COST OF PRODUCTS SOLD 10,905 9,519 15%
GROSS MARGIN 11,121 10,680 4%
SELLING, GENERAL & ADMINISTRATIVE
EXPENSE 6,436 6,262 3%
OPERATING INCOME 4,685 4,418 6%
TOTAL INTEREST EXPENSE 339 359
OTHER NON-OPERATING INCOME, NET 337 193
EARNINGS BEFORE INCOME TAXES 4,683 4,252 10%
INCOME TAXES 1,335 1,173
NET EARNINGS 3,348 3,079 9%
EFFECTIVE TAX RATE 28.5% 27.6%
PER COMMON SHARE:
BASIC NET EARNINGS $1.10 $0.97 13%
DILUTED NET EARNINGS $1.03 $0.92 12%
DIVIDENDS $0.40 $0.35 14%
AVERAGE DILUTED SHARES OUTSTANDING 3,239.5 3,354.2
Basis Pt
COMPARISONS AS A % OF NET SALES Chg
COST OF PRODUCTS SOLD 49.5% 47.1% 240
GROSS MARGIN 50.5% 52.9% (240)
SELLING, GENERAL & ADMINISTRATIVE
EXPENSE 29.2% 31.0% (180)
OPERATING MARGIN 21.3% 21.9% (60)
EARNINGS BEFORE INCOME TAXES 21.3% 21.1% 20
NET EARNINGS 15.2% 15.2% -
THE PROCTER & GAMBLE COMPANY AND SUBSIDIARIES
(Amounts in Millions)
Consolidated Earnin
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