Form 10-Q - Quarterly report [Sections 13 or 15(d)]

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

(Mark one)


x			True			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the Quarterly Period Ended December 31, 2024


o			False			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from to

THE PROCTER & GAMBLE COMPANY

(Exact name of registrant as specified in its charter)

Ohio

1-434

31-0411980

(State of Incorporation)

(Commission File Number)

(I.R.S. Employer Identification Number)

One Procter & Gamble Plaza

Cincinnati

One Procter & Gamble Plaza, Cincinnati, Ohio

45202

(Address of principal executive offices)

(Zip Code)

(513) 983-1100

(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:


Title of each class	Trading Symbol	Name of each exchange on which registered
Common Stock, without Par Value	PG	NYSE
1.375% Notes due 2025	PG25	NYSE
0.110% Notes due 2026	PG26D	NYSE
3.250% EUR Notes due 2026	PG26F	NYSE
4.875% EUR Notes due May 2027	PG27A	NYSE
1.200% Notes due 2028	PG28	NYSE
3.150% EUR Notes due 2028	PG28B	NYSE
1.250% Notes due 2029	PG29B	NYSE
1.800% Notes due 2029	PG29A	NYSE
6.250% GBP Notes due January 2030	PG30	NYSE
0.350% Notes due 2030	PG30C	NYSE
0.230% Notes due 2031	PG31A	NYSE
3.250% EUR Notes due 2031	PG31B	NYSE
5.250% GBP Notes due January 2033	PG33	NYSE
3.200% EUR Notes due 2034	PG34C	NYSE
1.875% Notes due 2038	PG38	NYSE
0.900% Notes due 2041	PG41	NYSE

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes þ No o

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).

Yes þ No o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.

Large accelerated filer

Accelerated filer

Non-accelerated filer

Smaller reporting company

False

Emerging growth company

False

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes o No þ False

There were 2,344,851,814 shares of Common Stock outstanding as of December 31, 2024.


FORM 10-Q TABLE OF CONTENTS			Page
PART I	Item 1.	Financial Statements	1
		Consolidated Statements of Earnings	1
		Consolidated Statements of Comprehensive Income	1
		Consolidated Balance Sheets	2
		Consolidated Statements of Shareholders' Equity	3
		Consolidated Statements of Cash Flows	5
		Notes to Consolidated Financial Statements	6
		Note 1: Basis of Presentation	6
		Note 2: New Accounting Pronouncements and Policies	6
		Note 3: Segment Information	6
		Note 4: Goodwill and Intangible Assets	7
		Note 5: Earnings Per Share	9
		Note 6: Share-Based Compensation and Postretirement Benefits	9
		Note 7: Risk Management Activities and Fair Value Measurements	10
		Note 8: Accumulated Other Comprehensive Income/(Loss)	11
		Note 9: Commitments and Contingencies	11
		Note 10: Supplier Finance Programs	12
		Note 11: Restructuring Program	12
	Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations	13
	Item 3.	Quantitative and Qualitative Disclosures About Market Risk	28
	Item 4.	Controls and Procedures	28
PART II	Item 1.	Legal Proceedings	29
	Item 1A.	Risk Factors	29
	Item 2.	Unregistered Sales of Equity Securities, Use of Proceeds and Issuer Purchases of Equity Securities	29
	Item 5.	Other Information	29
	Item 6.	Exhibits	30
		Signature	30

The Procter & Gamble Company 1

PART I. FINANCIAL INFORMATION


Item 1.			Financial Statements

THE PROCTER & GAMBLE COMPANY AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF EARNINGS


	Three Months Ended December 31				Six Months Ended December 31
Amounts in millions except per share amounts	2024		2023		2024		2023
NET SALES	$	21,882	$	21,441	$	43,619	$	43,312
Cost of products sold	10,418		10,144		20,839		20,645
Selling, general and administrative expense	5,723		5,522		11,242		11,127
Indefinite-lived intangible asset impairment charge	—		1,341		—		1,341
OPERATING INCOME	5,741		4,433		11,538		10,200
Interest expense	(240)		(248)		(478)		(472)
Interest income	119		133		254		262
Other non-operating income/(expense), net	224		177		(330)		309
EARNINGS BEFORE INCOME TAXES	5,845		4,496		10,985		10,299
Income taxes	1,187		1,003		2,339		2,250
NET EARNINGS	4,659		3,493		8,646		8,049
Less: Net earnings attributable to noncontrolling interests	29		25		56		60
NET EARNINGS ATTRIBUTABLE TO PROCTER & GAMBLE	$	4,630	$	3,468	$	8,589	$	7,988

NET EARNINGS PER COMMON SHARE (1)
Basic	$	1.94	$	1.44	$	3.59	$	3.33
Diluted	$	1.88	$	1.40	$	3.49	$	3.23

(1)Basic net earnings per common share and Diluted net earnings per common share are calculated on Net earnings attributable to Procter & Gamble.

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME


	Three Months Ended December 31				Six Months Ended December 31
Amounts in millions	2024		2023		2024		2023
NET EARNINGS	$	4,659	$	3,493	$	8,646	$	8,049
OTHER COMPREHENSIVE INCOME/(LOSS), NET OF TAX
Foreign currency translation	(770)		492		256		83
Unrealized gains/(losses) on investment securities	—		(1)		1		(2)
Unrealized gains/(losses) on defined benefit postretirement plans	24		(75)		3		(30)
TOTAL OTHER COMPREHENSIVE INCOME/(LOSS), NET OF TAX	(747)		416		260		51
TOTAL COMPREHENSIVE INCOME	3,912		3,909		8,906		8,100
Less: Comprehensive income attributable to noncontrolling interests	26		25		54		58
TOTAL COMPREHENSIVE INCOME ATTRIBUTABLE TO PROCTER & GAMBLE	$	3,887	$	3,884	$	8,852	$	8,041

See accompanying Notes to Consolidated Financial Statements.

2 The Procter & Gamble Company

THE PROCTER & GAMBLE COMPANY AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS


Amounts in millions			December 31, 2024		June 30, 2024
Assets
CURRENT ASSETS
Cash and cash equivalents			$	10,230	$	9,482
Accounts receivable			6,234		6,118
INVENTORIES
Materials and supplies			1,949		1,617
Work in process			879		929
Finished goods			4,192		4,470
Total inventories			7,020		7,016
Prepaid expenses and other current assets			2,158		2,095
TOTAL CURRENT ASSETS			25,642		24,709
PROPERTY, PLANT AND EQUIPMENT, NET			22,074		22,152
GOODWILL			39,898		40,303
TRADEMARKS AND OTHER INTANGIBLE ASSETS, NET			21,833		22,047
OTHER NONCURRENT ASSETS			13,192		13,158
TOTAL ASSETS			$	122,639	$	122,370

Liabilities and Shareholders' Equity
CURRENT LIABILITIES
Accounts payable			$	14,495	$	15,364
Accrued and other liabilities			9,879		11,073
Debt due within one year			9,424		7,191
TOTAL CURRENT LIABILITIES			33,797		33,627
LONG-TERM DEBT			25,263		25,269
DEFERRED INCOME TAXES			6,725		6,516
OTHER NONCURRENT LIABILITIES			5,411		6,398
TOTAL LIABILITIES			71,195		71,811
SHAREHOLDERS’ EQUITY
Preferred stock			788		798
Common stock – shares issued –	December 2024	4,009.2
	June 2024	4,009.2	4,009		4,009
Additional paid-in capital			68,283		67,684
Reserve for ESOP debt retirement			(707)		(737)
Accumulated other comprehensive loss			(11,637)		(11,900)
Treasury stock			(137,112)		(133,379)
Retained earnings			127,544		123,811
Noncontrolling interest			275		272
TOTAL SHAREHOLDERS’ EQUITY			51,443		50,559
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY			$	122,639	$	122,370

See accompanying Notes to Consolidated Financial Statements.

The Procter & Gamble Company 3

THE PROCTER & GAMBLE COMPANY AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY


	Three Months Ended December 31, 2024
Dollars in millions; shares in thousands	Common Stock		Preferred Stock	Additional Paid-In Capital	Reserve for ESOP Debt Retirement	Accumulated Other Comprehensive Income/(Loss)	Treasury Stock	Retained Earnings	Noncontrolling Interest	Total Shareholders' Equity
	Shares	Amount
BALANCE SEPTEMBER 30, 2024	2,355,042	$4,009	$791	$68,102	($707)	($10,893)	($134,823)	$125,361	$300	$52,141
Net earnings								4,630	29	4,659
Other comprehensive income/(loss)						(744)			(3)	(747)
Dividends and dividend equivalents ($1.0065 per share):
Common								(2,375)		(2,375)
Preferred								(72)		(72)
Treasury stock purchases	(14,716)						(2,520)			(2,520)
Employee stock plans	4,057			181			228			408
Preferred stock conversions	469		(3)	—			3			—
ESOP debt impacts					—			—		—
Noncontrolling interest, net				—					(51)	(51)
BALANCE DECEMBER 31, 2024	2,344,852	$4,009	$788	$68,283	($707)	($11,637)	($137,112)	$127,544	$275	$51,443


	Six Months Ended December 31, 2024
Dollars in millions; shares in thousands	Common Stock		Preferred Stock	Additional Paid-In Capital	Reserve for ESOP Debt Retirement	Accumulated Other Comprehensive Income/(Loss)	Treasury Stock	Retained Earnings	Noncontrolling Interest	Total Shareholders' Equity
	Shares	Amount
BALANCE JUNE 30, 2024	2,357,051	$4,009	$798	$67,684	($737)	($11,900)	($133,379)	$123,811	$272	$50,559
Net earnings								8,589	56	8,646
Other comprehensive income/(loss)						263			(3)	260
Dividends and dividend equivalents ($2.013 per share):
Common								(4,754)		(4,754)
Preferred								(144)		(144)
Treasury stock purchases	(26,269)						(4,462)			(4,462)
Employee stock plans	12,827			598			720			1,318
Preferred stock conversions	1,243		(10)	1			9			—
ESOP debt impacts					30			41		71
Noncontrolling interest, net				—					(51)	(51)
BALANCE DECEMBER 31, 2024	2,344,852	$4,009	$788	$68,283	($707)	($11,637)	($137,112)	$127,544	$275	$51,443

See accompanying Notes to Consolidated Financial Statements.

4 The Procter & Gamble Company


	Three Months Ended December 31, 2023
Dollars in millions; shares in thousands	Common Stock		Preferred Stock	Additional Paid-In Capital	Reserve for ESOP Debt Retirement	Accumulated Other Comprehensive Income/(Loss)	Treasury Stock	Retained Earnings	Noncontrolling Interest	Total Shareholders' Equity
	Shares	Amount
BALANCE SEPTEMBER 30, 2023	2,356,886	$4,009	$812	$66,822	($782)	($12,583)	($131,029)	$120,443	$321	$48,014
Net earnings								3,468	25	3,493
Other comprehensive income/(loss)						416			—	416
Dividends and dividend equivalents ($0.9407 per share):
Common								(2,225)		(2,225)
Preferred								(70)		(70)
Treasury stock purchases	(6,879)						(1,008)			(1,008)
Employee stock plans	2,630			113			147			260
Preferred stock conversions	385		(3)	—			3			—
ESOP debt impacts					—			—		—
Noncontrolling interest, net				—					(52)	(52)
BALANCE DECEMBER 31, 2023	2,353,021	$4,009	$809	$66,935	($782)	($12,167)	($131,887)	$121,617	$294	$48,829


	Six Months Ended December 31, 2023
Dollars in millions; shares in thousands	Common Stock		Preferred Stock	Additional Paid-In Capital	Reserve for ESOP Debt Retirement	Accumulated Other Comprehensive Income/(Loss)	Treasury Stock	Retained Earnings	Noncontrolling Interest	Total Shareholders' Equity
	Shares	Amount
BALANCE JUNE 30, 2023	2,362,120	$4,009	$819	$66,556	($821)	($12,220)	($129,736)	$118,170	$288	$47,065
Net earnings								7,988	60	8,049
Other comprehensive income/(loss)						53			(2)	51
Dividends and dividend equivalents ($1.8814 per share):
Common								(4,450)		(4,450)
Preferred								(140)		(140)
Treasury stock purchases	(16,722)						(2,516)			(2,516)
Employee stock plans	6,351			378			356			734
Preferred stock conversions	1,273		(10)	1			9			—
ESOP debt impacts					39			48		87
Noncontrolling interest, net				—					(52)	(52)
BALANCE DECEMBER 31, 2023	2,353,021	$4,009	$809	$66,935	($782)	($12,167)	($131,887)	$121,617	$294	$48,829

See accompanying Notes to Consolidated Financial Statements.

The Procter & Gamble Company 5

THE PROCTER & GAMBLE COMPANY AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS


	Six Months Ended December 31
Amounts in millions	2024		2023
CASH, CASH EQUIVALENTS AND RESTRICTED CASH, BEGINNING OF PERIOD	$	9,482	$	8,246
OPERATING ACTIVITIES
Net earnings	8,646		8,049
Depreciation and amortization	1,434		1,423
Share-based compensation expense	241		275
Deferred income taxes	221		(154)
Loss/(gain) on sale of assets	787		(3)
Indefinite-lived intangible asset impairment charge	—		1,341

Change in accounts receivable	(262)		(839)
Change in inventories	(170)		(32)
Change in accounts payable and accrued and other liabilities	(1,157)		302
Change in other operating assets and liabilities	(748)		(704)
Other	135		346
TOTAL OPERATING ACTIVITIES	9,127		10,004
INVESTING ACTIVITIES
Capital expenditures	(1,918)		(1,742)
Proceeds from asset sales	47		8
Acquisitions, net of cash acquired	(6)		—
Other investing activity	(153)		(489)
TOTAL INVESTING ACTIVITIES	(2,029)		(2,224)
FINANCING ACTIVITIES
Dividends to shareholders	(4,886)		(4,578)
Additions to short-term debt with original maturities of more than three months	5,905		2,798
Reductions in short-term debt with original maturities of more than three months	(571)		(5,862)
Net additions/(reductions) to other short-term debt	(2,705)		3,740
Additions to long-term debt	995		254
Reductions in long-term debt	(1,478)		(2,335)
Treasury stock purchases	(4,449)		(2,503)
Impact of stock options and other	985		397
TOTAL FINANCING ACTIVITIES	(6,205)		(8,087)
EFFECT OF EXCHANGE RATE CHANGES ON CASH, CASH EQUIVALENTS AND RESTRICTED CASH	(144)		(49)
CHANGE IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH	748		(356)
CASH, CASH EQUIVALENTS AND RESTRICTED CASH, END OF PERIOD	$	10,230	$	7,890

See accompanying Notes to Consolidated Financial Statements.

6 The Procter & Gamble Company

THE PROCTER & GAMBLE COMPANY AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

1. Basis of Presentation

The accompanying unaudited Consolidated Financial Statements of The Procter & Gamble Company and subsidiaries ("the Company," "Procter & Gamble," "P&G," "we" or "our") should be read in conjunction with the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2024. We have prepared these statements in conformity with accounting principles generally accepted in the United States (U.S. GAAP) pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (SEC) for interim financial information. Note that certain columns and rows may not add due to rounding. In the opinion of management, the accompanying Consolidated Financial Statements contain all normal recurring adjustments necessary to present fairly the financial position, results of operations and cash flows for the interim periods reported. However, the results of operations included in such financial statements may not necessarily be indicative of annual results.

2. New Accounting Pronouncements and Policies

In November 2023, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2023-07, “Segment Reporting: Improvements to Reportable Segment Disclosures.” This guidance requires disclosure of incremental segment information on an annual and interim basis. This amendment is effective for our fiscal year ending June 30, 2025 and our interim periods within the fiscal year ending June 30, 2026. The guidance will require additional disclosures in the Segment Information footnote, but will not have a material impact on our Consolidated Financial Statements.

In December 2023, the FASB issued ASU No. 2023-09, “Income Taxes: Improvements to Income Tax Disclosures.” This guidance requires consistent categories and greater disaggregation of information in the rate reconciliation and disclosures of income taxes paid by jurisdiction. This amendment is effective for our fiscal year ending June 30, 2026. We are currently assessing the impact of this guidance on our disclosures.

In November 2024, the FASB issued ASU No. 2024-03, “Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures: Disaggregation of Income Statement Expenses”. This guidance requires disclosures about significant expense categories, including but not limited to, inventory purchases, employee compensation, depreciation, amortization, and selling expenses. This amendment is effective for our fiscal year ending June 30, 2028 and our interim periods within the fiscal year ending June 30, 2029. We are currently assessing the impact of this guidance on our disclosures.

No other new accounting pronouncement issued or effective during the fiscal year had, or is expected to have, a material impact on our Consolidated Financial Statements.

3. Segment Information

Under U.S. GAAP, our operating segments are aggregated into five reportable segments: 1) Beauty, 2) Grooming, 3) Health Care, 4) Fabric & Home Care and 5) Baby, Feminine & Family Care. Our five reportable segments are comprised of:

•Beauty: Hair Care (Conditioners, Shampoos, Styling Aids, Treatments); Personal Care (Antiperspirants and Deodorants, Personal Cleansing); Skin Care (Facial Moisturizers, Cleaners and Treatments);

•Grooming: Grooming (Appliances, Female Blades & Razors, Male Blades & Razors, Pre- and Post-Shave Products, Other Grooming);

•Health Care: Oral Care (Toothbrushes, Toothpastes, Other Oral Care); Personal Health Care (Gastrointestinal, Pain Relief, Rapid Diagnostics, Respiratory, Vitamins/Minerals/Supplements, Other Personal Health Care);

•Fabric & Home Care: Fabric Care (Fabric Enhancers, Laundry Additives, Laundry Detergents); Home Care (Air Care, Dish Care, P&G Professional, Surface Care); and

•Baby, Feminine & Family Care: Baby Care (Baby Wipes, Taped Diapers and Pants); Feminine Care (Adult Incontinence, Menstrual Care); Family Care (Paper Towels, Tissues, Toilet Paper).

Amounts in millions of dollars except per share amounts or as otherwise specified.

The Procter & Gamble Company 7

Operating segments as a percentage of consolidated net sales are as follows:


	% of Net sales by operating segment (1)
	Three Months Ended December 31				Six Months Ended December 31
	2024		2023		2024		2023
Fabric Care	23	%	23	%	23	%	23	%
Home Care	12	%	12	%	12	%	12	%
Baby Care	9	%	9	%	9	%	10	%
Family Care	9	%	9	%	9	%	8	%
Hair Care	9	%	9	%	9	%	9	%
Grooming	8	%	8	%	8	%	8	%
Oral Care	9	%	9	%	8	%	8	%
Personal Health Care	6	%	6	%	7	%	7	%
Feminine Care	6	%	6	%	6	%	6	%
Personal Care (2)	5	%	5	%	6	%	5	%
Skin Care (2)	4	%	4	%	3	%	4	%
Total	100	%	100	%	100	%	100	%

(1)% of Net sales by operating segment excludes sales recorded in Corporate.

(2)Effective July 1, 2024, the Beauty reportable business segment separated Skin and Personal Care into individual operating segments, Skin Care and Personal Care. This transition included separation of the management team, strategic decision-making, innovation plans, financial targets, budgets and management reporting.

The following is a summary of reportable segment results:


		Three Months Ended December 31						Six Months Ended December 31
		Net Sales		Earnings/(Loss) Before Income Taxes		Net Earnings/(Loss)		Net Sales		Earnings/(Loss) Before Income Taxes		Net Earnings/(Loss)
Beauty	2024	$	3,848	$	996	$	780	$	7,741	$	2,063	$	1,620
	2023	3,849		1,112		868		7,946		2,361		1,839
Grooming	2024	1,752		568		459		3,475		1,090		885
	2023	1,734		538		440		3,458		1,071		862
Health Care	2024	3,249		974		758		6,397		1,928		1,499
	2023	3,172		932		719		6,245		1,821		1,408
Fabric & Home Care	2024	7,575		1,989		1,567		15,285		4,066		3,188
	2023	7,415		2,018		1,577		15,061		4,049		3,146
Baby, Feminine & Family Care	2024	5,298		1,464		1,119		10,400		2,847		2,185
	2023	5,146		1,437		1,102		10,332		2,845		2,177
Corporate	2024	159		(146)		(24)		322		(1,009)		(731)
	2023	126		(1,541)		(1,214)		270		(1,849)		(1,383)
Total Company	2024	$	21,882	$	5,845	$	4,659	$	43,619	$	10,985	$	8,646
	2023	21,441		4,496		3,493		43,312		10,299		8,049

4. Goodwill and Intangible Assets

Goodwill is allocated by reportable segment as follows:


	Beauty		Grooming		Health Care		Fabric & Home Care		Baby, Feminine & Family Care		Total Company
Goodwill at June 30, 2024	$	13,723	$	12,633	$	7,638	$	1,810	$	4,499	$	40,303
Acquisitions and divestitures	—		—		—		—		—		—
Translation and other	(139)		(104)		(107)		(11)		(44)		(405)
Goodwill at December 31, 2024	$	13,584	$	12,529	$	7,531	$	1,799	$	4,456	$	39,898

Goodwill decreased from June 30, 2024, primarily due to currency translation.

Amounts in millions of dollars except per share amounts or as otherwise specified.

