"The company noted a 40-50 basis point gross margin impact in Latin America from formula changes and product replacement in Colgate Total variants, following consumer complaints about mouth irritation in Q3 2025. Noel R. Wallace stated, "Categories were slightly weaker in North America in Q3 2025," citing ongoing consumer sluggishness and increased couponing. India's organic sales declined by mid-single digits in Q3 2025, attributed to GST-driven price reductions and trade disruptions, with the company also noting sluggish urban demand."
"Year-over-year gross profit margin declined in Q3, "primarily driven by greater-than-anticipated raw materials inflation," along with negative impacts from lower fixed-cost leverage and tariffs, according to Stan J. Sutula III. Organic sales growth -- Management reported organic sales growth of approximately 1.2% year-to-date, and maintained guidance for full year 2025 organic sales growth in line with the year-to-date figure. Year-to-date gross margin stood at 60.1%, with company guidance indicating full year gross margin will be "roughly in line" with the year-to-date margin of 60.1%."
"Latin America organic growth -- The region posted 17% organic growth including a 150 basis point negative impact from Colgate Total formula change and replacement activity. Hill's Pet Nutrition -- Hill's Pet Nutrition delivered 2.5% organic growth excluding private label which declined 300 basis points due to the company's exit from that business segment. Advertising spending -- Year-to-date advertising spend is roughly in line with 2024's record level."
Organic sales growth was approximately 1.2% year-to-date, and full-year 2025 organic sales guidance was maintained in line with the year-to-date figure. Year-to-date gross margin stood at 60.1%, with full-year gross margin expected roughly in line and Q4 at about 60% plus or minus. Latin America posted 17% organic growth but experienced a 150 basis-point negative impact from Colgate Total formula change and replacement activity and a 40–50 basis-point gross margin hit related to mouth-irritation complaints. Q3 gross profit margin declined due to greater-than-anticipated raw-materials inflation, lower fixed-cost leverage, and tariffs. India's organic sales fell mid-single digits from GST-driven price cuts, trade disruptions, and sluggish urban demand. Hill's Pet Nutrition grew 2.5% organic excluding private label, while exit from private label reduced results by 300 basis points. Year-to-date advertising spend remained roughly in line with 2024's record level.
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