[ad_1]
Colgate-Palmolive Co, the world's largest toothpaste manufacturer, announced weaker-than-expected sales on Friday, affected by the truckers' strike in Brazil and weak Latin American currencies.
Colgate which also manufactures the Speed Stick deodorant and Softsoap soap, dropped about 1% soon after the opening of Wall Street.
A strike in May by Brazilian truckers against a rising diesel prices drove the roads and caused shortages of food, gasoline and other commodities in the country's major cities. South America.
Latin American currencies also weakened in the midst of political uncertainties and the strength of the dollar.
Colgate's sales in Latin America, which account for nearly one-quarter of its total revenue, declined 7% to $ 933 million. "The second quarter was another challenge, with still low growth rates in many markets around the world and adverse exchange rate fluctuations," he said. Executive Chairman Ian Cook in a statement.
Large packaged goods companies have had problems growing their sales due to fierce price competition between retailers and buyers who are increasingly opting for new brands.
The industry was also shaken this year by the rise in raw material prices and transportation.
Source link