8 The Procter & Gamble Company

Identifiable intangible assets at December 31, 2024, were comprised of:


	Gross Carrying Amount		Accumulated Amortization
Intangible assets with determinable lives	$	8,965	$	(6,684)
Intangible assets with indefinite lives	19,552		—
Total identifiable intangible assets	$	28,517	$	(6,684)

Intangible assets with determinable lives consist of brands, patents, technology and customer relationships. The intangible assets with indefinite lives primarily consist of brands. The amortization expense of determinable-lived intangible assets for the three months ended December 31, 2024 and 2023, was $80 and $84, respectively. For the six months ended December 31, 2024 and 2023, amortization expense was $163 and $171, respectively.

Goodwill and indefinite-lived intangible assets are not amortized but are tested at least annually for impairment. We use the income method to estimate the fair value of these assets, which is based on forecasts of the expected future cash flows attributable to the respective assets. When appropriate, the market approach, which leverages comparable company revenue and earnings multiples, is weighted with the income approach to estimate fair value. If the resulting fair value is less than the asset's carrying value, that difference represents an impairment. Our annual impairment testing for goodwill and indefinite-lived intangible assets occurs during the three months ended December 31. Other than our Gillette indefinite-lived intangible asset, our goodwill reporting units and indefinite-lived intangible assets have fair values that significantly exceed their underlying carrying values.

As previously disclosed, the carrying value of the Gillette indefinite-lived intangible asset was impaired during the fiscal year ended June 30, 2024. The impairment charge arose due to a higher discount rate, weakening of several currencies relative to the U.S. dollar and the impact of a new restructuring program focused primarily in certain Enterprise Markets, including Argentina and Nigeria. Following the impairment charge, the carrying value of the Gillette indefinite-lived intangible asset was equivalent to the estimated fair value as of December 31, 2023.

Based on our impairment testing performed during the three months ended December 31, 2024, the Gillette indefinite-lived intangible asset's fair value exceeds its carrying value by greater than 10%. As of December 31, 2024, the carrying value of the Gillette indefinite-lived intangible asset was $12.8 billion.

Adverse changes in the business or in the macroeconomic environment, including foreign currency devaluation, increasing global inflation, or market contraction from an economic recession, could reduce the underlying cash flows used to estimate the fair value of the Gillette indefinite-lived intangible asset and trigger a further impairment charge.

The most significant assumptions utilized in the determination of the estimated fair value of the Gillette indefinite-lived intangible asset are the net sales growth rates (including residual growth rates), discount rate and royalty rates.

Net sales growth rates could be negatively impacted by reductions or changes in demand for our Gillette products, which may be caused by, among other things: changes in the use and frequency of grooming products, shifts in demand away from one or more of our higher priced products to lower priced products or potential supply chain constraints. In addition, relative global and country/regional macroeconomic factors could result in additional and prolonged devaluation of other countries' currencies relative to the U.S. dollar. The residual growth rates represent the expected rate at which the Gillette brand is expected to grow beyond the shorter-term business planning period. The residual growth rates utilized in our fair value estimates are consistent with the brand operating plans and approximate expected long-term category market growth rates. The residual growth rate depends on overall market growth rates, the competitive environment, inflation, relative currency exchange rates and business activities that impact market share. As a result, the residual growth rate could be adversely impacted by a sustained deceleration in category growth, grooming habit changes, devaluation of currencies against the U.S. dollar or an increased competitive environment.

The discount rate, which is consistent with a weighted average cost of capital that is likely to be expected by a market participant, is based upon industry required rates of return, including consideration of both debt and equity components of the capital structure. Our discount rate may be impacted by adverse changes in the macroeconomic environment, volatility in the equity and debt markets or other country specific factors, such as further devaluation of currencies against the U.S. dollar. Spot rates as of the fair value measurement date are utilized in our fair value estimates for cash flows outside the U.S.

The royalty rate used to determine the estimated fair value for the Gillette indefinite-lived intangible asset is driven by historical and estimated future profitability of the underlying Gillette business. The royalty rate may be impacted by significant adverse changes in long-term operating margins.

Amounts in millions of dollars except per share amounts or as otherwise specified.

The Procter & Gamble Company 9

We performed a sensitivity analysis for the Gillette indefinite-lived intangible asset as part of our annual impairment testing during the three months ended December 31, 2024, utilizing reasonably possible changes in the assumptions for the discount rate, the short-term and residual growth rates and the royalty rate to demonstrate the potential impacts to estimated fair values. The table below provides, in isolation, the estimated fair value impacts related to a 25 basis-point increase in the discount rate, a 25 basis-point decrease in our short-term and residual growth rates or a 50 basis-point decrease in our royalty rate.


	Approximate Percent Change in Estimated Fair Value
	+25 bps Discount Rate		-25 bps Growth Rates		-50 bps Royalty Rate
Gillette indefinite-lived intangible asset	(5)	%	(5)	%	(4)	%

5. Earnings Per Share

Basic net earnings per common share are calculated by dividing Net earnings attributable to Procter & Gamble less preferred dividends by the weighted average number of common shares outstanding during the period. Diluted net earnings per common share are calculated by dividing Net earnings attributable to Procter & Gamble by the diluted weighted average number of common shares outstanding during the period. The diluted shares include the dilutive effect of stock options and other share-based awards based on the treasury stock method and the assumed conversion of preferred stock.

Net earnings per common share were calculated as follows:


CONSOLIDATED AMOUNTS	Three Months Ended December 31				Six Months Ended December 31
	2024		2023		2024		2023
Net earnings	$	4,659	$	3,493	$	8,646	$	8,049
Less: Net earnings attributable to noncontrolling interests	29		25		56		60
Net earnings attributable to P&G	4,630		3,468		8,589		7,988
Less: Preferred dividends	72		70		144		140
Net earnings attributable to P&G available to common shareholders (Basic)	$	4,558	$	3,398	$	8,445	$	7,849

SHARES IN MILLIONS
Basic weighted average common shares outstanding	2,351.9		2,358.0		2,354.1		2,359.0
Add effect of dilutive securities:
Convertible preferred shares (1)	71.3		73.9		71.6		74.3
Stock options and other unvested equity awards (2)	34.9		36.4		36.4		38.5
Diluted weighted average common shares outstanding	2,458.1		2,468.4		2,462.1		2,471.8

NET EARNINGS PER COMMON SHARE
Basic	$	1.94	$	1.44	$	3.59	$	3.33
Diluted	$	1.88	$	1.40	$	3.49	$	3.23

(1)An overview of preferred shares can be found in our Annual Report on Form 10-K for the fiscal year ended June 30, 2024.

(2)Excludes approximately 8 million and 9 million for the three months ended December 31, 2024 and 2023 respectively, and 4 million and 5 million for the six months ended December 31, 2024 and 2023 respectively, of weighted average stock options outstanding because the exercise price of these options was greater than their average market value or their effect was antidilutive.

6. Share-Based Compensation and Postretirement Benefits

The following table provides a summary of our share-based compensation expense and postretirement benefit impacts:


	Three Months Ended December 31				Six Months Ended December 31
	2024		2023		2024		2023
Share-based compensation expense	$	136	$	150	$	241	$	275
Net periodic benefit cost for pension benefits	26		52		63		109
Net periodic benefit (credit) for other retiree benefits	(180)		(156)		(360)		(311)

Amounts in millions of dollars except per share amounts or as otherwise specified.

10 The Procter & Gamble Company

7. Risk Management Activities and Fair Value Measurements

As a multinational company with diverse product offerings, we are exposed to market risks, such as changes in interest rates, currency exchange rates and commodity prices. There have been no significant changes in our risk management policies or activities during the six months ended December 31, 2024.

The Company has not changed its valuation techniques used in measuring the fair value of any financial assets and liabilities during the period. The Company recognizes transfers between levels within the fair value hierarchy, if any, at the end of each quarter. There were no transfers between levels during the periods presented. Also, there was no significant activity within the Level 3 assets and liabilities during the periods presented. Except for the impairment of the Gillette indefinite-lived intangible asset discussed in Note 4, there were no significant assets or liabilities that were re-measured at fair value on a non-recurring basis during the six months ended December 31, 2024 or during the fiscal year ended June 30, 2024.

Cash equivalents were $8.7 billion and $8.0 billion as of December 31, 2024 and June 30, 2024, respectively, and are classified as Level 1 within the fair value hierarchy. The Company had no other material investments in debt or equity securities during the periods presented.

The fair value of long-term debt was $27.3 billion and $27.7 billion as of December 31, 2024 and June 30, 2024, respectively. This includes the current portion of long-term debt instruments ($3.3 billion and $3.8 billion as of December 31, 2024 and June 30, 2024, respectively). Certain long-term debt (debt designated as a fair value hedge) is recorded at fair value. All other long-term debt is recorded at amortized cost but is measured at fair value for disclosure purposes. We consider our debt to be Level 2 in the fair value hierarchy. Fair values are generally estimated based on quoted market prices for identical or similar instruments.

Disclosures about Financial Instruments

The notional amounts and fair values of financial instruments used in hedging transactions as of December 31, 2024 and June 30, 2024, are as follows:


	Notional Amount				Fair Value Asset				Fair Value (Liability)
	December 31, 2024		June 30, 2024		December 31, 2024		June 30, 2024		December 31, 2024		June 30, 2024
DERIVATIVES IN FAIR VALUE HEDGING RELATIONSHIPS
Interest rate contracts	$	2,914	$	2,993	$	—	$	—	$	(215)	$	(325)
DERIVATIVES IN NET INVESTMENT HEDGING RELATIONSHIPS
Foreign currency interest rate contracts	$	13,054	$	10,140	$	545	$	119	$	—	$	(31)
TOTAL DERIVATIVES DESIGNATED AS HEDGING INSTRUMENTS	$	15,968	$	13,133	$	545	$	119	$	(215)	$	(356)

DERIVATIVES NOT DESIGNATED AS HEDGING INSTRUMENTS
Foreign currency contracts	$	3,359	$	3,192	$	1	$	1	$	(40)	$	(23)

TOTAL DERIVATIVES AT FAIR VALUE	$	19,326	$	16,325	$	546	$	120	$	(255)	$	(379)

The fair value of the interest rate derivative asset/(liability) directly offsets the cumulative amount of the fair value hedging adjustment included in the carrying amount of the underlying debt obligation. The carrying amount of the underlying debt obligation, which includes the unamortized discount or premium and the fair value adjustment, was $2.7 billion as of December 31, 2024 and June 30, 2024. In addition to the foreign currency derivative contracts designated as net investment hedges, certain of our foreign currency denominated debt instruments are designated as net investment hedges. The carrying value of those debt instruments designated as net investment hedges, which includes the adjustment for the foreign currency transaction gain or loss on those instruments, was $10.4 billion and $11.9 billion as of December 31, 2024 and June 30, 2024, respectively. The increase in notional balance of the derivative instruments designated as net investment hedges is primarily driven by the Company's decision to leverage favorable interest rate spreads in the foreign currency swap market.

Derivative assets are presented in Prepaid expenses and other current assets or Other noncurrent assets. Derivative liabilities are presented in Accrued and other liabilities or Other noncurrent liabilities. Changes in the fair value of net investment hedges are recognized in the Foreign currency translation component of Other comprehensive income (OCI). All of the Company's derivative assets and liabilities measured at fair value are classified as Level 2 within the fair value hierarchy.

Certain of the Company's financial instruments used in hedging transactions are governed by industry standard netting and collateral agreements with counterparties. If the Company's credit rating were to fall below the levels stipulated in the agreements, the counterparties could demand either collateralization or termination of the arrangements. The aggregate fair value of the instruments covered by these contractual features that are in a liability position was $33 and $307 as of

Amounts in millions of dollars except per share amounts or as otherwise specified.

The Procter & Gamble Company 11

December 31, 2024 and June 30, 2024, respectively. The Company has not been required to post collateral as a result of these contractual features.

Before tax gains and losses on our financial instruments in hedging relationships are categorized as follows:


	Amount of Gain/(Loss) Recognized in OCI on Derivatives
	Three Months Ended December 31				Six Months Ended December 31
	2024		2023		2024		2023
DERIVATIVES IN NET INVESTMENT HEDGING RELATIONSHIPS (1) (2)
Foreign currency interest rate contracts	$	857	$	(487)	$	356	$	(202)

(1) For the derivatives in net investment hedging relationships, the amount of gain excluded from effectiveness testing, which was recognized in earnings, was $57 and $62 for the three months ended December 31, 2024 and 2023, respectively. The amount of gain excluded from effectiveness testing was $107 and $130 for the six months ended December 31, 2024 and 2023, respectively.

(2) In addition to the foreign currency derivative contracts designated as net investment hedges, certain of our foreign currency denominated debt instruments are designated as net investment hedges. The amount of gain/(loss) recognized in Accumulated other comprehensive income (AOCI) for such instruments was $825 and $(504) for the three months ended December 31, 2024 and 2023, respectively. The amount of gain/(loss) recognized in AOCI for such instruments was $215 and $(159) for the six months ended December 31, 2024 and 2023, respectively.


	Amount of Gain/(Loss) Recognized in Earnings
	Three Months Ended December 31				Six Months Ended December 31
	2024		2023		2024		2023
DERIVATIVES IN FAIR VALUE HEDGING RELATIONSHIPS
Interest rate contracts	$	34	$	117	$	110	$	128
DERIVATIVES NOT DESIGNATED AS HEDGING INSTRUMENTS
Foreign currency contracts	$	(174)	$	128	$	(48)	$	57

The gains on the derivatives in fair value hedging relationships are fully offset by the mark-to-market impact of the related exposure. These are both recognized in Interest expense. The gains/(losses) on derivatives not designated as hedging instruments are substantially offset by the currency mark-to-market of the related exposure. These are both recognized in Selling, general and administrative expense (SG&A).

8. Accumulated Other Comprehensive Income/(Loss)

The table below presents the changes in Accumulated other comprehensive income/(loss) attributable to Procter & Gamble (AOCI), including the reclassifications out of AOCI by component:


	Investment Securities		Postretirement Benefit Plans		Foreign Currency Translation		Total AOCI
Balance at June 30, 2024, net of tax	$	10	$	613	$	(12,522)	$	(11,900)
Other comprehensive income/(loss), before tax:
OCI before reclassifications	1		38		(362)		(323)
Amounts reclassified to the Consolidated Statement of Earnings	—		(38)		752		714
Total other comprehensive income/(loss), before tax	1		—		390		391
Tax effect	—		3		(134)		(131)
Total other comprehensive income/(loss), net of tax	1		3		256		260
Less: OCI attributable to noncontrolling interests, net of tax	—		2		(5)		(3)
Balance at December 31, 2024, net of tax	$	11	$	614	$	(12,262)	$	(11,637)

The below provides additional details on amounts reclassified from AOCI into the Consolidated Statement of Earnings:

•Postretirement benefit plan amounts are reclassified from AOCI into Other non-operating income/(expense), net and included in the computation of net periodic postretirement costs.

•Foreign currency translation amounts are reclassified from AOCI into Other non-operating income/(expense), net. These amounts relate to accumulated foreign currency translation losses recognized due to the substantial liquidation of operations in Argentina recorded in the period ended September 30, 2024.

Amounts in millions of dollars except per share amounts or as otherwise specified.

12 The Procter & Gamble Company

9. Commitments and Contingencies

Litigation

We are subject, from time to time, to certain legal proceedings and claims arising out of our business, which cover a wide range of matters, including antitrust and trade regulation, product liability, advertising, contracts, environmental, patent and trademark matters, labor and employment matters and tax. While considerable uncertainty exists, in the opinion of management and our counsel, the ultimate resolution of the various lawsuits and claims will not materially affect our financial position, results of operations or cash flows.

We are also subject to contingencies pursuant to environmental laws and regulations that in the future may require us to take action to correct the effects on the environment of prior manufacturing and waste disposal practices. Based on currently available information, we do not believe the ultimate resolution of environmental remediation will materially affect our financial position, results of operations or cash flows.

Income Tax Uncertainties

The Company is present in about 70 countries and over 150 taxable jurisdictions and, at any point in time, has 30–40 jurisdictional audits underway at various stages of completion. We evaluate our tax positions and establish liabilities for uncertain tax positions that may be challenged by local authorities and may not be fully sustained, despite our belief that the underlying tax positions are fully supportable. Uncertain tax positions are reviewed on an ongoing basis and are adjusted in light of changing facts and circumstances, including progress of tax audits, developments in case law and closing of statutes of limitations. Such adjustments are reflected in the tax provision as appropriate. We have tax years open ranging from 2010 and forward. We are generally not able to reliably estimate the timing and ultimate settlement amounts until the close of an audit. Based on information currently available, we do not anticipate over the next 12-month period any significant audit activity concluding related to uncertain tax positions for which we have existing accrued liabilities.

Additional information on the Commitments and Contingencies of the Company can be found in our Annual Report on Form 10-K for the fiscal year ended June 30, 2024.

10. Supplier Finance Programs

The Company has an ongoing program to negotiate extended payment terms with its suppliers consistent with market practices. The Company also supports a Supply Chain Finance program (“SCF”) with several global financial institutions. Under SCF, the Company maintains an accounts payable system to facilitate participating suppliers' ability to sell receivables from the Company to a SCF bank. These participating suppliers negotiate their sales of receivables arrangements directly with the respective SCF bank. The Company is not party to those agreements, but the SCF banks allow the suppliers to utilize the Company’s creditworthiness in establishing credit spreads and associated costs. Under this model, this arrangement generally provides the suppliers with more favorable terms than they would be able to secure on their own. The Company has no economic interest in a supplier’s decision to sell a receivable. Once a qualifying supplier chooses to participate in SCF, the supplier selects which individual Company invoices to sell to the SCF bank. The Company’s obligations to its suppliers, including the amounts due and scheduled payment dates, are not impacted by the supplier’s decisions to finance amounts under these arrangements. The Company does not provide any form of guarantee under these financing arrangements. Our payment terms for suppliers under this program generally range from 60 to 180 days. All outstanding amounts related to suppliers participating in SCF are recorded within Accounts payable in our Consolidated Balance Sheets, and the associated payments are included in operating activities within our Consolidated Statements of Cash Flows. The amount due to suppliers participating in SCF and included in Accounts payable was approximately $5.6 billion as of December 31, 2024 and June 30, 2024.

11. Restructuring Program

The Company has historically incurred an ongoing annual level of restructuring-type activities to maintain a competitive cost structure, including manufacturing and workforce optimization. Before tax costs incurred under the ongoing program have generally ranged from $250 to $500 annually. Consistent with our historical policies for restructuring-type activities, the restructuring program charges will be funded by and included within Corporate for management and segment reporting.

In the fiscal year ended June 30, 2024, the Company started a limited market portfolio restructuring of its business operations, primarily in certain Enterprise Markets, including Argentina and Nigeria, to address challenging macroeconomic and fiscal conditions. During the period ended September 30, 2024, the Company completed this limited market portfolio restructuring with the substantial liquidation of its operations in Argentina and recorded approximately $0.8 billion after tax of incremental charges, comprised primarily of non-cash charges for accumulated foreign currency translation losses previously included in Accumulated other comprehensive income/(loss). The total incremental restructuring charges incurred under the program beginning in the three-month period ended December 31, 2023, through the three-month period ended September 30, 2024, were approximately $1.2 billion after tax.

For the three months ended December 31, 2024, the Company incurred total before tax charges of $47 including $28 in Costs of products sold, $25 in SG&A and $(5) in Other non-operating income/(expense). For the six months ended December 31, 2024, the Company incurred charges of $933 including $69 in Costs of products sold, $79 in SG&A and $785 in Other non-operating income/(expense).

Amounts in millions of dollars except per share amounts or as otherwise specified.

The Procter & Gamble Company 13

The following table presents restructuring activity for the six months ended December 31, 2024:


	Separation Costs		Asset-Related Costs		Other Costs		Total
RESERVE JUNE 30, 2024	$	133	$	—	$	32	$	166
Costs incurred for the three months ended September 30, 2024	16		30		839		886
Costs incurred for the three months ended December 31, 2024	25		9		14		47
Costs incurred for the six months ended December 31, 2024	41		39		853		933

Costs paid/settled for the six months ended December 31, 2024	(58)		(39)		(823)		(921)
RESERVE DECEMBER 31, 2024	$	115	$	—	$	62	$	178

Separation Costs

Employee separation costs relate to severance packages that are primarily voluntary and the amounts calculated are based on salary levels and past service periods.

Asset-Related Costs

Asset-related costs consist of both asset write-downs and accelerated depreciation for manufacturing consolidations. Asset write-downs relate to the establishment of a new fair value basis for assets held-for-sale or for disposal. These assets are written down to the lower of their current carrying basis or amounts expected to be realized upon disposal, less minor disposal costs. Charges for accelerated depreciation relate to long-lived assets that will be taken out of service prior to the end of their normal service period.

Other Costs

Other restructuring-type charges are incurred as a direct result of the restructuring plan. Such charges include accumulated foreign currency translation losses, asset removal and termination of contracts.


Item 2.			Management's Discussion and Analysis of Financial Condition and Results of Operations

Forward-Looking Statements

Certain statements in this report, other than purely historical information, including estimates, projections, statements relating to our business plans, objectives and expected operating results, and the assumptions upon which those statements are based, are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements may appear throughout this report, including without limitation, the following sections: “Management's Discussion and Analysis,” “Risk Factors” and "Notes 4 and 9 to the Consolidated Financial Statements." These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result” and similar expressions. Forward-looking statements are based on current expectations and assumptions, which are subject to risks and uncertainties that may cause results to differ materially from those expressed or implied in the forward-looking statements. We undertake no obligation to update or revise publicly any forward-looking statements, whether because of new information, future events or otherwise, except to the extent required by law.

