Company: CL
Filing Date: 2025-02-13
Form Type: 10-K
Source: 0000021665-25-000008
Chunk: 116

Company: COLGATE PALMOLIVE CO
Filing Date: 2025-02-13
Form: 10-K
Item: Item 7
Chunk 116
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 a percentage of Net sales. This increase in Operating profit as a percentage of Net sales was primarily due to an increase in Gross profit (370 bps), partially offset by an increase in Selling, general and administrative expense (230 bps), both as a percentage of Net sales. This increase in Gross profit was due to cost savings from the Company’s funding-the-growth initiatives (290 bps), higher pricing and favorable mix (70 bps), partially offset by higher raw and packaging material costs (100 bps). This increase in Selling, general and administrative expenses was primarily due to increased advertising investment (220 bps).

40

(Dollars in Millions Except Per Share Amounts)

Asia Pacific 20242023% ChangeNet sales$2,858 $2,782 2.7 %Operating profit$812 $767 6 %% of Net sales28.4 %27.6 %80 bps

Net sales in Asia Pacific increased 2.7% in 2024 to $2,858, driven by volume growth of 3.1% and net selling price increases of 1.0%, partially offset by negative foreign exchange of 1.3%. Organic sales in Asia Pacific increased 4.0% in 2024. Organic sales growth was led by India, the Philippines, Australia and the Greater China region.

The increase in organic sales in 2024 versus 2023 was primarily due to an increase in Oral Care organic sales. The increase in Oral Care was primarily due to organic sales growth in the toothpaste category.

Operating profit in Asia Pacific increased 6% in 2024 to $812, or 80 bps to 28.4% as a percentage of Net sales. This increase in Operating profit as a percentage of Net sales was due to an increase in Gross profit (210 bps) and a decrease in Other (income) expense, net (30 bps), partially offset by an increase in Selling, general and administrative expenses (160 bps), all as a percentage of Net sales. This increase in Gross profit was due to cost savings from the Company’s funding-the-growth initiatives (280 bps) and higher pricing, partially offset by higher raw and packaging material costs (110 bps). This increase in Selling, general and administrative expenses was due to increased advertising investment (160 bps). 

41

(Dollars in Millions Except Per Share Amounts)

Africa/Eurasia 20242023% ChangeNet sales