Hill’s delivers double-digit revenue rise in Q2

Hill’s Pet Nutrition reported a 13% increase in revenue in Q2 2025 compared to the same period last year. This accounted for 22.9% of Colgate-Palmolive’s total net sales.

The subsidiary’s net sales grew 3.8% while its organic sales rose 2% year-over-year (YoY), driven by strength in Hill’s Prescription Diet. Operating profit rose significantly by 13% to $264 million (€228M). 

The acquisition of Prime100 in Australia, which closed on 30 April, contributed 1% to Hill’s reported volume growth.

For the first half of 2025, which ended on 30 June, Hill’s organic sales increased 2.5% compared to the same period last year. Sales also rose 2.6% YoY. Meanwhile, organic sales volume slipped 0.6%.

Yearly guidance 

For the full year 2025, Colgate-Palmolive expects net sales to be up low single digits versus 2024 and its gross margin to be “roughly” flat. The company expects organic sales growth at the lower end of its 2-4% range, given the weaker category growth in the first half.

Considering the finalized tariffs as of 31 July, the company‘s expected incremental tariff impact by all countries – particularly those announced by the United States and China – is approximately $75 million (€65M). 

“Versus our expectations in April, the lower expected tariff impacts are offset by higher raw and packaging material costs and the impact of lower projected category growth,” says the company.

“At current spot rates, foreign exchange is expected to be a flat to low-single-digit headwind to net sales growth, versus a low-single-digit headwind previously.”

In addition, the multinational American company says that its guidance continues to include the impact over the course of 2025 of the planned exit from private label pet sales.