Risks and uncertainties to which our forward-looking statements are subject include, without limitation: (1) the ability to successfully manage global financial risks, including foreign currency fluctuations, currency exchange or pricing controls; (2) the ability to successfully manage local, regional or global economic volatility, including reduced market growth rates, and to generate sufficient income and cash flow to allow the Company to effect the expected share repurchases and dividend payments; (3) the ability to successfully manage uncertainties related to changing political and geopolitical conditions and potential implications such as exchange rate fluctuations, market contraction, boycotts, sanctions or other trade controls; (4) the ability to manage disruptions in credit markets or to our banking partners or changes to our credit rating; (5) the ability to maintain key manufacturing and supply arrangements (including execution of supply chain optimizations and sole supplier and sole manufacturing plant arrangements) and to manage disruption of business due to various factors, including ones outside of our control, such as natural disasters, acts of war or terrorism or disease outbreaks; (6) the ability to successfully manage cost fluctuations and pressures, including prices of commodities and raw materials and costs of labor, transportation, energy, pension and healthcare; (7) the ability to compete with our local and global competitors in new and existing sales channels, including by successfully responding to competitive factors such as prices, promotional incentives and trade terms for products; (8) the ability to manage and maintain key customer relationships; (9) the ability to protect our reputation and brand equity by successfully managing real or perceived issues, including concerns about safety, quality, ingredients, efficacy, packaging content, supply chain practices or similar matters that may arise; (10) the ability to successfully manage the financial, legal, reputational and operational risk associated with third-party relationships, such as our suppliers, contract manufacturers, distributors, contractors and external business partners; (11) the ability to rely on and maintain key company and third-party information and operational technology systems, networks and services and maintain the security and functionality of such

Amounts in millions of dollars except per share amounts or as otherwise specified.

14 The Procter & Gamble Company

systems, networks and services and the data contained therein; (12) the ability to successfully manage the demand, supply and operational challenges, as well as governmental responses or mandates, associated with a disease outbreak, including epidemics, pandemics or similar widespread public health concerns; (13) the ability to stay on the leading edge of innovation, obtain necessary intellectual property protections and successfully respond to changing consumer habits, evolving digital marketing and selling platform requirements and technological advances attained by, and patents granted to, competitors; (14) the ability to successfully manage our ongoing acquisition, divestiture and joint venture activities, in each case to achieve the Company’s overall business strategy and financial objectives, without impacting the delivery of base business objectives; (15) the ability to successfully achieve productivity improvements and cost savings and manage ongoing organizational changes while successfully identifying, developing and retaining key employees, including in key growth markets where the availability of skilled or experienced employees may be limited; (16) the ability to successfully manage current and expanding regulatory and legal requirements and matters (including, without limitation, those laws and regulations involving product liability, product and packaging composition, manufacturing processes, intellectual property, labor and employment, antitrust, privacy, cybersecurity and data protection, artificial intelligence, tax, the environment, due diligence, risk oversight, accounting and financial reporting) and to resolve new and pending matters within current estimates; (17) the ability to manage changes in applicable tax laws and regulations; and (18) the ability to successfully achieve our ambition of reducing our greenhouse gas emissions and delivering progress towards our environmental sustainability priorities. A detailed discussion of risks and uncertainties that could cause actual results and events to differ materially from those projected herein is included in the section titled "Economic Conditions and Uncertainties" and the section titled "Risk Factors" (Part II, Item 1A) of this Form 10-Q.

Purpose, Approach and Non-GAAP Measures

The purpose of Management's Discussion and Analysis (MD&A) is to provide an understanding of Procter & Gamble's financial condition, results of operations and cash flows by focusing on changes in certain key measures from year to year. The MD&A is provided as a supplement to, and should be read in conjunction with, our Consolidated Financial Statements and accompanying Notes.

The MD&A is organized in the following sections:

•Overview

•Summary of Results – Six Months Ended December 31, 2024

•Economic Conditions and Uncertainties

•Results of Operations – Three and Six Months Ended December 31, 2024

•Segment Results – Three and Six Months Ended December 31, 2024

•Liquidity and Capital Resources

•Measures Not Defined by U.S. GAAP

Throughout the MD&A we refer to measures used by management to evaluate performance, including unit volume growth, net sales, net earnings, diluted net earnings per common share (diluted EPS) and operating cash flow. We also refer to a number of financial measures that are not defined under U.S. GAAP, consisting of organic sales growth, Core earnings per share (Core EPS), adjusted free cash flow and adjusted free cash flow productivity. The explanation at the end of the MD&A provides the definition of these non-GAAP measures, details on the use and the derivation of these measures, as well as reconciliations to the most directly comparable U.S. GAAP measure.

Management also uses certain market share and market consumption estimates to evaluate performance relative to competition despite some limitations on the availability and comparability of share and consumption information. References to market share and consumption in the MD&A are based on a combination of vendor-purchased traditional brick-and-mortar and online data in key markets as well as internal estimates. All market share references represent the percentage of sales of our products in dollar terms on a constant currency basis relative to all product sales in the category. The Company measures quarter and fiscal year to date market share through the most recent period for which market share data is available, which typically reflects a lag time of one or two months as compared to the end of the reporting period. Management also uses unit volume growth to evaluate drivers of changes in net sales. Organic volume growth reflects year-over-year changes in unit volume excluding the impacts of acquisitions and divestitures and certain one-time items, if applicable, and is used to explain changes in organic sales. Certain columns and rows may not add due to rounding.

OVERVIEW

P&G is a global leader in the fast-moving consumer goods industry, focused on providing branded consumer packaged goods of superior quality and value to our consumers around the world. Our products are sold in about 180 countries and territories, primarily through mass merchandisers, e-commerce (including social commerce) channels, grocery stores, membership club stores, drug stores, department stores, distributors, wholesalers, specialty beauty stores (including airport duty-free stores), high-frequency stores, pharmacies, electronics stores and professional channels. We also sell direct to individual consumers. We have on-the-ground operations in about 70 countries.

Our market environment is highly competitive with global, regional and local competitors. In many of the markets and industry segments in which we sell our products, we compete against other branded products as well as retailers' private-label brands.

The Procter & Gamble Company 15

Additionally, many of the product segments in which we compete are differentiated by price tiers (referred to as super-premium, premium, mid-tier and value-tier products). We believe we are well positioned in the industry segments and markets in which we operate, often holding a leadership or significant market share position.

The table below lists our reportable segments, including the product categories and brand composition within each segment.


Reportable Segments	Product Categories (Sub-Categories)	Major Brands
Beauty	Hair Care (Conditioners, Shampoos, Styling Aids, Treatments)	Head & Shoulders, Herbal Essences, Pantene, Rejoice
	Personal Care (1) (Antiperspirants and Deodorants, Personal Cleansing)	Native, Old Spice, Safeguard, Secret
	Skin Care (1) (Facial Moisturizers, Cleaners and Treatments)	Olay, SK-II
Grooming	Grooming (Appliances, Female Blades & Razors, Male Blades & Razors, Pre- and Post-Shave Products, Other Grooming)	Braun, Gillette, Venus
Health Care	Oral Care (Toothbrushes, Toothpastes, Other Oral Care)	Crest, Oral-B
	Personal Health Care (Gastrointestinal, Pain Relief, Rapid Diagnostics, Respiratory, Vitamins/Minerals/Supplements, Other Personal Health Care)	Metamucil, Neurobion, Pepto-Bismol, Vicks
Fabric & Home Care	Fabric Care (Fabric Enhancers, Laundry Additives, Laundry Detergents)	Ariel, Downy, Gain, Tide
	Home Care (Air Care, Dish Care, P&G Professional, Surface Care)	Cascade, Dawn, Fairy, Febreze, Mr. Clean, Swiffer
Baby, Feminine & Family Care	Baby Care (Baby Wipes, Taped Diapers and Pants)	Luvs, Pampers
	Feminine Care (Adult Incontinence, Menstrual Care)	Always, Always Discreet, Tampax
	Family Care (Paper Towels, Tissues, Toilet Paper)	Bounty, Charmin, Puffs

(1) Effective July 1, 2024, the Beauty reportable business segment separated Skin and Personal Care into individual operating segments, Skin Care and Personal Care. This transition included separation of the management team, strategic decision-making, innovation plans, financial targets, budgets and management reporting.

Throughout the MD&A, we reference business results by region, which are comprised of North America, Europe, Greater China, Latin America, Asia Pacific and India, Middle East and Africa (IMEA).

The following table provides the percentage of net sales and net earnings by reportable business segment (excluding Corporate) for the three and six months ended December 31, 2024:


	Three Months Ended December 31, 2024				Six Months Ended December 31, 2024
	Net Sales		Net Earnings		Net Sales		Net Earnings
Beauty	18	%	18	%	18	%	18	%
Grooming	8	%	10	%	8	%	9	%
Health Care	15	%	16	%	15	%	16	%
Fabric & Home Care	35	%	33	%	35	%	34	%
Baby, Feminine & Family Care	24	%	24	%	24	%	23	%
Total Company	100	%	100	%	100	%	100	%

RECENT DEVELOPMENTS

Limited Market Portfolio Restructuring

In the fiscal year ended June 30, 2024, the Company started a limited market portfolio restructuring of its business operations, primarily in certain Enterprise Markets, including Argentina and Nigeria, to address challenging macroeconomic and fiscal conditions. During the period ended September 30, 2024, the Company completed this limited market portfolio restructuring with the substantial liquidation of its operations in Argentina and recorded incremental restructuring charges of approximately $0.8 billion after tax, comprised primarily of non-cash charges for accumulated foreign currency translation losses previously included in Accumulated other comprehensive income/(loss). The total incremental restructuring charges incurred under the program beginning in the three-month period ended December 31, 2023, through the three-month period ended September 30, 2024, were approximately $1.2 billion after tax.

Consistent with our historical policies for ongoing restructuring-type activities, resulting charges were funded by and included

16 The Procter & Gamble Company

within Corporate for segment reporting. Restructuring charges above the normal ongoing level of restructuring costs are reported as non-core charges. For more details on the restructuring program, refer to Note 11 to the Consolidated Financial Statements.

SUMMARY OF RESULTS – Six Months Ended December 31, 2024

The following are highlights of results for the six months ended December 31, 2024, versus the six months ended December 31, 2023:

•Net sales increased 1% to $43.6 billion versus the prior year period. Net sales increased 2% in Health Care, 1% in Fabric & Home Care and Baby, Feminine & Family Care and decreased 3% in Beauty. Net sales in Grooming were unchanged. Organic sales, which exclude the impacts of acquisitions and divestitures and foreign exchange, increased 2%. Organic sales increased 3% in Health Care, Fabric & Home Care and Grooming and increased 2% in Baby, Feminine & Family Care. Organic sales in Beauty were unchanged.

•Net earnings were $8.6 billion, an increase of $597 million, or 7%, versus the prior year period due to the non-cash impairment charge of $1.3 billion ($1.0 billion after tax) on the Gillette intangible asset in the prior year, partially offset by higher restructuring charges in the current year of $0.8 billion after tax related to the substantial liquidation of operations in certain Enterprise Markets, including Argentina.

•Net earnings attributable to Procter & Gamble were $8.6 billion, an increase of $601 million, or 8%, versus the prior year period.

•Diluted EPS increased 8% to $3.49 due to the increase in net earnings. Core EPS, which excludes incremental restructuring charges and the prior year Gillette intangible asset impairment charge, increased 4% to $3.81.

•Operating cash flow was $9.1 billion. Adjusted free cash flow, which is defined as operating cash flow less capital expenditures and excluding payments for the transitional tax resulting from the U.S. Tax Act, was $7.8 billion. Adjusted free cash flow productivity, which is defined as adjusted free cash flow as a percentage of net earnings excluding a non-cash charge for accumulated foreign currency translation losses due to the substantial liquidation of operations in Argentina, was 83%.

ECONOMIC CONDITIONS AND UNCERTAINTIES

Global Economic Conditions. Our products are sold in numerous countries worldwide, with more than half our sales generated outside the United States. Our largest international markets are Greater China, the United Kingdom, Canada, Japan and Germany and collectively comprised approximately 20% of our net sales in fiscal 2024. As a result, we are exposed to global macroeconomic factors, geopolitical tensions and government policies. We are exposed to market risks from operating in challenging environments due to economic, political and social instabilities, natural disasters, debt and credit issues, currency controls, foreign exchange and interest rate changes. These risks can negatively impact our net sales, net earnings and cash flows. For example, we are exposed to risks due to the ongoing war between Russia and Ukraine. Our Russia business accounted for less than 2% of consolidated net sales and net earnings in the fiscal year ended June 30, 2024 and less than 2% of net assets as of June 30, 2024.

Foreign Exchange. We have significant exposure to exchange rate fluctuations, both due to translation and transaction exposures. Translation exposures arise from measuring income statements of foreign subsidiaries with functional currencies other than the U.S. dollar. Transaction exposures involve impacts from 1) input costs that are denominated in currencies other than the local reporting currency and 2) revaluation of working capital balances denominated in currencies other than the functional currency. We have experienced significant foreign exchange impacts in the past due to the weakening of certain foreign currencies versus the U.S. dollar, which have negatively impacted net sales, net earnings and cash flows. In response to the devaluation of foreign currencies (including those deemed highly inflationary), any lags or inability (due to government restrictions) to implement price increases or the negative impacts of such actions on product consumption may lead to a decline in our net sales, net earnings and cash flows.

Commodities and Supply Chain. Our costs are subject to fluctuations due to changes in commodity and input material prices, transportation costs, inflationary impacts and productivity efforts. We have significant exposures to certain commodities and input materials, in particular certain oil-derived materials like resins and paper-based materials like pulp. Volatility in the market price of commodities and input materials directly affects our costs. Disruptions in manufacturing, supply and distribution operations can lead to increased costs. Legal or regulatory requirements and sustainability initiatives may result in increased costs. We strive to implement, achieve and sustain cost improvement plans, including supply chain optimization and general overhead and workforce optimization. Increased pricing in response to certain inflationary or cost increases may also offset portions of the cost impacts; however, such price increases may negatively impact product consumption. If we are unable to manage cost impacts through pricing actions and consistent productivity improvements, it may negatively impact our net sales, net earnings and cash flows.

Government Policies. We are exposed to changes in U.S. and foreign government legislative, regulatory or enforcement policies that can have a negative impact on net sales, net earnings and cash flows. These include tax policy changes (both U.S.

The Procter & Gamble Company 17

and foreign), including those resulting from the current work being led by the OECD/G20 Inclusive Framework focused on "Addressing the Challenges of the Digitalization of the Economy”. Government controls such as currency exchanges, pricing and import authorizations as well as government policies related to environmental and climate change matters and changes to international trade agreements can also impact our financial performance.

For additional information on risk factors that could impact our business results, please refer to Risk Factors in Part I, Item 1A of the Company's Form 10-K for the fiscal year ended June 30, 2024.

RESULTS OF OPERATIONS – Three Months Ended December 31, 2024

The following discussion provides a review of results for the three months ended December 31, 2024, versus the three months ended December 31, 2023.


	Three Months Ended December 31
Amounts in millions, except per share amounts	2024			2023			% Chg
Net sales	$	21,882		$	21,441		2%
Operating income	5,741			4,433			30%
Earnings before income taxes	5,845			4,496			30%
Net earnings	4,659			3,493			33%
Net earnings attributable to Procter & Gamble	4,630			3,468			34%
Diluted net earnings per common share	1.88			1.40			34%
Core net earnings per common share	1.88			1.84			2%

	Three Months Ended December 31
COMPARISONS AS A PERCENTAGE OF NET SALES	2024			2023			Basis Pt Chg
Gross margin	52.4		%	52.7		%	(30)
Selling, general & administrative expense	26.2		%	25.8		%	40
Operating income	26.2		%	20.7		%	550
Earnings before income taxes	26.7		%	21.0		%	570
Net earnings	21.3		%	16.3		%	500
Net earnings attributable to Procter & Gamble	21.2		%	16.2		%	500

Net Sales

Net sales for the quarter increased 2% to $21.9 billion as unit volume and mix each increased 1%. Pricing and foreign exchange had a neutral impact on net sales. Excluding the impact of acquisitions and divestitures and foreign exchange, organic sales increased 3% and organic volume increased 2%.

The following table summarizes key drivers of the change in net sales by reportable segment:


	Net Sales Change Drivers 2024 vs. 2023 (Three Months Ended December 31) (1)
	Volume with Acquisitions & Divestitures		Volume Excluding Acquisitions & Divestitures		Foreign Exchange		Price		Mix		Other (2)		Net Sales Growth
Beauty	(1)	%	—	%	(1)	%	2	%	—	%	—	%	—	%
Grooming	2	%	2	%	(1)	%	1	%	(1)	%	—	%	1	%
Health Care	—	%	—	%	—	%	1	%	2	%	(1)	%	2	%
Fabric & Home Care	1	%	2	%	—	%	—	%	1	%	—	%	2	%
Baby, Feminine & Family Care	4	%	4	%	—	%	(1)	%	—	%	—	%	3	%
Total Company	1	%	2	%	—	%	—	%	1	%	—	%	2	%

(1)Net sales percentage changes are approximations based on quantitative formulas that are consistently applied.

(2)Other includes the sales mix impact from acquisitions and divestitures and rounding impacts necessary to reconcile volume to net sales.

Operating Costs

Gross margin decreased 30 basis points to 52.4% of net sales for the quarter. The decrease in gross margin was due to:

•110 basis points of decline from unfavorable product mix,

•50 basis points of higher commodity costs,

18 The Procter & Gamble Company

•20 basis points of product and packaging investments,

•20 basis points of higher transportation services costs and

•10 basis points of unfavorable foreign exchange impacts.

These impacts were partially offset by:

•150 basis points of manufacturing productivity savings and

•30 basis points of increase due to higher pricing.

Total SG&A spending increased 4% to $5.7 billion versus the prior year period due to increased marketing spending and overhead costs. SG&A as a percentage of net sales increased 40 basis points to 26.2% due to an increase in marketing spending and overhead costs as a percentage of net sales. Marketing spending as a percentage of net sales increased 10 basis points as the increase in marketing spending was partially offset by the positive scale impacts of the net sales increase and productivity savings. Overhead costs as a percentage of net sales increased 40 basis points as wage inflation and foreign exchange were partially offset by the positive scale impacts of the net sales increase and productivity savings. Other operating expenses as a percentage of net sales was unchanged. Productivity-driven cost savings delivered 110 basis points of benefit to SG&A as a percentage of net sales.

Operating income increased $1.3 billion, or 30%, to $5.7 billion and operating margin increased 550 basis points to 26.2% versus the prior year period primarily due to the non-cash impairment charge of $1.3 billion ($1.0 billion after tax) on the Gillette intangible asset in the prior year, as well as the increase in net sales, partially offset by the decrease in gross margin, the components of which are described above.

Non-Operating Expenses and Income

Interest expense was $240 million for the quarter, a decrease of $8 million versus the prior year period. Interest income was $119 million for the quarter, a decrease of $14 million versus the prior year period. Other non-operating income/(expense) was $224 million, which is an increase of $47 million versus the prior year period due to an increase in the net periodic benefit credit for postretirement benefits.

Income Taxes

The effective income tax rate for the three months ended December 31, 2024, was 20.3%, compared to 22.3% for the three months ended December 31, 2023. The decrease in the effective tax rate was primarily driven by favorable geographic mix impacts and higher excess tax benefits of share-based compensation.

Net Earnings

Net earnings increased $1.2 billion, or 33%, to $4.7 billion due primarily to the non-cash impairment charge of $1.3 billion ($1.0 billion after tax) on the Gillette intangible asset in the prior year. Foreign exchange had a negative impact of approximately $45 million on net earnings for the quarter, including both transactional and translational impacts from converting earnings from foreign subsidiaries to U.S. dollars. Net earnings attributable to Procter & Gamble increased $1.2 billion, or 34%, to $4.6 billion for the quarter. Diluted EPS increased 34% to $1.88 versus the prior year period.

RESULTS OF OPERATIONS – Six Months Ended December 31, 2024

The following discussion provides a review of results for the six months ended December 31, 2024, versus the six months ended December 31, 2023.


	Six Months Ended December 31
Amounts in millions, except per share amounts	2024		2023		% Chg
Net sales	$	43,619	$	43,312	1%
Operating income	11,538		10,200		13%
Earnings before income taxes	10,985		10,299		7%
Net earnings	8,646		8,049		7%
Net earnings attributable to Procter & Gamble	8,589		7,988		8%
Diluted net earnings per common share	3.49		3.23		8%
Core net earnings per common share	3.81		3.66		4%

The Procter & Gamble Company 19


	Six Months Ended December 31
COMPARISONS AS A PERCENTAGE OF NET SALES	2024		2023		Basis Pt Chg
Gross margin	52.2	%	52.3	%	(10)
Selling, general & administrative expense	25.8	%	25.7	%	10
Operating income	26.5	%	23.6	%	290
Earnings before income taxes	25.2	%	23.8	%	140
Net earnings	19.8	%	18.6	%	120
Net earnings attributable to Procter & Gamble	19.7	%	18.4	%	130

Net Sales

Net sales for the period increased 1% to $43.6 billion as a 1% increase in both unit volume and higher pricing was partially offset by unfavorable foreign exchange of 1%. Mix was unchanged. Excluding the impact of acquisitions and divestitures and foreign exchange, organic sales increased 2%.

