Colgate weighs $1B personal care brand sale

Colgate-Palmolive is exploring the potential sale of several mass-market personal care brands, including Softsoap, Irish Spring, and Speed Stick, according to a Reuters report from September 11. The company is working with Goldman Sachs on the review, which could generate more than $1 billion.

The potential divestment aims to streamline operations and free up resources for higher-margin divisions. In the second quarter of 2026, Colgate posted net sales of $5,361 million, a 4.9% increase, alongside 2.4% organic sales growth. Operating cash flow reached $1,742 million during the first six months of the year, while gross margin expanded by 140 basis points to 61.5%.

Proceeds from any asset sales would help pay down debt and redirect investment into faster-growing areas. Hill's Pet Nutrition posted $1.18 billion in second-quarter net sales, representing 22% of total sales. International markets also outperformed, with Latin America delivering a 13.7% jump in net sales and 5.3% organic growth.

The shift away from mature lines comes as North American mass personal care faces headwinds. Second-quarter net sales in North America dropped 3.0%, with volumes falling 3.9%. Lower private-label pet food sales also created a 0.4% drag on overall organic growth.