a
AlixPartners
AlixPartners is a results-driven global consulting firm dedicated to helping companies successfully address their most complex and critical challenges.
Across all consumer goods sectors, median company earnings are either declining quarter-over-quarter or growing at very low rates.
America
Consumer Protection
To print this article, simply register or log in to Mondaq.com.
Median corporate earnings declined or grew very slowly quarter-over-quarter across all consumer goods sectors. Yet, despite this headwind, top quartile companies in most sectors, except Apparel & Luxury and Health & Beauty, were able to post profit margin growth. The sector’s performance reflects recent spending weakness as consumers pull back on spending on housing, durable goods, and luxury items. High interest rates and persistently higher inflation have constrained the outlook for economic growth, leading consumers to shop for bargains and become more cautious about how they spend their money. As a result, companies are finding it more difficult to pass on price increases to consumers, increasing the risk of margin erosion. With sales growth headwinds looming, how can CPG companies strengthen and accelerate their productivity engines?
Download – Consumer Products Corner – Financial Health: Where Does the Economy Go From Here?
The content of this article is intended to provide a general guide on the subject matter. Professional advice should be sought regarding specific circumstances.