The following table summarizes key drivers of the change in net sales by reportable segment:


	Net Sales Change Drivers 2024 vs. 2023 (Six Months Ended December 31) (1)
	Volume with Acquisitions & Divestitures		Volume Excluding Acquisitions & Divestitures		Foreign Exchange		Price		Mix		Other (2)		Net Sales Growth
Beauty	(1)	%	—	%	(1)	%	1	%	(2)	%	—	%	(3)	%
Grooming	3	%	4	%	(2)	%	1	%	(2)	%	—	%	—	%
Health Care	(1)	%	—	%	(1)	%	1	%	3	%	—	%	2	%
Fabric & Home Care	1	%	2	%	(1)	%	—	%	1	%	—	%	1	%
Baby, Feminine & Family Care	1	%	2	%	—	%	—	%	—	%	—	%	1	%
Total Company	1	%	1	%	(1)	%	1	%	—	%	—	%	1	%

(1)Net sales percentage changes are approximations based on quantitative formulas that are consistently applied.

(2)Other includes the sales mix impact from acquisitions and divestitures and rounding impacts necessary to reconcile volume to net sales.

Operating Costs

Gross margin decreased 10 basis points to 52.2% of net sales for the period. The decrease in gross margin was due to:

•80 basis points of decline from unfavorable product mix,

•70 basis points of higher commodity costs,

•30 basis points of product and packaging investments,

•20 basis points of higher transportation services and other costs and

•10 basis points of unfavorable foreign exchange impacts.

These impacts were partially offset by:

•170 basis points of manufacturing productivity savings,

•20 basis points of increase due to higher pricing and

•10 basis points of increase from gain of manufacturing scale benefits.

Total SG&A spending increased 1% to $11.2 billion versus the prior year period due to increased marketing spending and overhead costs. SG&A as a percentage of net sales increased 10 basis points to 25.8% due to the increase in marketing spending and overhead spending as a percentage of sales. Marketing spending as a percentage of net sales increased 30 basis points as the increase in marketing spending was partially offset by the positive scale impacts of the net sales increase and productivity savings. Overhead costs as a percentage of net sales increased 20 basis points due to wage inflation, partially offset by the positive scale impacts of the net sales increase and productivity savings. Other operating expenses as a percentage of net sales decreased 40 basis points primarily driven by favorable foreign exchange impacts. Productivity-driven cost savings delivered 90 basis points of benefit to SG&A as a percentage of net sales.

Operating income increased $1.3 billion, or 13%, to $11.5 billion and operating margin increased 290 basis points to 26.5% versus the prior year period due primarily to the non-cash impairment charge of $1.3 billion ($1.0 billion after tax) on the Gillette intangible asset in the prior year, as well as the increase in net sales, partially offset by the decrease in gross margin, the components of which are described above.

20 The Procter & Gamble Company

Non-Operating Expenses and Income

Interest expense was $478 million for the period, an increase of $6 million versus the prior year period. Interest income was $254 million for the period, a decrease of $8 million versus the prior year period. Other non-operating income/(expense) was $(330) million, which is a decrease of $639 million versus the prior year period primarily due to the non-cash charge for accumulated foreign currency translation losses due to the substantial liquidation of operations in Argentina recorded in the period ended September 30, 2024.

Income Taxes

The effective income tax rate for the six months ended December 31, 2024, was 21.3%, compared to 21.8% for the six months ended December 31, 2023. The decrease in the effective tax rate was primarily driven by higher excess tax benefits of share-based compensation and favorable geographic mix impacts, partially offset by a 140 basis-point increase due primarily to the charge for accumulated foreign currency translation losses due to the substantial liquidation of operations in Argentina.

Net Earnings

Net earnings increased $597 million, or 7%, to $8.6 billion, as the increase in operating income, the components of which are described above were partially offset by the non-cash charge for accumulated foreign currency translation losses due to the substantial liquidation of operations in Argentina recorded in the period ended September 30, 2024. Foreign exchange had a positive impact of approximately $17 million on net earnings for the period, including both transactional and translational impacts from converting earnings from foreign subsidiaries to U.S. dollars. Net earnings attributable to Procter & Gamble increased $601 million, or 8%, to $8.6 billion for the period. Diluted EPS increased 8% to $3.49 versus the prior year period due to the increase in net earnings. Core EPS, which represents diluted EPS excluding charges for incremental restructuring and the impairment of the Gillette intangible asset, increased 4% to $3.81.

SEGMENT RESULTS – Three and Six Months Ended December 31, 2024

The following discussion provides a review of results by reportable business segment. Analysis of the results for the three and six months ended December 31, 2024, is provided based on a comparison to the three and six months ended December 31, 2023. The primary financial measures used to evaluate segment performance are net sales and net earnings. The table below provides supplemental information on net sales, earnings before income taxes and net earnings by reportable business segment for the three and six months ended December 31, 2024, versus the comparable prior year period (dollar amounts in millions):


	Three Months Ended December 31, 2024
	Net Sales		% Change Versus Year Ago		Earnings/(Loss) Before Income Taxes		% Change Versus Year Ago		Net Earnings/(Loss)		% Change Versus Year Ago
Beauty	$	3,848	—	%	$	996	(10)	%	$	780	(10)	%
Grooming	1,752		1	%	568		6	%	459		4	%
Health Care	3,249		2	%	974		5	%	758		5	%
Fabric & Home Care	7,575		2	%	1,989		(1)	%	1,567		(1)	%
Baby, Feminine & Family Care	5,298		3	%	1,464		2	%	1,119		2	%
Corporate	159		N/A		(146)		N/A		(24)		N/A
Total Company	$	21,882	2	%	$	5,845	30	%	$	4,659	33	%

	Six Months Ended December 31, 2024
	Net Sales		% Change Versus Year Ago		Earnings/(Loss) Before Income Taxes		% Change Versus Year Ago		Net Earnings/(Loss)		% Change Versus Year Ago
Beauty	$	7,741	(3)	%	$	2,063	(13)	%	$	1,620	(12)	%
Grooming	3,475		—	%	1,090		2	%	885		3	%
Health Care	6,397		2	%	1,928		6	%	1,499		6	%
Fabric & Home Care	15,285		1	%	4,066		—	%	3,188		1	%
Baby, Feminine & Family Care	10,400		1	%	2,847		—	%	2,185		—	%
Corporate	322		N/A		(1,009)		N/A		(731)		N/A
Total Company	$	43,619	1	%	$	10,985	7	%	$	8,646	7	%

The Procter & Gamble Company 21

Beauty

Three months ended December 31, 2024, compared with three months ended December 31, 2023

Beauty net sales were unchanged at $3.8 billion as unit volume decline of 1% and unfavorable foreign exchange of 1% were offset by positive impacts of higher pricing of 2%. Excluding the impact of acquisitions and divestitures and foreign exchange, organic sales increased 2% and organic volume was unchanged. Global market share of the Beauty segment was unchanged.

•Hair Care net sales decreased mid-single digits. Negative impacts of divestitures, unfavorable foreign exchange and a unit volume decrease were partially offset by positive impacts of favorable geographic and brand mix (due to growth of the premium Native brand). The volume decrease was driven by a decline in Greater China (due to market contraction in the retail channel where we have higher shares and distribution footprint changes), partially offset by growth in Latin America and Europe (due to market growth). Organic sales increased low single digits driven by high single-digit growth in Latin America and a low single-digit growth in North America, partially offset by a mid-single-digit decline in Greater China. Global market share of the Hair Care category decreased 0.7 points.

•Personal Care net sales increased double digits. Positive impacts of an increase in unit volume and higher pricing (primarily in North America) were partially offset by unfavorable foreign exchange. The volume increase was driven by growth in North America (due to innovation), Europe (due to distribution expansion and innovation), and Latin America (due to market growth). Organic sales increased double digits due to a low teens growth in North America and a more than 20% growth in Europe, partially offset by a mid-single-digit decline in Greater China. Global market share of the Personal Care category increased 0.8 points.

•Skin Care net sales decreased low single digits. Negative impacts of a decrease in unit volume were partially offset by favorable mix (due primarily to the growth of the super-premium SK-II brand, which has higher than category-average selling prices), higher pricing (primarily in Greater China) and a favorable foreign exchange impact. The volume decrease was driven by declines in all regions, led by North America (due to distribution losses) and Greater China (due to market contraction). Organic sales decreased mid-single digits due to a 20% decline in North America and a mid-single-digit decline in Asia Pacific, partially offset by a mid-single-digit growth in Greater China. Global market share of the Skin Care category decreased 0.7 points.

Net earnings decreased 10% to $780 million due to a 230 basis-point decline in net earnings margin. Net sales were unchanged. Net earnings margin decreased due to a decrease in gross margin and an increase in SG&A as a percentage of net sales, partially offset by a lower effective tax rate. The gross margin decline was driven by negative product mix (due to the decline of premium brands) and higher commodity costs, partially offset by increased productivity savings and higher pricing. SG&A as a percentage of net sales increased due primarily to increases in marketing and overhead spending. The lower effective tax rate was driven by favorable geographic mix.

Six months ended December 31, 2024, compared with six months ended December 31, 2023

Beauty net sales decreased 3% to $7.7 billion, as unit volume decrease of 1%, negative impacts of unfavorable foreign exchange of 1% and unfavorable mix of 2% (due primarily to the decline of the super-premium SK-II brand, which has higher than segment-average selling prices) were partially offset by the positive impacts of higher pricing of 1%. Excluding the impact of acquisitions and divestitures and foreign exchange, organic volume and organic sales were unchanged. Global market share of the Beauty segment increased 0.1 points.

•Hair Care net sales decreased low single digits. Negative impacts of divestitures, declining unit volume and unfavorable foreign exchange were partially offset by positive impacts of favorable brand mix (due to growth of the premium Native brand) and higher pricing (primarily in Europe and Latin America). The decline in unit volume was driven by a decline in Greater China (due to market contraction and distribution footprint changes), partially offset by growth in North America (due to innovation) and Latin America (due to market growth). Organic sales increased low single digits due to a high single-digit growth in Latin America and a mid-single-digit growth in North America, partially offset by a high single-digit decline in Greater China. Global market share of the Hair Care category decreased 0.6 points.

•Personal Care net sales increased high single digits. Positive impacts of an increase in unit volume, higher pricing (primarily in North America) and favorable product mix (due to the growth of the premium brands) were partially offset by unfavorable foreign exchange. The volume increase was driven by growth in North America (due to innovation), Europe (due to distribution expansion and innovation), and Latin America (due to market growth), partially offset by a decline in Greater China (due to market contraction). Organic sales increased double digits due to a more than 20% growth in Europe and a double digit growth in North America, partially offset by a mid-single-digit decline in Greater China. Global market share of the Personal Care category increased 0.6 points.

•Skin Care net sales decreased mid-teens. Negative impacts of a decrease in unit volume and unfavorable product mix (due primarily to the decline of the super-premium SK-II brand, which has higher than category-average selling prices), were partially offset by higher pricing (primarily in Greater China and Asia Pacific). The volume decrease was driven by declines in all regions, led by North America (due to distribution losses) and Greater China (due to market contraction).

22 The Procter & Gamble Company

Organic sales decreased mid-teens due to 20% declines in North America and Asia Pacific and a double-digit decline in Greater China. Global market share of the Skin Care category decreased 0.6 points

Net earnings decreased 12% to $1.6 billion due to a decrease in net sales and a 220 basis-point decline in net earnings margin. Net earnings margin decreased due to a decrease in gross margin and an increase in SG&A as a percentage of net sales, partially offset by a lower effective tax rate. The gross margin decline was driven by negative product mix (due to the decline of the super-premium SK-II brand) and higher commodities, partially offset by increased pricing and productivity savings. SG&A as a percentage of net sales increased due primarily to an increase in marketing and overhead spending. The lower effective tax rate was driven by favorable geographic mix.

Grooming

Three months ended December 31, 2024, compared with three months ended December 31, 2023

Grooming net sales increased 1% to $1.8 billion as the benefits of a 2% increase in unit volume and higher pricing of 1% (driven primarily by IMEA and Asia Pacific) were partially offset by unfavorable geographic mix of 1% and unfavorable foreign exchange of 1%. The volume increase was driven by growth in IMEA (due to increased distribution) and Europe (due to market growth). Excluding the impact of acquisitions and divestitures and foreign exchange, organic sales increased 2% driven by a low teens growth in IMEA and a double-digit growth in Asia Pacific. Global market share of the Grooming segment increased 0.3 points.

Net earnings increased 4% to $459 million due to an increase in net sales and an 80 basis-point increase in net earnings margin. Net earnings margin increased as an increase in gross margin and a decrease in SG&A as a percentage of net sales were partially offset by a higher effective tax rate. The gross margin improvement was primarily driven by increased productivity savings and increased pricing, partially offset by unfavorable geographic mix. SG&A as a percentage of net sales decreased due primarily to higher foreign exchange transactional charges in the prior year period. The higher effective tax rate was driven by unfavorable geographic mix.

Six months ended December 31, 2024, compared with six months ended December 31, 2023

Grooming net sales were unchanged at $3.5 billion driven by unit volume increase of 3% and higher pricing of 1% (driven primarily by Latin America and IMEA), offset by unfavorable geographic mix of 2% and unfavorable foreign exchange of 2%. The volume increase was driven by growth in IMEA (due to increased distribution), Latin America (due to market growth) and Europe (due to market growth). Excluding the impact of acquisitions and divestitures and foreign exchange, Grooming organic sales increased 3% due to high teens growth in IMEA, high single-digit growth in Asia Pacific and mid-single-digit growth in Latin America. Organic volume increased 4%. Global market share of the Grooming segment increased 0.6 points.

Net earnings increased 3% to $885 million due to a 60 basis-point increase in net earnings margin. Net earnings margin increased as a decrease in SG&A as a percentage of net sales was partially offset by a decrease in gross margin. The gross margin decrease was driven primarily by unfavorable geographic mix, partially offset by productivity savings and higher pricing. SG&A as a percentage of net sales decreased due to higher foreign exchange transactional charges in the prior year period and reduced marketing spending.

Health Care

Three months ended December 31, 2024, compared with three months ended December 31, 2023

Health Care net sales increased 2% to $3.2 billion driven by favorable product mix of 2% and higher pricing of 1%. Unit volume and foreign exchange were unchanged. Excluding the impact of acquisitions and divestitures and foreign exchange, organic sales increased 3%. Global market share of the Health Care segment was unchanged.

•Oral Care net sales increased mid-single digits driven by the positive impacts of favorable product mix (due to growth of power brushes and premium paste, which have higher than category-average selling prices). Unit volume was unchanged as growth in North America (due to market growth and innovation) and Europe (due to distribution gains and innovation) was offset by declines in Greater China (due to market contraction and share losses) and IMEA (due to share losses). Organic sales increased low single digits driven by a high single-digit increase in Europe and a mid-single-digit increase in North America, partially offset by a mid-teens decrease in Greater China. Global market share of the Oral Care category increased 0.1 points.

•Personal Health Care net sales increased low single digits as higher pricing (driven by Europe and Latin America) and a unit volume increase were partially offset by negative impacts of product mix (due to the decline of respiratory products, which have higher than category-average selling prices) and unfavorable foreign exchange. The unit volume increase was primarily due to growth in Europe (due to innovation), partially offset by a decline in IMEA (due to increased competitive activity). Organic sales increased low single digits driven by a double-digit growth in Europe, partially offset by a low-single-digit decline in North America. Global market share of the Personal Health Care category decreased 0.1 points.

Net earnings increased 5% to $758 million due to net sales growth and a 60 basis-point increase in net earnings margin. Net earnings margin increased due to an increase in gross margin, partially offset by an increase in SG&A as a percentage of net sales. The gross margin increase was driven primarily by productivity savings and higher pricing, partially offset by

The Procter & Gamble Company 23

unfavorable product mix (due to a decline in respiratory products, which have higher than segment-average gross margins). SG&A as a percentage of net sales increased due to an increase in overhead spending, partially offset by the positive scale impacts of the net sales increase.

Six months ended December 31, 2024, compared with six months ended December 31, 2023

Health Care net sales increased 2% to $6.4 billion driven by favorable geographic and product mix of 3% and higher pricing of 1%, partially offset by unfavorable foreign exchange of 1% and a 1% decrease in unit volume. Excluding the impact of acquisitions and divestitures and foreign exchange, organic sales increased 3% and organic volume was unchanged. Global market share of the Health Care segment was unchanged.

•Oral Care net sales increased low single digits due to the positive impacts of favorable product mix (due to growth of premium paste and power brushes, which have higher than category-average selling prices), partially offset by a decrease in unit volume. The unit volume decrease was due to a decline in Greater China (due to market contraction and share losses) and IMEA (due to share losses), partially offset by growth in North America (due to market growth and innovation) and Europe (due to distribution expansion and innovation). Organic sales also increased low single digits due to a high single-digit increase in Europe and a mid-single-digit increase in North America, partially offset by high teens decreases in Greater China and IMEA. Global market share of the Oral Care category increased 0.2 points.

•Personal Health Care net sales increased low single digits due to the positive impacts of higher pricing (driven by Latin America and Europe), favorable geographic mix and unit volume increase, partially offset by unfavorable foreign exchange. The increase in unit volume was driven by growth in North America (due to distribution gains), Europe (due to innovation), partially offset by a decline in IMEA (due to increased competitive activity). Organic sales increased low single digits due to mid-single-digit growth in both Europe and Latin America and low single-digit growth in North America, partially offset by a low single-digit decline in IMEA. Global market share of the Personal Health Care category decreased 0.1 points.

Net earnings increased 6% to $1.5 billion due to net sales growth and a 90 basis-point increase in net earnings margin. Net earnings margin increased due to an increase in gross margin, a decrease in SG&A as a percentage of net sales and a lower effective tax rate. The gross margin increase was driven by productivity savings and higher pricing. SG&A as a percentage of net sales decreased due to decreased marketing spending, higher foreign exchange transactional charges in the prior year period and the positive scale impacts of the net sales increase. The lower effective tax rate was driven by favorable geographic mix.

Fabric & Home Care

Three months ended December 31, 2024, compared with three months ended December 31, 2023

Fabric & Home Care net sales increased 2% to $7.6 billion driven by a unit volume increase of 1% and favorable mix of 1%. Excluding the impact of foreign exchange and acquisitions and divestitures, organic sales increased 3% and organic volume increased 2%. Global market share of the Fabric & Home Care segment increased 0.1 points.

•Fabric Care net sales increased low single digits driven by an increase in unit volume and a positive impact of favorable geographic mix, partially offset by unfavorable foreign exchange. The increase in unit volume was due to growth in North America (due to innovation) and Europe (due to innovation and increased marketing support), partially offset by declines in Latin America (due to share losses). Organic sales increased low single digits driven by a high single-digit growth in Asia Pacific, a mid-single-digit growth in Europe and a low single-digit growth in North America, partially offset by a high single-digit decline in Latin America. Global market share of the Fabric Care category increased 0.1 points.

•Home Care net sales increased mid-single digits driven by a unit volume increase and favorable premium product mix, partially offset by the impact of divestitures. The increase in volume was due to growth in North America (due to innovation) and Europe (due to market growth). Organic sales increased mid-single digits driven by a mid-single-digit growth in both North America and Europe. Global market share of the Home Care category increased 0.3 points.

Net earnings decreased 1% to $1.6 billion as the increase in net sales was more than offset by a 60 basis-point decline in net earnings margin. Net earnings margin decreased due to a decrease in gross margin and an increase in SG&A as a percentage of net sales, partially offset by a lower effective tax rate. The gross margin decrease was driven by unfavorable product mix, partially offset by productivity savings. SG&A as a percentage of net sales increased due to an increase in marketing and overhead spending, partially offset by the positive scale effects of the net sales increase. The lower effective tax rate was driven by favorable geographic mix.

Six months ended December 31, 2024, compared with six months ended December 31, 2023

Fabric & Home Care net sales increased 1% to $15.3 billion driven by a unit volume increase of 1% and favorable product mix of 1%, partially offset by unfavorable foreign exchange of 1%. Excluding the impact of foreign exchange and acquisitions and divestitures, organic sales increased 3% and organic volume increased 2%. Global market share of the Fabric & Home Care segment increased 0.1 points.

•Fabric Care net sales were unchanged as the positive impact of favorable premium product mix was offset by the negative impacts of unfavorable foreign exchange. Unit volume was unchanged as growth in North America (due to market growth)

24 The Procter & Gamble Company

and Europe (due to innovation and increased marketing support) was offset by declines in Latin America and IMEA (both due to share losses). Organic sales increased low single digits driven by a mid-single-digit increase in Europe and North America, partially offset by a high single-digit decrease in Latin America. Global market share of the Fabric Care category decreased 0.1 points.

•Home Care net sales increased mid-single digits driven by a unit volume increase and favorable premium product mix, partially offset by the impact of unfavorable foreign exchange and divestitures. The increase in volume was due primarily to growth in North America (due to innovation) and Europe (due to market growth). Organic sales increased mid-single digits driven by mid-single-digit growth in North America and Europe. Global market share of the Home Care category increased 0.4 points.

Net earnings increased 1% to $3.2 billion due to the increase in net sales. Net earnings margin was unchanged as an increase in gross margin and a lower effective tax rate was fully offset by an increase in SG&A as a percentage of net sales. The gross margin increase was driven by increased productivity savings, partially offset by unfavorable product mix. SG&A as a percentage of net sales increased due to an increase in marketing and overhead spending, partially offset by the positive scale effects of the net sales increase and higher foreign exchange transactional charges in the prior year period. The lower effective tax rate was driven by favorable geographic mix.

