New CEO at Procter & Gamble
October 22, 2021
Investors reacted positively after Proctor and Gamble’s Board of Trustees named Jon Moeller the organization’s new CEO. The share price jumped to an all-time high. Cincinnati Business Courier reporter Andy Brownfield asked our Jim Russell about Moeller’s handling of the well publicized 2017 proxy battle with activist investor Nelson Peltz (Moeller was then P&G’s CFO). Russel said Moeller struck him as transparent, no-nonsense, and didn’t try to hide behind financial speak like many numbers guys. “He let it be known that some of (Peltz’s) ideas were not new to the board and was actually complimentary about Trian (the hedge fund backing Peltz’s fight) as a change agent,” Russell said.
Bahl & Gaynor’s Russell expects that Moeller will continue building on the sales momentum of P&G’s most successful brands, which could include further acquisitions or divestitures, something that plays to Moeller’s background.
Acknowledging headwinds caused by inflation and the rising cost of raw materials, Russell says P&G is still battling the business wars from a position of strength. The company is the premier firm in the consumer product world and has earned that title.
“It’s now accepted on Wall Street that these guys are way more growth (driven) than they used to be. That’s an absolute home run of an accomplishment by not only Jon but (outgoing CEO) David Taylor’s team in general,” he said.
“That’s not an easy endeavor. That’s taking an aircraft carrier-sized company and accelerating the growth rate.”
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