Procter & Gamble Co. (NYSE:PG)

The annual financial data reveals a generally stable trend in both total assets and adjusted total assets over the observed periods.

Total Assets

Total assets showed a slight decrease from US$120,700 million in 2020 to US$117,208 million in 2022, indicating a period of asset reduction. However, from 2022 onwards, there is a gradual increase reaching US$125,231 million by 2025. This pattern suggests a recovery or expansion phase following the initial decline, with total assets ultimately growing beyond the starting level.

Adjusted Total Assets

Adjusted total assets follow a similar pattern to total assets, decreasing from US$118,509 million in 2020 to US$115,596 million in 2022. Subsequently, adjusted total assets rise steadily to US$123,594 million in 2025. This consistency between total and adjusted measures indicates that the adjustments made do not significantly alter the overall asset trend and suggest an underlying stability or improvement in asset base quality or valuation.

Overall, the data suggests that the company experienced a minor contraction in asset base between 2020 and 2022, followed by a sustained period of growth through to 2025, potentially reflecting strategic investments, asset revaluation, or improved operational efficiency. The alignment between total and adjusted assets further supports the interpretation of asset robustness and effective management during the latter years.

The analysis of current liabilities over the examined periods reveals a fluctuating yet generally upward trending pattern. Initially, from June 30, 2020, to June 30, 2021, current liabilities experienced a slight increase, moving from 32,976 million US dollars to 33,132 million US dollars. This stability is maintained into June 30, 2022, with a marginal decrease to 33,081 million US dollars.

However, a more noticeable rise occurs by June 30, 2023, when current liabilities jump to 35,756 million US dollars, suggesting an increase in short-term obligations or operational liabilities during this period. The subsequent year, June 30, 2024, shows a reduction to 33,627 million US dollars, indicating a decrease in short-term liabilities, potentially reflecting improved working capital management or repayment of certain obligations. This reduction is followed by another increase in June 30, 2025, to 36,058 million US dollars, marking the highest value in the period reviewed.

The adjusted current liabilities follow a very similar trend as the reported current liabilities, with values closely tracking those of current liabilities across all periods. This close alignment indicates that the adjustments made to current liabilities result in minimal differences, suggesting consistency in reporting and possibly minor reconciliation adjustments.

Current Liabilities Trend

Exhibits slight fluctuations but an overall increase from approximately 32,976 million US dollars to 36,058 million US dollars over the six-year period.

Notable Changes

An increase in liabilities is most prominent between June 2022 and June 2023, while a decrease is observable between June 2023 and June 2024.

Adjusted Current Liabilities

Closely mirror the values and trends of reported current liabilities, with minimal variance suggesting consistent financial adjustments.

The financial data reveals the following trends concerning total and adjusted total liabilities over a six-year period ending June 30, 2025.

Total Liabilities

The total liabilities demonstrate a generally fluctuating trend without a clear directional pattern. Beginning at $73,822 million on June 30, 2020, total liabilities decreased slightly to $72,653 million in 2021 and further to $70,354 million in 2022. This downward movement was followed by a rebound to $73,764 million in 2023. Subsequently, total liabilities decreased again to $71,811 million in 2024 before increasing modestly to $72,946 million in 2025. Overall, the range of fluctuation remains within approximately $70 billion to $74 billion, indicating relative stability with short-term variations.

Adjusted Total Liabilities

Adjusted total liabilities follow a similar trajectory to total liabilities but consistently maintain lower values each year. Starting at $67,151 million in 2020, adjusted liabilities decreased to $66,222 million in 2021 and further to $63,398 million in 2022. This decline was followed by a rise to $67,112 million in 2023, a decline to $65,129 million in 2024, and an increase to $66,983 million in 2025. The adjusted figures appear to smooth some fluctuations observed in total liabilities but suggest a moderately stable liability base throughout the period.

Comparative Analysis and Insights

The proximity of total liabilities and adjusted total liabilities across all periods suggests that the adjustments made are relatively minor and consistent over time. The recurring pattern of decreases followed by increases every few years may imply cyclical financial activities, such as periodic debt repayments or new borrowings. The stability in both measures indicates controlled liability management, with liabilities maintained within a narrow range despite potential external pressures or business changes.

Shareholders’ equity attributable to Procter & Gamble

The shareholders’ equity showed relative stability between June 2020 and June 2023, fluctuating narrowly around the mid-46,000 million US$ mark. From June 2023 onward, a noticeable increase is observed, rising from 46,777 million US$ to 50,287 million US$ by June 2024, and further to 52,012 million US$ by June 2025. This upward trend indicates an improvement in the net asset base attributable to shareholders during the latter two years of the period analyzed.