Baby, Feminine & Family Care

Three months ended December 31, 2024, compared with three months ended December 31, 2023

Baby, Feminine & Family Care net sales increased 3% to $5.3 billion due to a 4% increase in unit volume, partially offset by lower pricing of 1%. Excluding the impacts of foreign exchange and acquisitions and divestitures, organic sales increased 4%. Global market share of the Baby, Feminine & Family Care segment was unchanged.

•Baby Care net sales decreased low single digits. Negative impacts of a decrease in unit volume, lower pricing (driven by merchandising investments in North America and Europe) and divestitures were partially offset by favorable geographic and product mix (due to a higher proportion of premium diapers, which have higher than category-average selling prices). The unit volume decline was driven by Europe and Asia Pacific (both due to market contraction). Organic sales decreased low single digits due to a double digit decline in Asia Pacific and a mid-single-digit decline in Europe, partially offset by a mid-single-digit growth in Latin America. Global market share of the Baby Care category was unchanged.

•Feminine Care net sales increased low single digits. Positive impacts of favorable geographic mix were partially offset by a decrease in unit volume. The unit volume decrease was primarily driven by declines in Greater China (due to share losses) and IMEA (due to increased pricing), partially offset by growth in North America (due to market growth). Organic sales increased low single digits driven by a mid-single-digit growth in North America, partially offset by a mid-single-digit decline in Greater China. Global market share of the Feminine Care category decreased 0.4 points.

•Net sales in Family Care, which is predominantly a North America business, increased double digits driven by an increase in unit volume (due to strong consumption offtake and retail inventory build), partially offset by lower pricing (due to investments). Organic sales increased double digits. North America market share of the Family Care category increased 0.3 points.

Net earnings increased 2% to $1.1 billion driven by the increase in net sales, partially offset by the 30 basis-point decline in net earnings margin. Net earnings margin decreased primarily due to a decline in gross margin, partially offset by a decline in SG&A as a percentage of net sales. Gross margin decreased primarily due to higher commodity costs and unfavorable mix, partially offset by increased productivity savings. SG&A as a percentage of net sales decreased due to a decrease in marketing spending, higher foreign exchange transactional charges in the prior year period and positive scale effects of the net sales increase.

Six months ended December 31, 2024, compared with six months ended December 31, 2023

Baby, Feminine & Family Care net sales increased 1% to $10.4 billion driven by a 1% increase in unit volume. Excluding the impacts of foreign exchange and acquisitions and divestitures, organic sales increased 2%. Global market share of the Baby, Feminine & Family Care segment decreased 0.1 points.

•Baby Care net sales decreased mid-single digits. Negative impacts of a decrease in unit volume, unfavorable foreign exchange and lower pricing (driven by merchandising investments in North America and Europe) were partially offset by favorable product mix (due to growth of premium diapers, which have higher than category-average selling prices). The unit volume decline was driven across most regions led by Europe and Asia Pacific (both due to market contraction) and IMEA (due to share losses). Organic sales decreased low single digits primarily driven by a double-digit decline in IMEA and a high single-digit decline in Europe. Global market share of the Baby Care category decreased 0.2 points.

•Feminine Care net sales increased low single digits. Positive impacts of favorable geographic mix and higher pricing (driven primarily by North America and IMEA) were partially offset by a decrease in unit volume and unfavorable foreign exchange. The unit volume decrease was primarily driven by declines in Greater China (due to share losses) and IMEA (due to increased pricing), partially offset by growth in North America (due to market growth). Organic sales increased low

The Procter & Gamble Company 25

single digits driven by a mid-single-digit growth in North America, partially offset by a mid-single-digit decline in Greater China. Global market share of the Feminine Care category decreased 0.4 points.

•Net sales in Family Care, which is predominantly a North America business, increased high single digits driven by an increase in unit volume (due to strong consumption offtake and retail inventory build), partially offset by lower pricing (due to investments). Organic sales also increased high single digits. North America market share of the Family Care category increased 0.1 points.

Net earnings were unchanged at $2.2 billion as the increase in net sales was offset by a 10 basis-point decrease in net earnings margin. Net earnings margin decreased primarily due to a decrease in gross margin, partially offset by a decrease in SG&A as a percentage of net sales. Gross margin decreased primarily due to higher commodity costs and unfavorable mix, partially offset by productivity savings. SG&A as a percentage of net sales decreased due to higher foreign exchange transactional charges in the prior year period and the positive scale impacts of the net sales increase, partially offset by an increase in overhead spending.

Corporate

Corporate includes certain operating and non-operating activities not allocated to specific business segments. These include but are not limited to incidental businesses managed at the corporate level, gains and losses related to certain divested brands or businesses, impacts from various financing and investing activities, impacts related to employee benefits, asset impairments and restructuring activities including manufacturing and workforce optimization. Corporate also includes reconciling items to adjust the accounting policies used within the reportable segments to U.S. GAAP. The most notable ongoing reconciling item is income taxes, which adjusts the blended statutory rates that are reflected in the reportable segments to the overall Company effective tax rate.

For the three months ended December 31, 2024, Corporate net sales increased $34 million to $159 million due to an increase in net sales of incidental businesses managed at the corporate level. Corporate net earnings increased $1.2 billion to a loss of $24 million for the quarter due primarily to the non-cash impairment charge of $1.3 billion ($1.0 billion after tax) on the Gillette intangible asset in the prior year.

For the six months ended December 31, 2024, Corporate net sales increased $52 million to $322 million due to an increase in net sales of incidental businesses managed at the corporate level. Corporate net earnings increased $652 million to a loss of $731 million due primarily to the non-cash impairment charge of $1.3 billion ($1.0 billion after tax) on the Gillette intangible asset in the prior year, partially offset by incremental restructuring charges in the current year, comprised primarily of accumulated foreign currency translation losses due to the substantial liquidation of operations in Argentina.

LIQUIDITY & CAPITAL RESOURCES

Operating Activities

Operating cash flow was $9.1 billion fiscal year to date, a decrease of $877 million versus the prior year period. Net earnings, adjusted for non-cash items (depreciation and amortization, share-based compensation expense, deferred income taxes and gain/loss on sale of assets), generated $11.3 billion of operating cash flow. Working capital and other impacts used $2.2 billion of cash in the period primarily driven by the payment of the transitional tax related to the U.S. Tax Act, the payment of prior fiscal year-end incentive compensation accruals and a reduction in postretirement benefit accruals. Days sales outstanding were flat. Days inventory on hand decreased by one day.

Investing Activities

Investing activities used $2.0 billion of cash fiscal year to date primarily driven by capital expenditures.

Financing Activities

Financing activities used $6.2 billion of net cash fiscal year to date, mainly due to dividends to shareholders and treasury stock purchases, partially offset by a net debt increase and the impact of stock options and other.

As of December 31, 2024, our current liabilities exceeded current assets by $8.2 billion. We anticipate being able to support our short-term liquidity and operating needs largely through cash generated from operations. We have strong short- and long-term debt ratings that have enabled and should continue to enable us to refinance our debt as it becomes due at favorable rates in commercial paper and bond markets. In addition, we have agreements with a diverse group of financial institutions that, if needed, should provide sufficient funding to meet short-term financing requirements.

MEASURES NOT DEFINED BY U.S. GAAP

In accordance with the SEC's Regulation S-K Item 10(e), the following provides definitions of the non-GAAP measures and the reconciliation to the most closely related GAAP measure. We believe that these measures provide useful perspective on underlying business trends (i.e., trends excluding non-recurring or unusual items) and results and provide a supplemental measure of period-to-period results. The non-GAAP measures described below are used by management in making operating decisions, allocating financial resources and for business strategy purposes. These measures may be useful to investors, as they provide supplemental information about business performance and provide investors a view of our business results through the eyes of management. These measures are also used to evaluate senior management and are a factor in determining their at-risk

26 The Procter & Gamble Company

compensation. These non-GAAP measures are not intended to be considered by the user in place of the related GAAP measures but rather as supplemental information to our business results. These non-GAAP measures may not be the same as similar measures used by other companies due to possible differences in method and in the items or events being adjusted.

Organic sales growth. Organic sales growth is a non-GAAP measure of sales growth excluding the impacts of acquisitions and divestitures and foreign exchange from year-over-year comparisons. We believe this measure provides investors with a supplemental understanding of underlying sales trends by providing sales growth on a consistent basis. This measure is used in assessing the achievement of management goals for at-risk compensation.

The following tables provide a numerical reconciliation of organic sales growth to reported net sales growth:


Three Months Ended December 31, 2024	Net Sales Growth		Foreign Exchange Impact		Acquisition & Divestiture Impact/Other (1)		Organic Sales Growth
Beauty	—	%	1	%	1	%	2	%
Grooming	1	%	1	%	—	%	2	%
Health Care	2	%	—	%	1	%	3	%
Fabric & Home Care	2	%	—	%	1	%	3	%
Baby, Feminine & Family Care	3	%	—	%	1	%	4	%
Total Company	2	%	—	%	1	%	3	%
(1)Acquisition & Divestiture Impact/Other includes the volume and mix impact of acquisitions and divestitures and rounding impacts necessary to reconcile net sales to organic sales.
Six Months Ended December 31, 2024	Net Sales Growth		Foreign Exchange Impact		Acquisition & Divestiture Impact/Other (1)		Organic Sales Growth
Beauty	(3)	%	1	%	2	%	—	%
Grooming	—	%	2	%	1	%	3	%
Health Care	2	%	1	%	—	%	3	%
Fabric & Home Care	1	%	1	%	1	%	3	%
Baby, Feminine & Family Care	1	%	—	%	1	%	2	%
Total Company	1	%	1	%	—	%	2	%
(1)Acquisition & Divestiture Impact/Other includes the volume and mix impact of acquisitions and divestitures and rounding impacts necessary to reconcile net sales to organic sales.

Adjusted free cash flow. Adjusted free cash flow is defined as operating cash flow less capital expenditures and excluding payments for the transitional tax resulting from the U.S. Tax Act. Adjusted free cash flow represents the cash that the Company is able to generate after taking into account planned maintenance and asset expansion. We view adjusted free cash flow as an important measure because it is one factor used in determining the amount of cash available for dividends, share repurchases, acquisitions and other discretionary investments.

The following table provides a numerical reconciliation of adjusted free cash flow ($ millions):


Six Months Ended December 31, 2024
Operating Cash Flow		Capital Spending		U.S. Tax Act Payments		Adjusted Free Cash Flow
$	9,127	$	(1,918)	$	562	$	7,771

Adjusted free cash flow productivity. Adjusted free cash flow productivity is defined as the ratio of adjusted free cash flow to net earnings excluding a non-cash charge for accumulated foreign currency translation losses due to the substantial liquidation of operations in Argentina. We view adjusted free cash flow productivity as a useful measure to help investors understand P&G’s ability to generate cash. Adjusted free cash flow productivity is used by management in making operating decisions, in allocating financial resources and for budget planning purposes. This measure is also used in assessing the achievement of management goals for at-risk compensation.

The following table provides a numerical reconciliation of adjusted free cash flow productivity ($ millions):


Six Months Ended December 31, 2024
Adjusted Free Cash Flow		Net Earnings		Adjustments to Net Earnings (1)		Net Earnings as Adjusted		Adjusted Free Cash Flow Productivity
$	7,771	$	8,646	$	752	$	9,398	83	%
(1)Adjustments to Net earnings relate to a non-cash charge for accumulated foreign currency translation losses due to the substantial liquidation of operations in Argentina.

The Procter & Gamble Company 27

Core EPS. Core EPS is a measure of the Company's diluted EPS excluding items that are not judged by management to be part of the Company's sustainable results or trends. Management views this non-GAAP measure as a useful supplemental measure of Company performance over time. This measure is also used in assessing the achievement of management goals for at-risk compensation. The Core earnings measures included in the following reconciliation tables refer to the equivalent GAAP measures adjusted as applicable for the following items:

•Incremental restructuring: The Company has historically had an ongoing level of restructuring activities of approximately $250 - $500 million before tax. In the fiscal year ended June 30, 2024, the Company started a limited market portfolio restructuring of its business operations, primarily in certain Enterprise Markets, including Argentina and Nigeria, to address challenging macroeconomic and fiscal conditions. During the period ended September 30, 2024, the Company completed this limited market portfolio restructuring with the substantial liquidation of its operations in Argentina. The adjustment to Core earnings includes the restructuring charges that exceed the normal, recurring level of restructuring charges.

•Intangible asset impairment: In the fiscal year ended June 30, 2024, the Company recognized a non-cash, after-tax impairment charge of $1.0 billion ($1.3 billion before tax) to adjust the carrying value of the Gillette intangible asset acquired as part of the Company's 2005 acquisition of The Gillette Company.

We do not view the above items to be part of our sustainable results, and their exclusion from core earnings measures provides a more comparable measure of year-on-year results. These items are also excluded when evaluating senior management in determining their at-risk compensation.


THE PROCTER & GAMBLE COMPANY AND SUBSIDIARIES Reconciliation of Non-GAAP Measures
	Three Months Ended December 31, 2024			Three Months Ended December 31, 2023
Amounts in millions except per share amounts	As Reported (GAAP) (1)			As Reported (GAAP)		Incremental Restructuring		Intangible Impairment		Core (Non-GAAP)
Cost of products sold	$	10,418		$	10,144	$	(12)	$	—	$	10,132
Selling, general and administrative expense	5,723			5,522		(8)		—		5,515
Operating income	5,741			4,433		19		1,341		5,793
Income taxes	1,187			1,003		(20)		315		1,299
Net earnings attributable to P&G	4,630			3,468		39		1,026		4,533
										Core EPS
Diluted net earnings per common share (2)	$	1.88		$	1.40	$	0.02	$	0.42	$	1.84
(1)For the three months ended December 31, 2024, there were no adjustments to or reconciling items for Core EPS. (2)Diluted net earnings per common share are calculated on Net earnings attributable to Procter & Gamble.

CHANGE IN CURRENT YEAR REPORTED (GAAP) MEASURES VERSUS PRIOR YEAR NON-GAAP (CORE) MEASURES
Core net earnings attributable to P&G	2		%
Core EPS	2		%

28 The Procter & Gamble Company


THE PROCTER & GAMBLE COMPANY AND SUBSIDIARIES Reconciliation of Non-GAAP Measures
	Six Months Ended December 31, 2024
Amounts in millions except per share amounts	As Reported (GAAP)			Incremental Restructuring		Core (Non-GAAP)
Cost of products sold	$	20,839		$	20	$	20,859
Selling, general and administrative expense	11,242			(25)		11,216
Operating income	11,538			5		11,543
Other non-operating income/(expense), net	(330)			789		459
Income taxes	2,339			(7)		2,331
Net earnings attributable to P&G	8,589			801		9,391
						Core EPS
Diluted net earnings per common share (1)	$	3.49		$	0.33	$	3.81
(1)Diluted net earnings per common share are calculated on Net earnings attributable to Procter & Gamble.

CHANGE VERSUS YEAR AGO
Core net earnings attributable to P&G	4		%
Core EPS	4		%


THE PROCTER & GAMBLE COMPANY AND SUBSIDIARIES Reconciliation of Non-GAAP Measures
	Six Months Ended December 31, 2023
Amounts in millions except per share amounts	As Reported (GAAP)		Incremental Restructuring		Intangible Impairment		Core (Non-GAAP)
Cost of products sold	$	20,645	$	(12)	$	—	$	20,633
Selling, general and administrative expense	11,127		(8)		—		11,119
Operating income	10,200		19		1,341		11,560
Income taxes	2,250		(20)		315		2,545
Net earnings attributable to P&G	7,988		39		1,026		9,054
							Core EPS
Diluted net earnings per common share (1)	$	3.23	$	0.02	$	0.42	$	3.66
(1)Diluted net earnings per common share are calculated on Net earnings attributable to Procter & Gamble.


Item 3.			Quantitative and Qualitative Disclosures About Market Risk

There have been no material changes in the Company’s exposure to market risk since June 30, 2024. Additional information can be found in Note 9, Risk Management Activities and Fair Value Measurements, of the Company's Form 10-K for the fiscal year ended June 30, 2024.


Item 4.			Controls and Procedures

Evaluation of Disclosure Controls and Procedures

The Company’s Chairman of the Board, President and Chief Executive Officer, Jon R. Moeller, and the Company’s Chief Financial Officer, Andre Schulten, performed an evaluation of the Company’s disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Securities Exchange Act of 1934 (Exchange Act)) as of the end of the period covered by this report.

Messrs. Moeller and Schulten have concluded that the Company’s disclosure controls and procedures were effective to ensure that information required to be disclosed in reports we file or submit under the Exchange Act is (1) recorded, processed, summarized and reported within the time periods specified in SEC rules and forms, and (2) accumulated and communicated to our management, including Messrs. Moeller and Schulten, to allow their timely decisions regarding required disclosure.

The Procter & Gamble Company 29

Changes in Internal Control Over Financial Reporting

There were no changes in our internal control over financial reporting that occurred during the Company’s fiscal quarter ended December 31, 2024, that have materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.

PART II. OTHER INFORMATION


Item 1.			Legal Proceedings

The Company is subject, from time to time, to certain legal proceedings and claims arising out of our business, which cover a wide range of matters, including antitrust and trade regulation, product liability, advertising, contracts, environmental issues, patent and trademark matters, labor and employment matters and tax. In addition, SEC regulations require that we disclose certain environmental proceedings arising under Federal, State or local law when a governmental authority is a party and such proceeding involves potential monetary sanctions that the Company reasonably believes will exceed a certain threshold ($1 million or more).

There were no material changes during the quarter ended December 31, 2024, to our disclosure in Part I, Item 3, “Legal Proceedings” of our Form 10-K for the fiscal year ended June 30, 2024. There were no relevant matters to disclose under this Item for this period.


Item 1A.			Risk Factors

For information on risk factors, please refer to "Risk Factors" in Part I, Item 1A of the Company's Form 10-K for the fiscal year ended June 30, 2024.


Item 2.			Unregistered Sales of Equity Securities, Use of Proceeds and Issuer Purchases of Equity Securities

ISSUER PURCHASES OF EQUITY SECURITIES


Period	Total Number of Shares Purchased (1)	Average Price Paid per Share (2)	Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs (3)	Approximate Dollar Value of Shares That May Yet Be Purchased Under Our Share Repurchase Program
10/01/2024 - 10/31/2024	5,149,365	$169.92	5,149,365	(3)
11/01/2024 - 11/30/2024	5,182,400	168.84	5,182,400	(3)
12/01/2024 - 12/31/2024	4,371,303	171.57	4,371,303	(3)
Total	14,703,068	$170.03	14,703,068	(3)

(1)All transactions are reported on a trade date basis and were made in the open market with large financial institutions. This table excludes shares withheld from employees to satisfy tax withholding requirements on option exercises and other equity-based transactions. The Company administers cashless exercises through an independent third party and does not repurchase stock in connection with cashless exercises.

(2)Average price paid per share for open market transactions excludes commission.

(3)In accordance with the repurchase program announced on July 30, 2024, the Company reaffirmed in its earnings release on January 22, 2025, that it expects to reduce outstanding shares through direct share repurchases at a value of $6 to $7 billion in fiscal year 2025, notwithstanding any purchases under the Company's compensation and benefit plans. Purchases may be made in the open market and/or private transactions and purchases may be increased, decreased or discontinued at any time without prior notice. The share repurchases are authorized pursuant to a resolution issued by the Company's Board of Directors and are expected to be financed by a combination of operating cash flows and issuance of debt.


Item 5.			Other Information

During the three months ended December 31, 2024, none of our directors or officers adopted or terminated a "Rule 10b5-1 trading arrangement" or "non-Rule 10b5-1 trading arrangement" as defined in Item 408 of Regulation S-K.

30 The Procter & Gamble Company


Item 6.			Exhibits


3.1						Amended Articles of Incorporation (as amended by shareholders at the annual meeting on October 11, 2011 and consolidated by the Board of Directors on April 8, 2016) (Incorporated by reference to Exhibit (3-1) of the Company's Form 10-K for the year ended June 30, 2016)

3.2						Regulations (as approved by the Board of Directors on December 13, 2022, pursuant to authority granted by shareholders at the annual meeting on October 13, 2009) (Incorporated by reference to Exhibit (3-2) of the Company’s Current Report on Form 8-K filed December 13, 2022)

4.1						Indenture, dated as of September 3, 2009, between the Company and Deutsche Bank Trust Company Americas, as Trustee (Incorporated by reference to Exhibit (4-1) of the Company's Annual Report on Form 10-K for the year ended June 30, 2015)

31.1						Rule 13a-14(a)/15d-14(a) Certification – Chief Executive Officer +

31.2						Rule 13a-14(a)/15d-14(a) Certification – Chief Financial Officer +

32.1						Section 1350 Certifications – Chief Executive Officer +

32.2						Section 1350 Certifications – Chief Financial Officer +

101.SCH (1)						Inline XBRL Taxonomy Extension Schema Document

101.CAL (1)						Inline XBRL Taxonomy Extension Calculation Linkbase Document

101.DEF (1)						Inline XBRL Taxonomy Definition Linkbase Document

101.LAB (1)						Inline XBRL Taxonomy Extension Label Linkbase Document

101.PRE (1)						Inline XBRL Taxonomy Extension Presentation Linkbase Document

104						Cover Page Interactive Data File (formatted in Inline XBRL and contained in Exhibit 101)


+			Filed herewith

(1)			Pursuant to Rule 406T of Regulation S-T, this information is furnished and not filed for purposes of Sections 11 or 12 of the Securities Act of 1933 and Section 18 of the Securities Exchange Act of 1934, and otherwise is not subject to liability under these sections.

