Will CL's Q1 2025 earnings beat forecasts?
3/29/2025 05:23pm
**Colgate-Palmolive's Q1 2025 earnings are likely to beat forecasts**, considering the following points:
1. **Strong Earnings Performance**: In the fourth quarter of 2024, Colgate-Palmolive's per-share adjusted earnings were $0.91, which exceeded the FactSet-pooled consensus of $0.89. This indicates a strong earnings trend that could carry into Q1 2025.
2. **Revenue Insights**: Although Q4 revenue missed analysts' forecasts due to weakness in North America and Latin America, the company's revenue was still above $4.9 billion. The estimated revenue for Q1 2025 is $4.98 billion, which is slightly higher than the previous quarter's revenue. This suggests that Colgate-Palmolive could potentially exceed revenue expectations in Q1 2025.
3. **Market Trends and Outlook**: Despite facing challenges in North America and Latin America, Colgate-Palmolive has seen positive growth in other regions such as Europe, Asia Pacific, and Africa/Europe. The company's pet nutrition business also showed growth. For 2025, Colgate-Palmolive expects low to mid-single-digit growth in adjusted EPS and flat net sales, which implies a positive outlook that earnings could be ahead of forecasts.
4. **Historical Performance**: Colgate-Palmolive has a track record of strong financial performance and has surpassed strategic goals and achieved record financial performance in the past. This historical context suggests that the company has the potential to exceed earnings forecasts.
In conclusion, considering Colgate-Palmolive's strong earnings performance, regional growth, and market trends, it is reasonable to expect that the company's Q1 2025 earnings could beat forecasts. However, the potential impact of foreign exchange rates and market conditions in North America and Latin America should be closely monitored.