitute the cream, top performing brands for the company.

The program then went on to note that these realignment efforts that are afoot within The Procter & Gamble Company (NYSE:PG) are a continuation of the turnaround steps which were initiated last summer when the current CEO made his way back into the company to replace Bob McDonald.  Hyman went on to quote analysts she has spoken with about the impact of these moves, to have commented that, “it would allow the company to keep costs in check, focus on the core here”.

She also provided a background to the current CEO making his way back to lead The Procter & Gamble Company (NYSE:PG) after activist investor Bill Ackman forced the hand of the company board to sideline Bob McDonald as CEO.

Disclosure: none

Biotech Insider Alert - $6 Stock To Hit $40

$200 Million Dollar Healthcare Hedge Fund's #1 Best Idea Right Now

The best healthcare hedge fund out there right now is one of the largest shareholders in this biotech stock. The fund returned more than 20% in each of the last 2 years with a virtually fully hedged portfolio, and it's sending out a BUY signal on this biotech stock. Get your FREE REPORT today (retail value of $300)

This is a FREE report from Insider Monkey. Credit Card is NOT required.
Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The Best Romance Movies of all Time

The Most Wanted Drug Lords

The Oldest Money Managers

The Greatest Directors in the World

Largest Animals in the World

World’s Most Expensive Desserts

Best Selling Comic Books of All Time

A-list Actors who Sabotaged Their Career

Rappers With a College Degree

The Best Jazz Albums of all Time

The Most Influential Jazz Musicians

The World’s Most Famous Photographers

The Best Oscar-Winning Songs

Most Influential Choreographers Ever

Most Expensive Department Stores in the World

The Most Expensive Stolen Paintings in the World

The World’s Most Expensive Teas

Top Oscar Record Holders

The Most Expensive Flowers in the World

Countries With a Booming Film Industry

Most Expensive Cupcakes in the World

Uncommon European Escapes

The Most Stolen Artists in History

Best Travel Destinations in Australia

World’s Most Expensive Musical Instruments

World’s Most Famous Animals

Most Expensive Cakes in the World

Most Expensive Kosher Champagne in the World

Most Expensive Kosher Wine in the World

The Most Surprisingly Dark Fairy Tales

Most Popular Travel Destinations in Asia

The 10 Most Expensive Dresses Ever Worn to the Oscars

World’s Most Visited Art Museums

Best Countries for Photographers to Work in

Best Paid Jobs in the Film Industry

The Most Renowned Recovered Paintings Ever

Child Stars That Turned out Just Fine

Books That Were Banned in the Past Century

World’s Richest Dancers

Best Remedies against Bad Breath

Foods That Improve Your Skin Texture

Best-Selling Children’s Books of all Time

Foods That Boost Your Libido

Best-Selling Books of all Time

The Most Expensive Academy Awards Jewelry in History

Most Expensive Japanese Restaurant In New York City

The Best B-Boy Movies

Most Awesome Hip Hop Documentaries

Foods That Stain Your Teeth

Richest Doctors in the World

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 129% in 2.5 years!! Wondering How?

Download a complete edition of our newsletter for free!