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its behalf by the undersigned thereunto duly authorized.

THE PROCTER & GAMBLE COMPANY

January 22, 2025

/s/ MATTHEW W. JANZARUK

Date

(Matthew W. Janzaruk)

Senior Vice President - Chief Accounting Officer
(Principal Accounting Officer)

EXHIBIT 31.1

Rule 13a-14(a)/15d-14(a) Certifications

I, Jon R. Moeller, certify that:

(1)I have reviewed this quarterly report on Form 10-Q of The Procter & Gamble Company;

(2)Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

(3)Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

(4)The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation;

d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

(5)The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.


/s/ JON R. MOELLER
(Jon R. Moeller)
Chairman of the Board, President and Chief Executive Officer

January 22, 2025
Date

EXHIBIT 31.2

Rule 13a-14(a)/15d-14(a) Certifications

I, Andre Schulten, certify that:

(1)I have reviewed this quarterly report on Form 10-Q of The Procter & Gamble Company;

b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.


/s/ ANDRE SCHULTEN
(Andre Schulten)
Chief Financial Officer

January 22, 2025
Date

EXHIBIT 32.1

Section 1350 Certifications

Pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, the undersigned officer of The Procter & Gamble Company (the “Company”) certifies to his knowledge that:

(1)The Quarterly Report on Form 10-Q of the Company for the quarterly period ended December 31, 2024 fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2)The information contained in that Form 10-Q fairly presents, in all material respects, the financial conditions and results of operations of the Company.


/s/ JON R. MOELLER
(Jon R. Moeller)
Chairman of the Board, President and Chief Executive Officer

January 22, 2025
Date

A signed original of this written statement required by Section 906 has been provided to The Procter & Gamble Company and will be retained by The Procter & Gamble Company and furnished to the Securities and Exchange Commission or its staff upon request.

EXHIBIT 32.2

Section 1350 Certifications

(2)The information contained in that Form 10-Q fairly presents, in all material respects, the financial conditions and results of operations of the Company.


/s/ ANDRE SCHULTEN
(Andre Schulten)
Chief Financial Officer

January 22, 2025
Date

Cover Page	6 Months Ended
Cover Page	Dec. 31, 2024 shares
Entity Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Dec. 31, 2024
Document Transition Report	false
Entity Registrant Name	PROCTER & GAMBLE CO
Entity Incorporation, State or Country Code	OH
Entity File Number	1-434
Entity Tax Identification Number	31-0411980
Entity Address, Address Line One	One Procter & Gamble Plaza
Entity Address, State or Province	Cincinnati
Entity Address, State or Province	OH
Entity Address, Postal Zip Code	45202
City Area Code	513
Local Phone Number	983-1100
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding	2,344,851,814
Entity Central Index Key	0000080424
Current Fiscal Year End Date	--06-30
Document Fiscal Year Focus	2025
Document Fiscal Period Focus	Q2
Amendment Flag	false
Common Stock
Entity Information [Line Items]
Title of 12(b) Security	Common Stock, without Par Value
Trading Symbol	PG
Security Exchange Name	NYSE
1.375% Notes due 2025
Entity Information [Line Items]
Title of 12(b) Security	1.375% Notes due 2025
Trading Symbol	PG25
Security Exchange Name	NYSE
0.110% Notes due 2026
Entity Information [Line Items]
Title of 12(b) Security	0.110% Notes due 2026
Trading Symbol	PG26D
Security Exchange Name	NYSE
3.250% EUR Notes due 2026
Entity Information [Line Items]
Title of 12(b) Security	3.250% EUR Notes due 2026
Trading Symbol	PG26F
Security Exchange Name	NYSE
4.875% EUR Notes due May 2027
Entity Information [Line Items]
Title of 12(b) Security	4.875% EUR Notes due May 2027
Trading Symbol	PG27A
Security Exchange Name	NYSE
1.200% Notes due 2028
Entity Information [Line Items]
Title of 12(b) Security	1.200% Notes due 2028
Trading Symbol	PG28
Security Exchange Name	NYSE
3.150% EUR Notes due 2028
Entity Information [Line Items]
Title of 12(b) Security	3.150% EUR Notes due 2028
Trading Symbol	PG28B
Security Exchange Name	NYSE
1.250% Notes due 2029
Entity Information [Line Items]
Title of 12(b) Security	1.250% Notes due 2029
Trading Symbol	PG29B
Security Exchange Name	NYSE
1.800% Notes due 2029
Entity Information [Line Items]
Title of 12(b) Security	1.800% Notes due 2029
Trading Symbol	PG29A
Security Exchange Name	NYSE
6.250% GBP Notes due January 2030
Entity Information [Line Items]
Title of 12(b) Security	6.250% GBP Notes due January 2030
Trading Symbol	PG30
Security Exchange Name	NYSE
0.350% Notes due 2030
Entity Information [Line Items]
Title of 12(b) Security	0.350% Notes due 2030
Trading Symbol	PG30C
Security Exchange Name	NYSE
0.230% Notes due 2031
Entity Information [Line Items]
Title of 12(b) Security	0.230% Notes due 2031
Trading Symbol	PG31A
Security Exchange Name	NYSE
3.250% EUR Notes due 2031
Entity Information [Line Items]
Title of 12(b) Security	3.250% EUR Notes due 2031
Trading Symbol	PG31B
Security Exchange Name	NYSE
5.250% GBP Notes due January 2033
Entity Information [Line Items]
Title of 12(b) Security	5.250% GBP Notes due January 2033
Trading Symbol	PG33
Security Exchange Name	NYSE
3.200% EUR Notes due 2034
Entity Information [Line Items]
Title of 12(b) Security	3.200% EUR Notes due 2034
Trading Symbol	PG34C
Security Exchange Name	NYSE
1.875% Notes due 2038
Entity Information [Line Items]
Title of 12(b) Security	1.875% Notes due 2038
Trading Symbol	PG38
Security Exchange Name	NYSE
0.900% Notes due 2041
Entity Information [Line Items]
Title of 12(b) Security	0.900% Notes due 2041
Trading Symbol	PG41
Security Exchange Name	NYSE

Consolidated Statements of Earnings - USD ($)
$ in Millions

3 Months Ended

6 Months Ended

Dec. 31, 2024

Dec. 31, 2023

Dec. 31, 2024

Dec. 31, 2023

Income Statement [Abstract]

NET SALES

$ 21,882

$ 21,441

$ 43,619

$ 43,312

Cost of products sold

10,418

10,144

20,839

20,645

Selling, general and administrative expense

5,723

5,522

11,242

11,127

Indefinite-lived intangible asset impairment charge

1,341

OPERATING INCOME

5,741

4,433

11,538

10,200

Interest expense

(240)

(248)

(478)

(472)

Interest income

119

133

254

262

Other non-operating income/(expense), net

224

177

(330)

309

EARNINGS BEFORE INCOME TAXES

5,845

4,496

10,985

10,299

Income taxes

1,187

1,003

2,339

2,250

NET EARNINGS

4,659

3,493

8,646

8,049

Less: Net earnings attributable to noncontrolling interests

NET EARNINGS ATTRIBUTABLE TO PROCTER & GAMBLE

$ 4,630

$ 3,468

$ 8,589

$ 7,988

NET EARNINGS PER COMMON SHARE

Basic (in dollars per share)

^[1]

$ 1.94

$ 1.44

$ 3.59

$ 3.33

Diluted (in dollars per share)

^[1]

$ 1.88

$ 1.40

$ 3.49

$ 3.23

[1]	Basic net earnings per common share and Diluted net earnings per common share are calculated on Net earnings attributable to Procter & Gamble.

Consolidated Statements of Comprehensive Income - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2024	Dec. 31, 2023	Dec. 31, 2024	Dec. 31, 2023
Statement of Comprehensive Income [Abstract]
NET EARNINGS	$ 4,659	$ 3,493	$ 8,646	$ 8,049
OTHER COMPREHENSIVE INCOME/(LOSS), NET OF TAX
Foreign currency translation	(770)	492	256	83
Unrealized gains/(losses) on investment securities	0	(1)	1	(2)
Unrealized gains/(losses) on defined benefit postretirement plans	24	(75)	3	(30)
TOTAL OTHER COMPREHENSIVE INCOME/(LOSS), NET OF TAX	(747)	416	260	51
TOTAL COMPREHENSIVE INCOME	3,912	3,909	8,906	8,100
Less: Comprehensive income attributable to noncontrolling interests	26	25	54	58
TOTAL COMPREHENSIVE INCOME ATTRIBUTABLE TO PROCTER & GAMBLE	$ 3,887	$ 3,884	$ 8,852	$ 8,041

Consolidated Balance Sheets - USD ($) $ in Millions	Dec. 31, 2024	Jun. 30, 2024
CURRENT ASSETS
Cash and cash equivalents	$ 10,230	$ 9,482
Accounts receivable	6,234	6,118
INVENTORIES
Materials and supplies	1,949	1,617
Work in process	879	929
Finished goods	4,192	4,470
Total inventories	7,020	7,016
Prepaid expenses and other current assets	2,158	2,095
TOTAL CURRENT ASSETS	25,642	24,709
PROPERTY, PLANT AND EQUIPMENT, NET	22,074	22,152
GOODWILL	39,898	40,303
TRADEMARKS AND OTHER INTANGIBLE ASSETS, NET	21,833	22,047
OTHER NONCURRENT ASSETS	13,192	13,158
TOTAL ASSETS	122,639	122,370
CURRENT LIABILITIES
Accounts payable	14,495	15,364
Accrued and other liabilities	9,879	11,073
Debt due within one year	9,424	7,191
TOTAL CURRENT LIABILITIES	33,797	33,627
LONG-TERM DEBT	25,263	25,269
DEFERRED INCOME TAXES	6,725	6,516
OTHER NONCURRENT LIABILITIES	5,411	6,398
TOTAL LIABILITIES	71,195	71,811
SHAREHOLDERS’ EQUITY
Preferred stock	788	798
Common stock	4,009	4,009
Additional paid-in capital	68,283	67,684
Reserve for ESOP debt retirement	(707)	(737)
Accumulated other comprehensive loss	(11,637)	(11,900)
Treasury stock	(137,112)	(133,379)
Retained earnings	127,544	123,811
Noncontrolling interest	275	272
TOTAL SHAREHOLDERS’ EQUITY	51,443	50,559
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$ 122,639	$ 122,370

Consolidated Balance Sheets (Parenthetical) - shares shares in Millions	Dec. 31, 2024	Jun. 30, 2024
Statement of Financial Position [Abstract]
Common stock, issued (in shares)	4,009.2	4,009.2

Consolidated Statements of Shareholders' Equity - USD ($) shares in Thousands, $ in Millions	Total	Common Stock	Preferred Stock	Additional Paid-In Capital	Reserve for ESOP Debt Retirement	Accumulated Other Comprehensive Income/(Loss)	Treasury Stock	Retained Earnings	Noncontrolling Interest
Beginning balance (in shares) at Jun. 30, 2023		2,362,120
Beginning balance at Jun. 30, 2023	$ 47,065	$ 4,009	$ 819	$ 66,556	$ (821)	$ (12,220)	$ (129,736)	$ 118,170	$ 288
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net earnings	8,049							7,988	60
Other comprehensive income/(loss)	51					53			(2)
Dividends and dividend equivalents:
Common	(4,450)							(4,450)
Preferred	(140)							(140)
Treasury stock purchases (in shares)		(16,722)
Treasury stock purchases	(2,516)						(2,516)
Employee stock plans (in shares)		6,351
Employee stock plans	734			378			356
Preferred stock conversions (in shares)		1,273
Preferred stock conversions	0		(10)	1			9
ESOP debt impacts	87				39			48
Noncontrolling interest, net	(52)								(52)
Ending balance (in shares) at Dec. 31, 2023		2,353,021
Ending balance at Dec. 31, 2023	48,829	$ 4,009	809	66,935	(782)	(12,167)	(131,887)	121,617	294
Beginning balance (in shares) at Sep. 30, 2023		2,356,886
Beginning balance at Sep. 30, 2023	48,014	$ 4,009	812	66,822	(782)	(12,583)	(131,029)	120,443	321
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net earnings	3,493							3,468	25
Other comprehensive income/(loss)	416					416
Dividends and dividend equivalents:
Common	(2,225)							(2,225)
Preferred	(70)							(70)
Treasury stock purchases (in shares)		(6,879)
Treasury stock purchases	(1,008)						(1,008)
Employee stock plans (in shares)		2,630
Employee stock plans	260			113			147
Preferred stock conversions (in shares)		385
Preferred stock conversions	0		(3)				3
Noncontrolling interest, net	(52)								(52)
Ending balance (in shares) at Dec. 31, 2023		2,353,021
Ending balance at Dec. 31, 2023	48,829	$ 4,009	809	66,935	(782)	(12,167)	(131,887)	121,617	294
Beginning balance (in shares) at Jun. 30, 2024		2,357,051
Beginning balance at Jun. 30, 2024	50,559	$ 4,009	798	67,684	(737)	(11,900)	(133,379)	123,811	272
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net earnings	8,646							8,589	56
Other comprehensive income/(loss)	260					263			(3)
Dividends and dividend equivalents:
Common	(4,754)							(4,754)
Preferred	(144)							(144)
Treasury stock purchases (in shares)		(26,269)
Treasury stock purchases	(4,462)						(4,462)
Employee stock plans (in shares)		12,827
Employee stock plans	1,318			598			720
Preferred stock conversions (in shares)		1,243
Preferred stock conversions	0		(10)	1			9
ESOP debt impacts	71				30			41
Noncontrolling interest, net	(51)								(51)
Ending balance (in shares) at Dec. 31, 2024		2,344,852
Ending balance at Dec. 31, 2024	51,443	$ 4,009	788	68,283	(707)	(11,637)	(137,112)	127,544	275
Beginning balance (in shares) at Sep. 30, 2024		2,355,042
Beginning balance at Sep. 30, 2024	52,141	$ 4,009	791	68,102	(707)	(10,893)	(134,823)	125,361	300
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net earnings	4,659							4,630	29
Other comprehensive income/(loss)	(747)					(744)			(3)
Dividends and dividend equivalents:
Common	(2,375)							(2,375)
Preferred	(72)							(72)
Treasury stock purchases (in shares)		(14,716)
Treasury stock purchases	(2,520)						(2,520)
Employee stock plans (in shares)		4,057
Employee stock plans	408			181			228
Preferred stock conversions (in shares)		469
Preferred stock conversions	0		(3)				3
Noncontrolling interest, net	(51)								(51)
Ending balance (in shares) at Dec. 31, 2024		2,344,852
Ending balance at Dec. 31, 2024	$ 51,443	$ 4,009	$ 788	$ 68,283	$ (707)	$ (11,637)	$ (137,112)	$ 127,544	$ 275

Consolidated Statements of Shareholders' Equity (Parenthetical) - $ / shares	3 Months Ended		6 Months Ended
	Dec. 31, 2024	Dec. 31, 2023	Dec. 31, 2024	Dec. 31, 2023
Statement of Stockholders' Equity [Abstract]
Dividends and dividend equivalents, common stock (in dollars per share)	$ 1.0065	$ 0.9407	$ 2.013	$ 1.8814
Dividends and dividend equivalents, preferred stock (in dollars per share)	$ 1.0065	$ 0.9407	$ 2.013	$ 1.8814

Consolidated Statements of Cash Flows - USD ($) $ in Millions	6 Months Ended
	Dec. 31, 2024	Dec. 31, 2023
Statement of Cash Flows [Abstract]
CASH, CASH EQUIVALENTS AND RESTRICTED CASH, BEGINNING OF PERIOD	$ 9,482	$ 8,246
OPERATING ACTIVITIES
Net earnings	8,646	8,049
Depreciation and amortization	1,434	1,423
Share-based compensation expense	241	275
Deferred income taxes	221	(154)
Loss/(gain) on sale of assets	787	(3)
Indefinite-lived intangible asset impairment charge	0	1,341
Change in accounts receivable	(262)	(839)
Change in inventories	(170)	(32)
Change in accounts payable and accrued and other liabilities	(1,157)	302
Change in other operating assets and liabilities	(748)	(704)
Other	135	346
TOTAL OPERATING ACTIVITIES	9,127	10,004
INVESTING ACTIVITIES
Capital expenditures	(1,918)	(1,742)
Proceeds from asset sales	47	8
Acquisitions, net of cash acquired	(6)	0
Other investing activity	(153)	(489)
TOTAL INVESTING ACTIVITIES	(2,029)	(2,224)
FINANCING ACTIVITIES
Dividends to shareholders	(4,886)	(4,578)
Additions to short-term debt with original maturities of more than three months	5,905	2,798
Reductions in short-term debt with original maturities of more than three months	(571)	(5,862)
Net additions/(reductions) to other short-term debt	(2,705)	3,740
Additions to long-term debt	995	254
Reductions in long-term debt	(1,478)	(2,335)
Treasury stock purchases	(4,449)	(2,503)
Impact of stock options and other	985	397
TOTAL FINANCING ACTIVITIES	(6,205)	(8,087)
EFFECT OF EXCHANGE RATE CHANGES ON CASH, CASH EQUIVALENTS AND RESTRICTED CASH	(144)	(49)
CHANGE IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH	748	(356)
CASH, CASH EQUIVALENTS AND RESTRICTED CASH, END OF PERIOD	$ 10,230	$ 7,890

Basis of Presentation	6 Months Ended
Basis of Presentation	Dec. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of PresentationThe accompanying unaudited Consolidated Financial Statements of The Procter & Gamble Company and subsidiaries ("the Company," "Procter & Gamble," "P&G," "we" or "our") should be read in conjunction with the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2024. We have prepared these statements in conformity with accounting principles generally accepted in the United States (U.S. GAAP) pursuant to the rules and regulations of the U.S. Securities and Exchange Commission (SEC) for interim financial information. Note that certain columns and rows may not add due to rounding. In the opinion of management, the accompanying Consolidated Financial Statements contain all normal recurring adjustments necessary to present fairly the financial position, results of operations and cash flows for the interim periods reported. However, the results of operations included in such financial statements may not necessarily be indicative of annual results.

New Accounting Pronouncements and Policies	6 Months Ended
New Accounting Pronouncements and Policies	Dec. 31, 2024
Accounting Policies [Abstract]
New Accounting Pronouncements and Policies	New Accounting Pronouncements and Policies In November 2023, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2023-07, “Segment Reporting: Improvements to Reportable Segment Disclosures.” This guidance requires disclosure of incremental segment information on an annual and interim basis. This amendment is effective for our fiscal year ending June 30, 2025 and our interim periods within the fiscal year ending June 30, 2026. The guidance will require additional disclosures in the Segment Information footnote, but will not have a material impact on our Consolidated Financial Statements. In December 2023, the FASB issued ASU No. 2023-09, “Income Taxes: Improvements to Income Tax Disclosures.” This guidance requires consistent categories and greater disaggregation of information in the rate reconciliation and disclosures of income taxes paid by jurisdiction. This amendment is effective for our fiscal year ending June 30, 2026. We are currently assessing the impact of this guidance on our disclosures. In November 2024, the FASB issued ASU No. 2024-03, “Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures: Disaggregation of Income Statement Expenses”. This guidance requires disclosures about significant expense categories, including but not limited to, inventory purchases, employee compensation, depreciation, amortization, and selling expenses. This amendment is effective for our fiscal year ending June 30, 2028 and our interim periods within the fiscal year ending June 30, 2029. We are currently assessing the impact of this guidance on our disclosures. No other new accounting pronouncement issued or effective during the fiscal year had, or is expected to have, a material impact on our Consolidated Financial Statements.

Segment Information

6 Months Ended

Dec. 31, 2024

Segment Reporting [Abstract]

Segment Information

•Beauty: Hair Care (Conditioners, Shampoos, Styling Aids, Treatments); Personal Care (Antiperspirants and Deodorants, Personal Cleansing); Skin Care (Facial Moisturizers, Cleaners and Treatments);

•Grooming: Grooming (Appliances, Female Blades & Razors, Male Blades & Razors, Pre- and Post-Shave Products, Other Grooming);

•Fabric & Home Care: Fabric Care (Fabric Enhancers, Laundry Additives, Laundry Detergents); Home Care (Air Care, Dish Care, P&G Professional, Surface Care); and

•Baby, Feminine & Family Care: Baby Care (Baby Wipes, Taped Diapers and Pants); Feminine Care (Adult Incontinence, Menstrual Care); Family Care (Paper Towels, Tissues, Toilet Paper).

Operating segments as a percentage of consolidated net sales are as follows:


	% of Net sales by operating segment (1)
	Three Months Ended December 31				Six Months Ended December 31
	2024		2023		2024		2023
Fabric Care	23	%	23	%	23	%	23	%
Home Care	12	%	12	%	12	%	12	%
Baby Care	9	%	9	%	9	%	10	%
Family Care	9	%	9	%	9	%	8	%
Hair Care	9	%	9	%	9	%	9	%
Grooming	8	%	8	%	8	%	8	%
Oral Care	9	%	9	%	8	%	8	%
Personal Health Care	6	%	6	%	7	%	7	%
Feminine Care	6	%	6	%	6	%	6	%
Personal Care (2)	5	%	5	%	6	%	5	%
Skin Care (2)	4	%	4	%	3	%	4	%
Total	100	%	100	%	100	%	100	%

(1)% of Net sales by operating segment excludes sales recorded in Corporate.