Adjusted total shareholders’ equity

The adjusted total shareholders’ equity exhibited a similar pattern of stability in the initial years, with values hovering around 51,000 million US$. Between June 2020 and June 2023, slight fluctuations were noted but no significant trend was evident. Starting from June 2023, there is a clear positive trajectory, with equity increasing from 51,886 million US$ to 55,498 million US$ by June 2024, followed by a further rise to 56,610 million US$ in June 2025. This consistent growth suggests improved financial strength after adjustments, aligning with the rise in the unadjusted equity figures.

Overall Trends and Insights

Both metrics of shareholders' equity remained fairly constant during the first three years, implying steady financial conditions without major equity expansions or contractions. The beginning of the growth phase in 2023 suggests either enhanced profitability, capital injections, or asset revaluations contributing to the equity increase. The upward momentum sustaining through 2024 and 2025 points to strengthened shareholder value and potentially positive investor confidence. The adjusted total shareholders’ equity consistently exceeds the unadjusted figures, indicating the presence of positive adjustments enhancing the reported equity base. These patterns collectively reflect a period of consolidation followed by renewed growth in equity capital for the company.

Debt Trends

The total reported debt shows a fluctuating pattern over the periods. From June 2020 to June 2021, it declined from $34,720 million to $31,988 million, continuing a slight downward trend to $31,493 million in June 2022. However, it rose again to $34,607 million by June 2023, followed by a decrease to $32,460 million in June 2024, and then climbed back to $34,508 million in June 2025. This indicates periodic adjustments in debt levels with no consistent long-term increase or decrease.

Shareholders’ Equity

Shareholders’ equity attributable to the company displayed relatively stable values with minor fluctuations early in the period, starting at $46,521 million in June 2020 and remaining around $46,378 million to $46,589 million through June 2022. From June 2023 onward, equity increased steadily, reaching $46,777 million, then rising more significantly to $50,287 million in June 2024, and $52,012 million in June 2025. This trend reflects a strengthening equity base in recent years.

Total Capital

Total reported capital, the sum of debt and equity, mirrors the debt and equity movements. It declined slightly from $81,241 million in June 2020 to $78,366 million in June 2021 and further to $78,082 million in June 2022. Subsequently, it increased to $81,384 million in June 2023, $82,747 million in June 2024, and $86,520 million in June 2025, implying overall capital growth in the latter years.

Adjusted Debt

The pattern for adjusted total debt closely follows that of the reported debt, with minor value differences. It decreased from $35,611 million in June 2020 to $32,838 million in June 2021 and $32,293 million in June 2022. Then increased to $35,424 million in June 2023, dropped to $33,369 million in June 2024, and rose again to $35,464 million in June 2025. This adjusted measure confirms the fluctuations observed in the reported debt with similar volatility.

Adjusted Shareholders’ Equity

The adjusted equity figures show a stable pattern with gradual growth. Starting at $51,358 million in June 2020, it declined slightly to $50,871 million in June 2021 but increased thereafter to $52,198 million in June 2022. It then remained relatively steady around $51,886 million in June 2023 before increasing notably to $55,498 million in June 2024 and reaching $56,610 million in June 2025, indicating a strengthened adjusted equity position over time.

Adjusted Total Capital

Adjusted total capital remained relatively consistent with a downward shift early on, from $86,969 million in June 2020 to $83,709 million in June 2021. It then rebounded slightly to $84,491 million in June 2022 and continued growing to $87,310 million by June 2023, $88,867 million in June 2024, and $92,074 million in June 2025. The data suggest an overall increase in capital when accounting for adjustments, highlighting growth in the company's funding base.

The financial data exhibits a generally positive trajectory in key earnings metrics over the observed periods.

Net earnings attributable to Procter & Gamble (P&G)

The net earnings steadily increased from US$13,027 million in 2020 to US$15,974 million projected in 2025. This represents a compound increase over the six-year span, with minor fluctuations in growth rates between consecutive years. The rise from 2023 to 2024 is moderate, followed by a more pronounced increase projected into 2025, indicating potential strength in profitability or growth initiatives.

Adjusted net earnings

Adjusted net earnings demonstrated significant growth from US$11,250 million in 2020, peaking at US$16,329 million in 2021. Thereafter, a downward adjustment is observed through 2023, stabilizing and then ascending again by 2025 to US$15,985 million. The volatility between 2020 and 2023 may reflect adjustments for non-recurring items or operational factors affecting earnings consistency. From 2023 onwards, adjusted net earnings depict recovery and growth trends aligning more closely with net earnings.

Overall, both net and adjusted net earnings reflect a robust financial performance with growth expectations extending into the future. The adjusted net earnings’ fluctuations suggest periods of operational challenges or one-time impacts being normalized over time, leading to a more consistent earnings profile projected in the latest years.