The following is a summary of reportable segment results:


		Three Months Ended December 31						Six Months Ended December 31
		Net Sales		Earnings/(Loss) Before Income Taxes		Net Earnings/(Loss)		Net Sales		Earnings/(Loss) Before Income Taxes		Net Earnings/(Loss)
Beauty	2024	$	3,848	$	996	$	780	$	7,741	$	2,063	$	1,620
	2023	3,849		1,112		868		7,946		2,361		1,839
Grooming	2024	1,752		568		459		3,475		1,090		885
	2023	1,734		538		440		3,458		1,071		862
Health Care	2024	3,249		974		758		6,397		1,928		1,499
	2023	3,172		932		719		6,245		1,821		1,408
Fabric & Home Care	2024	7,575		1,989		1,567		15,285		4,066		3,188
	2023	7,415		2,018		1,577		15,061		4,049		3,146
Baby, Feminine & Family Care	2024	5,298		1,464		1,119		10,400		2,847		2,185
	2023	5,146		1,437		1,102		10,332		2,845		2,177
Corporate	2024	159		(146)		(24)		322		(1,009)		(731)
	2023	126		(1,541)		(1,214)		270		(1,849)		(1,383)
Total Company	2024	$	21,882	$	5,845	$	4,659	$	43,619	$	10,985	$	8,646
	2023	21,441		4,496		3,493		43,312		10,299		8,049

Goodwill and Intangible Assets

6 Months Ended

Dec. 31, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets

Goodwill is allocated by reportable segment as follows:


	Beauty		Grooming		Health Care		Fabric & Home Care		Baby, Feminine & Family Care		Total Company
Goodwill at June 30, 2024	$	13,723	$	12,633	$	7,638	$	1,810	$	4,499	$	40,303
Acquisitions and divestitures	—		—		—		—		—		—
Translation and other	(139)		(104)		(107)		(11)		(44)		(405)
Goodwill at December 31, 2024	$	13,584	$	12,529	$	7,531	$	1,799	$	4,456	$	39,898

Goodwill decreased from June 30, 2024, primarily due to currency translation.

Identifiable intangible assets at December 31, 2024, were comprised of:


	Gross Carrying Amount		Accumulated Amortization
Intangible assets with determinable lives	$	8,965	$	(6,684)
Intangible assets with indefinite lives	19,552		—
Total identifiable intangible assets	$	28,517	$	(6,684)


	Approximate Percent Change in Estimated Fair Value
	+25 bps Discount Rate		-25 bps Growth Rates		-50 bps Royalty Rate
Gillette indefinite-lived intangible asset	(5)	%	(5)	%	(4)	%

Earnings Per Share

6 Months Ended

Dec. 31, 2024

Earnings Per Share [Abstract]

Earnings Per Share

Net earnings per common share were calculated as follows:


CONSOLIDATED AMOUNTS	Three Months Ended December 31				Six Months Ended December 31
	2024		2023		2024		2023
Net earnings	$	4,659	$	3,493	$	8,646	$	8,049
Less: Net earnings attributable to noncontrolling interests	29		25		56		60
Net earnings attributable to P&G	4,630		3,468		8,589		7,988
Less: Preferred dividends	72		70		144		140
Net earnings attributable to P&G available to common shareholders (Basic)	$	4,558	$	3,398	$	8,445	$	7,849

SHARES IN MILLIONS
Basic weighted average common shares outstanding	2,351.9		2,358.0		2,354.1		2,359.0
Add effect of dilutive securities:
Convertible preferred shares (1)	71.3		73.9		71.6		74.3
Stock options and other unvested equity awards (2)	34.9		36.4		36.4		38.5
Diluted weighted average common shares outstanding	2,458.1		2,468.4		2,462.1		2,471.8

NET EARNINGS PER COMMON SHARE
Basic	$	1.94	$	1.44	$	3.59	$	3.33
Diluted	$	1.88	$	1.40	$	3.49	$	3.23

(1)An overview of preferred shares can be found in our Annual Report on Form 10-K for the fiscal year ended June 30, 2024.

Share-Based Compensation and Postretirement Benefits

6 Months Ended

Dec. 31, 2024

Retirement Benefits [Abstract]

Share-Based Compensation and Postretirement Benefits

The following table provides a summary of our share-based compensation expense and postretirement benefit impacts:


	Three Months Ended December 31				Six Months Ended December 31
	2024		2023		2024		2023
Share-based compensation expense	$	136	$	150	$	241	$	275
Net periodic benefit cost for pension benefits	26		52		63		109
Net periodic benefit (credit) for other retiree benefits	(180)		(156)		(360)		(311)

Risk Management Activities and Fair Value Measurements

6 Months Ended

Dec. 31, 2024

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Risk Management Activities and Fair Value Measurements

Disclosures about Financial Instruments

The notional amounts and fair values of financial instruments used in hedging transactions as of December 31, 2024 and June 30, 2024, are as follows:


	Notional Amount				Fair Value Asset				Fair Value (Liability)
	December 31, 2024		June 30, 2024		December 31, 2024		June 30, 2024		December 31, 2024		June 30, 2024
DERIVATIVES IN FAIR VALUE HEDGING RELATIONSHIPS
Interest rate contracts	$	2,914	$	2,993	$	—	$	—	$	(215)	$	(325)
DERIVATIVES IN NET INVESTMENT HEDGING RELATIONSHIPS
Foreign currency interest rate contracts	$	13,054	$	10,140	$	545	$	119	$	—	$	(31)
TOTAL DERIVATIVES DESIGNATED AS HEDGING INSTRUMENTS	$	15,968	$	13,133	$	545	$	119	$	(215)	$	(356)

DERIVATIVES NOT DESIGNATED AS HEDGING INSTRUMENTS
Foreign currency contracts	$	3,359	$	3,192	$	1	$	1	$	(40)	$	(23)

TOTAL DERIVATIVES AT FAIR VALUE	$	19,326	$	16,325	$	546	$	120	$	(255)	$	(379)

December 31, 2024 and June 30, 2024, respectively. The Company has not been required to post collateral as a result of these contractual features.

Before tax gains and losses on our financial instruments in hedging relationships are categorized as follows:


	Amount of Gain/(Loss) Recognized in OCI on Derivatives
	Three Months Ended December 31				Six Months Ended December 31
	2024		2023		2024		2023
DERIVATIVES IN NET INVESTMENT HEDGING RELATIONSHIPS (1) (2)
Foreign currency interest rate contracts	$	857	$	(487)	$	356	$	(202)


	Amount of Gain/(Loss) Recognized in Earnings
	Three Months Ended December 31				Six Months Ended December 31
	2024		2023		2024		2023
DERIVATIVES IN FAIR VALUE HEDGING RELATIONSHIPS
Interest rate contracts	$	34	$	117	$	110	$	128
DERIVATIVES NOT DESIGNATED AS HEDGING INSTRUMENTS
Foreign currency contracts	$	(174)	$	128	$	(48)	$	57

Accumulated Other Comprehensive Income/(Loss)

6 Months Ended

Dec. 31, 2024

Equity [Abstract]

Accumulated Other Comprehensive Income/(Loss)

The table below presents the changes in Accumulated other comprehensive income/(loss) attributable to Procter & Gamble (AOCI), including the reclassifications out of AOCI by component:


	Investment Securities		Postretirement Benefit Plans		Foreign Currency Translation		Total AOCI
Balance at June 30, 2024, net of tax	$	10	$	613	$	(12,522)	$	(11,900)
Other comprehensive income/(loss), before tax:
OCI before reclassifications	1		38		(362)		(323)
Amounts reclassified to the Consolidated Statement of Earnings	—		(38)		752		714
Total other comprehensive income/(loss), before tax	1		—		390		391
Tax effect	—		3		(134)		(131)
Total other comprehensive income/(loss), net of tax	1		3		256		260
Less: OCI attributable to noncontrolling interests, net of tax	—		2		(5)		(3)
Balance at December 31, 2024, net of tax	$	11	$	614	$	(12,262)	$	(11,637)

The below provides additional details on amounts reclassified from AOCI into the Consolidated Statement of Earnings:

•Postretirement benefit plan amounts are reclassified from AOCI into Other non-operating income/(expense), net and included in the computation of net periodic postretirement costs.

Commitments and Contingencies	6 Months Ended
Commitments and Contingencies	Dec. 31, 2024
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Litigation We are subject, from time to time, to certain legal proceedings and claims arising out of our business, which cover a wide range of matters, including antitrust and trade regulation, product liability, advertising, contracts, environmental, patent and trademark matters, labor and employment matters and tax. While considerable uncertainty exists, in the opinion of management and our counsel, the ultimate resolution of the various lawsuits and claims will not materially affect our financial position, results of operations or cash flows. We are also subject to contingencies pursuant to environmental laws and regulations that in the future may require us to take action to correct the effects on the environment of prior manufacturing and waste disposal practices. Based on currently available information, we do not believe the ultimate resolution of environmental remediation will materially affect our financial position, results of operations or cash flows. Income Tax Uncertainties The Company is present in about 70 countries and over 150 taxable jurisdictions and, at any point in time, has 30–40 jurisdictional audits underway at various stages of completion. We evaluate our tax positions and establish liabilities for uncertain tax positions that may be challenged by local authorities and may not be fully sustained, despite our belief that the underlying tax positions are fully supportable. Uncertain tax positions are reviewed on an ongoing basis and are adjusted in light of changing facts and circumstances, including progress of tax audits, developments in case law and closing of statutes of limitations. Such adjustments are reflected in the tax provision as appropriate. We have tax years open ranging from 2010 and forward. We are generally not able to reliably estimate the timing and ultimate settlement amounts until the close of an audit. Based on information currently available, we do not anticipate over the next 12-month period any significant audit activity concluding related to uncertain tax positions for which we have existing accrued liabilities. Additional information on the Commitments and Contingencies of the Company can be found in our Annual Report on Form 10-K for the fiscal year ended June 30, 2024.

Supplier Finance Programs	6 Months Ended
Supplier Finance Programs	Dec. 31, 2024
Payables and Accruals [Abstract]
Supplier Finance Programs	Supplier Finance Programs The Company has an ongoing program to negotiate extended payment terms with its suppliers consistent with market practices. The Company also supports a Supply Chain Finance program (“SCF”) with several global financial institutions. Under SCF, the Company maintains an accounts payable system to facilitate participating suppliers' ability to sell receivables from the Company to a SCF bank. These participating suppliers negotiate their sales of receivables arrangements directly with the respective SCF bank. The Company is not party to those agreements, but the SCF banks allow the suppliers to utilize the Company’s creditworthiness in establishing credit spreads and associated costs. Under this model, this arrangement generally provides the suppliers with more favorable terms than they would be able to secure on their own. The Company has no economic interest in a supplier’s decision to sell a receivable. Once a qualifying supplier chooses to participate in SCF, the supplier selects which individual Company invoices to sell to the SCF bank. The Company’s obligations to its suppliers, including the amounts due and scheduled payment dates, are not impacted by the supplier’s decisions to finance amounts under these arrangements. The Company does not provide any form of guarantee under these financing arrangements. Our payment terms for suppliers under this program generally range from 60 to 180 days. All outstanding amounts related to suppliers participating in SCF are recorded within Accounts payable in our Consolidated Balance Sheets, and the associated payments are included in operating activities within our Consolidated Statements of Cash Flows. The amount due to suppliers participating in SCF and included in Accounts payable was approximately $5.6 billion as of December 31, 2024 and June 30, 2024.

Restructuring Program

6 Months Ended

Dec. 31, 2024

Restructuring and Related Activities [Abstract]

Restructuring Program

The following table presents restructuring activity for the six months ended December 31, 2024:


	Separation Costs		Asset-Related Costs		Other Costs		Total
RESERVE JUNE 30, 2024	$	133	$	—	$	32	$	166
Costs incurred for the three months ended September 30, 2024	16		30		839		886
Costs incurred for the three months ended December 31, 2024	25		9		14		47
Costs incurred for the six months ended December 31, 2024	41		39		853		933

Costs paid/settled for the six months ended December 31, 2024	(58)		(39)		(823)		(921)
RESERVE DECEMBER 31, 2024	$	115	$	—	$	62	$	178

Separation Costs

Employee separation costs relate to severance packages that are primarily voluntary and the amounts calculated are based on salary levels and past service periods.

Asset-Related Costs

Other Costs

Pay vs Performance Disclosure - USD ($) $ in Millions	3 Months Ended		6 Months Ended
Pay vs Performance Disclosure - USD ($) $ in Millions	Dec. 31, 2024	Dec. 31, 2023	Dec. 31, 2024	Dec. 31, 2023
Pay vs Performance Disclosure
Net Income (Loss) Attributable to Parent	$ 4,630	$ 3,468	$ 8,589	$ 7,988

Insider Trading Arrangements	3 Months Ended
Insider Trading Arrangements	Dec. 31, 2024
Trading Arrangements, by Individual
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false

New Accounting Pronouncements and Policies (Policies)	6 Months Ended
New Accounting Pronouncements and Policies (Policies)	Dec. 31, 2024
Accounting Policies [Abstract]
New Accounting Pronouncements and Policies	New Accounting Pronouncements and Policies In November 2023, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2023-07, “Segment Reporting: Improvements to Reportable Segment Disclosures.” This guidance requires disclosure of incremental segment information on an annual and interim basis. This amendment is effective for our fiscal year ending June 30, 2025 and our interim periods within the fiscal year ending June 30, 2026. The guidance will require additional disclosures in the Segment Information footnote, but will not have a material impact on our Consolidated Financial Statements. In December 2023, the FASB issued ASU No. 2023-09, “Income Taxes: Improvements to Income Tax Disclosures.” This guidance requires consistent categories and greater disaggregation of information in the rate reconciliation and disclosures of income taxes paid by jurisdiction. This amendment is effective for our fiscal year ending June 30, 2026. We are currently assessing the impact of this guidance on our disclosures. In November 2024, the FASB issued ASU No. 2024-03, “Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures: Disaggregation of Income Statement Expenses”. This guidance requires disclosures about significant expense categories, including but not limited to, inventory purchases, employee compensation, depreciation, amortization, and selling expenses. This amendment is effective for our fiscal year ending June 30, 2028 and our interim periods within the fiscal year ending June 30, 2029. We are currently assessing the impact of this guidance on our disclosures. No other new accounting pronouncement issued or effective during the fiscal year had, or is expected to have, a material impact on our Consolidated Financial Statements.

Segment Information (Tables)

6 Months Ended

Dec. 31, 2024

Segment Reporting [Abstract]

Schedule of Segment Reporting Information, by Segment

Operating segments as a percentage of consolidated net sales are as follows:


	% of Net sales by operating segment (1)
	Three Months Ended December 31				Six Months Ended December 31
	2024		2023		2024		2023
Fabric Care	23	%	23	%	23	%	23	%
Home Care	12	%	12	%	12	%	12	%
Baby Care	9	%	9	%	9	%	10	%
Family Care	9	%	9	%	9	%	8	%
Hair Care	9	%	9	%	9	%	9	%
Grooming	8	%	8	%	8	%	8	%
Oral Care	9	%	9	%	8	%	8	%
Personal Health Care	6	%	6	%	7	%	7	%
Feminine Care	6	%	6	%	6	%	6	%
Personal Care (2)	5	%	5	%	6	%	5	%
Skin Care (2)	4	%	4	%	3	%	4	%
Total	100	%	100	%	100	%	100	%

(1)% of Net sales by operating segment excludes sales recorded in Corporate.

Reconciliation of Revenue from Segments to Consolidated

The following is a summary of reportable segment results:


		Three Months Ended December 31						Six Months Ended December 31
		Net Sales		Earnings/(Loss) Before Income Taxes		Net Earnings/(Loss)		Net Sales		Earnings/(Loss) Before Income Taxes		Net Earnings/(Loss)
Beauty	2024	$	3,848	$	996	$	780	$	7,741	$	2,063	$	1,620
	2023	3,849		1,112		868		7,946		2,361		1,839
Grooming	2024	1,752		568		459		3,475		1,090		885
	2023	1,734		538		440		3,458		1,071		862
Health Care	2024	3,249		974		758		6,397		1,928		1,499
	2023	3,172		932		719		6,245		1,821		1,408
Fabric & Home Care	2024	7,575		1,989		1,567		15,285		4,066		3,188
	2023	7,415		2,018		1,577		15,061		4,049		3,146
Baby, Feminine & Family Care	2024	5,298		1,464		1,119		10,400		2,847		2,185
	2023	5,146		1,437		1,102		10,332		2,845		2,177
Corporate	2024	159		(146)		(24)		322		(1,009)		(731)
	2023	126		(1,541)		(1,214)		270		(1,849)		(1,383)
Total Company	2024	$	21,882	$	5,845	$	4,659	$	43,619	$	10,985	$	8,646
	2023	21,441		4,496		3,493		43,312		10,299		8,049

Goodwill and Intangible Assets (Tables)

6 Months Ended

Dec. 31, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Goodwill

Goodwill is allocated by reportable segment as follows:


	Beauty		Grooming		Health Care		Fabric & Home Care		Baby, Feminine & Family Care		Total Company
Goodwill at June 30, 2024	$	13,723	$	12,633	$	7,638	$	1,810	$	4,499	$	40,303
Acquisitions and divestitures	—		—		—		—		—		—
Translation and other	(139)		(104)		(107)		(11)		(44)		(405)
Goodwill at December 31, 2024	$	13,584	$	12,529	$	7,531	$	1,799	$	4,456	$	39,898

Schedule of Finite-Lived Intangible Assets

Identifiable intangible assets at December 31, 2024, were comprised of:


	Gross Carrying Amount		Accumulated Amortization
Intangible assets with determinable lives	$	8,965	$	(6,684)
Intangible assets with indefinite lives	19,552		—
Total identifiable intangible assets	$	28,517	$	(6,684)

Schedule of Indefinite-Lived Intangible Assets

Identifiable intangible assets at December 31, 2024, were comprised of:


	Gross Carrying Amount		Accumulated Amortization
Intangible assets with determinable lives	$	8,965	$	(6,684)
Intangible assets with indefinite lives	19,552		—
Total identifiable intangible assets	$	28,517	$	(6,684)

Schedule of Potential Impacts to Estimated Fair Values

The table below provides, in isolation, the estimated fair value impacts related to a 25 basis-point increase in the discount rate, a 25 basis-point decrease in our short-term and residual growth rates or a 50 basis-point decrease in our royalty rate.


	Approximate Percent Change in Estimated Fair Value
	+25 bps Discount Rate		-25 bps Growth Rates		-50 bps Royalty Rate
Gillette indefinite-lived intangible asset	(5)	%	(5)	%	(4)	%

Earnings Per Share (Tables)

6 Months Ended

Dec. 31, 2024

Earnings Per Share [Abstract]

Schedule of Earnings Per Share, Basic and Diluted

Net earnings per common share were calculated as follows:


CONSOLIDATED AMOUNTS	Three Months Ended December 31				Six Months Ended December 31
	2024		2023		2024		2023
Net earnings	$	4,659	$	3,493	$	8,646	$	8,049
Less: Net earnings attributable to noncontrolling interests	29		25		56		60
Net earnings attributable to P&G	4,630		3,468		8,589		7,988
Less: Preferred dividends	72		70		144		140
Net earnings attributable to P&G available to common shareholders (Basic)	$	4,558	$	3,398	$	8,445	$	7,849

SHARES IN MILLIONS
Basic weighted average common shares outstanding	2,351.9		2,358.0		2,354.1		2,359.0
Add effect of dilutive securities:
Convertible preferred shares (1)	71.3		73.9		71.6		74.3
Stock options and other unvested equity awards (2)	34.9		36.4		36.4		38.5
Diluted weighted average common shares outstanding	2,458.1		2,468.4		2,462.1		2,471.8

NET EARNINGS PER COMMON SHARE
Basic	$	1.94	$	1.44	$	3.59	$	3.33
Diluted	$	1.88	$	1.40	$	3.49	$	3.23

(1)An overview of preferred shares can be found in our Annual Report on Form 10-K for the fiscal year ended June 30, 2024.

Share-Based Compensation and Postretirement Benefits (Tables)

6 Months Ended

Dec. 31, 2024

Retirement Benefits [Abstract]

Compensation and Employee Benefit Plans

The following table provides a summary of our share-based compensation expense and postretirement benefit impacts:


	Three Months Ended December 31				Six Months Ended December 31
	2024		2023		2024		2023
Share-based compensation expense	$	136	$	150	$	241	$	275
Net periodic benefit cost for pension benefits	26		52		63		109
Net periodic benefit (credit) for other retiree benefits	(180)		(156)		(360)		(311)

Risk Management Activities and Fair Value Measurements (Tables)

6 Months Ended

Dec. 31, 2024

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Derivative Instruments

The notional amounts and fair values of financial instruments used in hedging transactions as of December 31, 2024 and June 30, 2024, are as follows:


	Notional Amount				Fair Value Asset				Fair Value (Liability)
	December 31, 2024		June 30, 2024		December 31, 2024		June 30, 2024		December 31, 2024		June 30, 2024
DERIVATIVES IN FAIR VALUE HEDGING RELATIONSHIPS
Interest rate contracts	$	2,914	$	2,993	$	—	$	—	$	(215)	$	(325)
DERIVATIVES IN NET INVESTMENT HEDGING RELATIONSHIPS
Foreign currency interest rate contracts	$	13,054	$	10,140	$	545	$	119	$	—	$	(31)
TOTAL DERIVATIVES DESIGNATED AS HEDGING INSTRUMENTS	$	15,968	$	13,133	$	545	$	119	$	(215)	$	(356)

DERIVATIVES NOT DESIGNATED AS HEDGING INSTRUMENTS
Foreign currency contracts	$	3,359	$	3,192	$	1	$	1	$	(40)	$	(23)

TOTAL DERIVATIVES AT FAIR VALUE	$	19,326	$	16,325	$	546	$	120	$	(255)	$	(379)

Schedule of Net Investment Hedges in Accumulated Other Comprehensive Income (Loss)

Before tax gains and losses on our financial instruments in hedging relationships are categorized as follows:


	Amount of Gain/(Loss) Recognized in OCI on Derivatives
	Three Months Ended December 31				Six Months Ended December 31
	2024		2023		2024		2023
DERIVATIVES IN NET INVESTMENT HEDGING RELATIONSHIPS (1) (2)
Foreign currency interest rate contracts	$	857	$	(487)	$	356	$	(202)

Derivative Instruments, Gain (Loss)


	Amount of Gain/(Loss) Recognized in Earnings
	Three Months Ended December 31				Six Months Ended December 31
	2024		2023		2024		2023
DERIVATIVES IN FAIR VALUE HEDGING RELATIONSHIPS
Interest rate contracts	$	34	$	117	$	110	$	128
DERIVATIVES NOT DESIGNATED AS HEDGING INSTRUMENTS
Foreign currency contracts	$	(174)	$	128	$	(48)	$	57

Accumulated Other Comprehensive Income/(Loss) (Tables)

6 Months Ended

Dec. 31, 2024

Equity [Abstract]

Schedule of Accumulated Other Comprehensive Income (Loss)

The table below presents the changes in Accumulated other comprehensive income/(loss) attributable to Procter & Gamble (AOCI), including the reclassifications out of AOCI by component:


	Investment Securities		Postretirement Benefit Plans		Foreign Currency Translation		Total AOCI
Balance at June 30, 2024, net of tax	$	10	$	613	$	(12,522)	$	(11,900)
Other comprehensive income/(loss), before tax:
OCI before reclassifications	1		38		(362)		(323)
Amounts reclassified to the Consolidated Statement of Earnings	—		(38)		752		714
Total other comprehensive income/(loss), before tax	1		—		390		391
Tax effect	—		3		(134)		(131)
Total other comprehensive income/(loss), net of tax	1		3		256		260
Less: OCI attributable to noncontrolling interests, net of tax	—		2		(5)		(3)
Balance at December 31, 2024, net of tax	$	11	$	614	$	(12,262)	$	(11,637)

Restructuring Program (Tables)

6 Months Ended

Dec. 31, 2024

Restructuring and Related Activities [Abstract]

Schedule of Restructuring Reserve by Type of Cost

The following table presents restructuring activity for the six months ended December 31, 2024:


	Separation Costs		Asset-Related Costs		Other Costs		Total
RESERVE JUNE 30, 2024	$	133	$	—	$	32	$	166
Costs incurred for the three months ended September 30, 2024	16		30		839		886
Costs incurred for the three months ended December 31, 2024	25		9		14		47
Costs incurred for the six months ended December 31, 2024	41		39		853		933

Costs paid/settled for the six months ended December 31, 2024	(58)		(39)		(823)		(921)
RESERVE DECEMBER 31, 2024	$	115	$	—	$	62	$	178

Segment Information - Additional Information (Details)	6 Months Ended
Segment Information - Additional Information (Details)	Dec. 31, 2024 segment
Segment Reporting [Abstract]
Number of reportable segments	5

Segment Information - Percent Of Sales By Business Unit (Details) - Revenue Benchmark - Product Concentration Risk - Operating Segments	3 Months Ended		6 Months Ended
	Dec. 31, 2024	Dec. 31, 2023	Dec. 31, 2024	Dec. 31, 2023
Segment Reporting Information [Line Items]
Concentration risk (in percent)	100.00%	100.00%	100.00%	100.00%
Fabric & Home Care \| Fabric Care
Segment Reporting Information [Line Items]
Concentration risk (in percent)	23.00%	23.00%	23.00%	23.00%
Fabric & Home Care \| Home Care
Segment Reporting Information [Line Items]
Concentration risk (in percent)	12.00%	12.00%	12.00%	12.00%
Baby, Feminine & Family Care \| Baby Care
Segment Reporting Information [Line Items]
Concentration risk (in percent)	9.00%	9.00%	9.00%	10.00%
Baby, Feminine & Family Care \| Family Care
Segment Reporting Information [Line Items]
Concentration risk (in percent)	9.00%	9.00%	9.00%	8.00%
Baby, Feminine & Family Care \| Feminine Care
Segment Reporting Information [Line Items]
Concentration risk (in percent)	6.00%	6.00%	6.00%	6.00%
Beauty \| Hair Care
Segment Reporting Information [Line Items]
Concentration risk (in percent)	9.00%	9.00%	9.00%	9.00%
Beauty \| Personal Care
Segment Reporting Information [Line Items]
Concentration risk (in percent)	5.00%	5.00%	6.00%	5.00%
Beauty \| Skin Care
Segment Reporting Information [Line Items]
Concentration risk (in percent)	4.00%	4.00%	3.00%	4.00%
Grooming \| Grooming
Segment Reporting Information [Line Items]
Concentration risk (in percent)	8.00%	8.00%	8.00%	8.00%
Health Care \| Oral Care
Segment Reporting Information [Line Items]
Concentration risk (in percent)	9.00%	9.00%	8.00%	8.00%
Health Care \| Personal Health Care
Segment Reporting Information [Line Items]
Concentration risk (in percent)	6.00%	6.00%	7.00%	7.00%

Segment Information - Global Segment Results (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2024	Dec. 31, 2023	Dec. 31, 2024	Dec. 31, 2023
Segment Reporting Information [Line Items]
Net Sales	$ 21,882	$ 21,441	$ 43,619	$ 43,312
Earnings/(Loss) Before Income Taxes	5,845	4,496	10,985	10,299
Net Earnings/(Loss)	4,659	3,493	8,646	8,049
Corporate
Segment Reporting Information [Line Items]
Net Sales	159	126	322	270
Earnings/(Loss) Before Income Taxes	(146)	(1,541)	(1,009)	(1,849)
Net Earnings/(Loss)	(24)	(1,214)	(731)	(1,383)
Beauty \| Operating Segments
Segment Reporting Information [Line Items]
Net Sales	3,848	3,849	7,741	7,946
Earnings/(Loss) Before Income Taxes	996	1,112	2,063	2,361
Net Earnings/(Loss)	780	868	1,620	1,839
Grooming \| Operating Segments
Segment Reporting Information [Line Items]
Net Sales	1,752	1,734	3,475	3,458
Earnings/(Loss) Before Income Taxes	568	538	1,090	1,071
Net Earnings/(Loss)	459	440	885	862
Health Care \| Operating Segments
Segment Reporting Information [Line Items]
Net Sales	3,249	3,172	6,397	6,245
Earnings/(Loss) Before Income Taxes	974	932	1,928	1,821
Net Earnings/(Loss)	758	719	1,499	1,408
Fabric & Home Care \| Operating Segments
Segment Reporting Information [Line Items]
Net Sales	7,575	7,415	15,285	15,061
Earnings/(Loss) Before Income Taxes	1,989	2,018	4,066	4,049
Net Earnings/(Loss)	1,567	1,577	3,188	3,146
Baby, Feminine & Family Care \| Operating Segments
Segment Reporting Information [Line Items]
Net Sales	5,298	5,146	10,400	10,332
Earnings/(Loss) Before Income Taxes	1,464	1,437	2,847	2,845
Net Earnings/(Loss)	$ 1,119	$ 1,102	$ 2,185	$ 2,177

Goodwill and Intangible Assets - Goodwill By Global Business Unit (Details) $ in Millions	6 Months Ended
	Dec. 31, 2024 USD ($)
Goodwill [Roll Forward]
Beginning balance	$ 40,303
Acquisitions and divestitures	0
Translation and other	(405)
Ending balance	39,898
Beauty
Goodwill [Roll Forward]
Beginning balance	13,723
Acquisitions and divestitures	0
Translation and other	(139)
Ending balance	13,584
Grooming
Goodwill [Roll Forward]
Beginning balance	12,633
Acquisitions and divestitures	0
Translation and other	(104)
Ending balance	12,529
Health Care
Goodwill [Roll Forward]
Beginning balance	7,638
Acquisitions and divestitures	0
Translation and other	(107)
Ending balance	7,531
Fabric & Home Care
Goodwill [Roll Forward]
Beginning balance	1,810
Acquisitions and divestitures	0
Translation and other	(11)
Ending balance	1,799
Baby, Feminine & Family Care
Goodwill [Roll Forward]
Beginning balance	4,499
Acquisitions and divestitures	0
Translation and other	(44)
Ending balance	$ 4,456

Goodwill and Intangible Assets - Intangible Assets (Details) $ in Millions	Dec. 31, 2024 USD ($)
Intangible assets with determinable lives
Gross Carrying Amount	$ 8,965
Accumulated Amortization	(6,684)
Intangible assets with indefinite lives
Gross Carrying Amount	19,552
Gross Carrying Amount	$ 28,517

Goodwill and Intangible Assets - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2024	Dec. 31, 2023	Dec. 31, 2024	Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Intangible asset amortization	$ 80	$ 84	$ 163	$ 171
Indefinite-Lived Intangible Assets [Line Items]
Indefinite-lived intangible asset	$ 19,552		$ 19,552
Percentage of fair value in excess of carrying value	10.00%		10.00%
Gillette
Indefinite-Lived Intangible Assets [Line Items]
Indefinite-lived intangible asset	$ 12,800		$ 12,800

Goodwill and Intangible Assets - Fair Value Impacts (Details) - Intangible Assets with Indefinite Lives - Gillette	Dec. 31, 2024
+25 bps Discount Rate
Indefinite-Lived Intangible Assets [Line Items]
Change in estimated fair value (in percent)	(0.05)
-25 bps Growth Rates
Indefinite-Lived Intangible Assets [Line Items]
Change in estimated fair value (in percent)	(0.05)
-50 bps Royalty Rate
Indefinite-Lived Intangible Assets [Line Items]
Change in estimated fair value (in percent)	(0.04)

Earnings Per Share (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions

3 Months Ended

6 Months Ended

Dec. 31, 2024

Dec. 31, 2023

Dec. 31, 2024

Dec. 31, 2023

CONSOLIDATED AMOUNTS

Net earnings

$ 4,659

$ 3,493

$ 8,646

$ 8,049

Less: Net earnings attributable to noncontrolling interests

NET EARNINGS ATTRIBUTABLE TO PROCTER & GAMBLE

4,630

3,468

8,589

7,988

Less: Preferred dividends

144

140

Net earnings attributable to P&G available to common shareholders (Basic)

$ 4,558

$ 3,398

$ 8,445

$ 7,849

SHARES IN MILLIONS

Basic weighted average common shares outstanding (in shares)

2,351.9

2,358.0

2,354.1

2,359.0

Add effect of dilutive securities:

Convertible preferred shares (in shares)

71.3

73.9

71.6

74.3

Stock options and other unvested equity awards (in shares)

34.9

36.4

38.5

Diluted weighted average common shares outstanding (in shares)

2,458.1

2,468.4

2,462.1

2,471.8

NET EARNINGS PER COMMON SHARE

Basic (in dollars per share)

^[1]

$ 1.94

$ 1.44

$ 3.59

$ 3.33

Diluted (in dollars per share)

^[1]

$ 1.88

$ 1.40

$ 3.49

$ 3.23

Stock options

Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]

Antidilutive securities (in shares)

8.0

9.0

4.0

5.0

[1]	Basic net earnings per common share and Diluted net earnings per common share are calculated on Net earnings attributable to Procter & Gamble.

Share-Based Compensation and Postretirement Benefits (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2024	Dec. 31, 2023	Dec. 31, 2024	Dec. 31, 2023
Retirement Benefits [Abstract]
Share-based compensation expense	$ 136	$ 150	$ 241	$ 275
Pension Benefits
Defined Benefit Plan Disclosure [Line Items]
Net periodic benefit cost (credit)	26	52	63	109
Other Retiree Benefits
Defined Benefit Plan Disclosure [Line Items]
Net periodic benefit cost (credit)	$ (180)	$ (156)	$ (360)	$ (311)

Risk Management Activities and Fair Value Measurements - Additional Information (Details) - USD ($) $ in Millions	Dec. 31, 2024	Jun. 30, 2024
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Cash equivalents	$ 8,700	$ 8,000
Fair value of long-term debt	27,300	27,700
Current portion of long-term debt instruments	$ 3,300	$ 3,800
Derivative Asset, Statement of Financial Position [Extensible Enumeration]	OTHER NONCURRENT ASSETS, Prepaid expenses and other current assets	OTHER NONCURRENT ASSETS, Prepaid expenses and other current assets
Derivative Liability, Statement of Financial Position [Extensible Enumeration]	Accrued and other liabilities, OTHER NONCURRENT LIABILITIES	Accrued and other liabilities, OTHER NONCURRENT LIABILITIES
Collateral already posted, aggregate fair value	$ 33	$ 307
Fair Value Hedging \| Underlying, Other
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Carrying amount of the underlying debt obligation	2,700	2,700
Net Investment Hedging \| Underlying, Other
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Carrying amount of the underlying debt obligation	$ 10,400	$ 11,900

Risk Management Activities and Fair Value Measurements - Notional Amounts And Fair Values Of Qualifying And Non-Qualifying Financial Instruments Used In Hedging Transactions (Details) - USD ($) $ in Millions	Dec. 31, 2024	Jun. 30, 2024
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Notional Amount	$ 19,326	$ 16,325
Fair Value Asset	546	120
Fair Value (Liability)	(255)	(379)
Designated as Hedging Instrument
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Notional Amount	15,968	13,133
Fair Value Asset	545	119
Fair Value (Liability)	(215)	(356)
Interest rate contracts \| Fair Value Hedging
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Notional Amount	2,914	2,993
Fair Value Asset	0	0
Fair Value (Liability)	(215)	(325)
Foreign currency interest rate contracts \| Not Designated as Hedging Instrument
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Notional Amount	3,359	3,192
Fair Value Asset	1	1
Fair Value (Liability)	(40)	(23)
Foreign currency interest rate contracts \| Net Investment Hedging
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Notional Amount	13,054	10,140
Fair Value Asset	545	119
Fair Value (Liability)	$ 0	$ (31)

Risk Management Activities and Fair Value Measurements - Gains And Losses On Derivatives In Net Investment Hedges Recognized in OCI (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2024	Dec. 31, 2023	Dec. 31, 2024	Dec. 31, 2023
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Amount of gain (loss) excluded from effectiveness testing, which was recognized in earnings	$ 57	$ 62	$ 107	$ 130
Gain/(loss) recognized in AOCI	825	(504)	215	(159)
Foreign currency interest rate contracts
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Amount of Gain/(Loss) Recognized in OCI on Derivatives	$ 857	$ (487)	$ 356	$ (202)

Risk Management Activities and Fair Value Measurements - Gains And Losses On Derivatives In Net Investment Hedges Recognized in Earnings (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2024	Dec. 31, 2023	Dec. 31, 2024	Dec. 31, 2023
Interest rate contracts \| Fair Value Hedging
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Amount of Gain/(Loss) Recognized in Earnings	$ 34	$ 117	$ 110	$ 128
Foreign currency interest rate contracts \| Not Designated as Hedging Instrument
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Amount of Gain/(Loss) Recognized in Earnings	$ (174)	$ 128	$ (48)	$ 57

Accumulated Other Comprehensive Income/(Loss) - Statement of AOCI (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2024	Dec. 31, 2023	Dec. 31, 2024	Dec. 31, 2023
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning balance	$ 52,141	$ 48,014	$ 50,559	$ 47,065
Other comprehensive income/(loss), before tax:
OCI before reclassifications			(323)
Amounts reclassified to the Consolidated Statement of Earnings			714
Total other comprehensive income/(loss), before tax			391
Tax effect			(131)
TOTAL OTHER COMPREHENSIVE INCOME/(LOSS), NET OF TAX	(747)	416	260	51
Less: OCI attributable to noncontrolling interests, net of tax			(3)
Ending balance	51,443	48,829	51,443	48,829
Accumulated Other Comprehensive Income/(Loss)
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning balance	(10,893)	(12,583)	(11,900)	(12,220)
Other comprehensive income/(loss), before tax:
TOTAL OTHER COMPREHENSIVE INCOME/(LOSS), NET OF TAX	(744)	416	263	53
Ending balance	(11,637)	$ (12,167)	(11,637)	$ (12,167)
Investment Securities
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning balance			10
Other comprehensive income/(loss), before tax:
OCI before reclassifications			1
Amounts reclassified to the Consolidated Statement of Earnings			0
Total other comprehensive income/(loss), before tax			1
Tax effect			0
TOTAL OTHER COMPREHENSIVE INCOME/(LOSS), NET OF TAX			1
Less: OCI attributable to noncontrolling interests, net of tax			0
Ending balance	11		11
Postretirement Benefit Plans
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning balance			613
Other comprehensive income/(loss), before tax:
OCI before reclassifications			38
Amounts reclassified to the Consolidated Statement of Earnings			(38)
Total other comprehensive income/(loss), before tax			0
Tax effect			3
TOTAL OTHER COMPREHENSIVE INCOME/(LOSS), NET OF TAX			3
Less: OCI attributable to noncontrolling interests, net of tax			2
Ending balance	614		614
Foreign Currency Translation
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward]
Beginning balance			(12,522)
Other comprehensive income/(loss), before tax:
OCI before reclassifications			(362)
Amounts reclassified to the Consolidated Statement of Earnings			752
Total other comprehensive income/(loss), before tax			390
Tax effect			(134)
TOTAL OTHER COMPREHENSIVE INCOME/(LOSS), NET OF TAX			256
Less: OCI attributable to noncontrolling interests, net of tax			(5)
Ending balance	$ (12,262)		$ (12,262)

Commitments and Contingencies (Details)	6 Months Ended
Commitments and Contingencies (Details)	Dec. 31, 2024 country audit taxable_jurisdiction
Loss Contingencies [Line Items]
Number of countries with on the ground operations \| country	70
Number of taxable jurisdictions \| taxable_jurisdiction	150
Minimum
Loss Contingencies [Line Items]
Number of audits underway	30
Maximum
Loss Contingencies [Line Items]
Number of audits underway	40

Supplier Finance Programs (Details) - USD ($) $ in Billions	Dec. 31, 2024	Jun. 30, 2024
Supplier Finance Program [Line Items]
Amount due to suppliers participating in SCF	$ 5.6	$ 5.6
Supplier Finance Program, Obligation, Statement of Financial Position [Extensible Enumeration]	Accounts payable	Accounts payable
Minimum
Supplier Finance Program [Line Items]
Payment terms for suppliers (in days)	60 days
Maximum
Supplier Finance Program [Line Items]
Payment terms for suppliers (in days)	180 days

Restructuring Program - Narrative (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended	12 Months Ended
	Dec. 31, 2024	Sep. 30, 2024	Dec. 31, 2024	Sep. 30, 2024
Restructuring Cost and Reserve [Line Items]
Foreign currency translation gain (loss)		$ (800)
Incremental restructuring charges incurred				$ 1,200
Restructuring charges	$ 47	$ 886	$ 933
Selling, General and Administrative Expenses
Restructuring Cost and Reserve [Line Items]
Restructuring charges	25		79
Cost of Sales
Restructuring Cost and Reserve [Line Items]
Restructuring charges	28		69
Other Non-operating Income (Expense)
Restructuring Cost and Reserve [Line Items]
Restructuring charges	(5)		785
Minimum
Restructuring Cost and Reserve [Line Items]
Historical restructuring costs, before tax	250		250
Maximum
Restructuring Cost and Reserve [Line Items]
Historical restructuring costs, before tax	$ 500		$ 500

Restructuring Program - Restructuring Activity (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Dec. 31, 2024	Sep. 30, 2024	Dec. 31, 2024
Restructuring Reserve [Roll Forward]
Beginning balance		$ 166	$ 166
Cost incurred	$ 47	886	933
Cost paid/settled			(921)
Ending balance	178		178
Separation Costs
Restructuring Reserve [Roll Forward]
Beginning balance		133	133
Cost incurred	25	16	41
Cost paid/settled			(58)
Ending balance	115		115
Asset-Related Costs
Restructuring Reserve [Roll Forward]
Beginning balance		0	0
Cost incurred	9	30	39
Cost paid/settled			(39)
Ending balance	0		0
Other Costs
Restructuring Reserve [Roll Forward]
Beginning balance		32	32
Cost incurred	14	$ 839	853
Cost paid/settled			(823)
Ending balance	$ 62		$ 62

Procter and Gamble (NYSE:PG)
Historical Stock Chart
From Dec 2024 to Jan 2025

Click Here for more Procter and Gamble Charts.

Procter and Gamble (NYSE:PG)
Historical Stock Chart
From Jan 2024 to Jan 2025

Market Data

News

Trading Tools

Markets

Discover

Hot Features

Follow Feed

Options Flow

Monitor

PG Procter and Gamble Co

Procter and Gamble Co News

Your Recent History

Company

Business

Popular

Get The App

Trending Now

Toplists

Market Data

News

Trading Tools

Markets

Discover

Hot Features

Follow Feed

Options Flow

Monitor

PG Procter and Gamble Co

Procter and Gamble Co News

Your Recent History

Company

Business

Popular

Get The App

Go Ad-Free