P&G scored higher organic sales in the most recent quarter due to premium products, including “Tide Pods,” an upgrade on the traditional detergent product shown here (JOE RAEDLE)

New York (AFP) – Procter & Gamble and Coca-Cola reported higher quarterly profits Tuesday, lifted by premium consumer items at Procter and new beverage offerings at Coca-Cola.

P&G, whose brands include Bounty paper towel and Crest toothpaste, reported profits of $2.7 billion in its fiscal third-quarter, up 9.3 percent from the year-ago period.

Revenues rose 1.1 percent to $16.5 billion.

P&G scored a solid five percent increase in “organic” sales, which strips out foreign exchange effects and divestitures. 

The company pointed to strength in higher-end cosmetics, toothpaste and detergent, among other items. This group of products includes “Tide Pods,” which combine a traditional detergent with stain removers and brighteners.

P&G typically boosts prices when it introduces premium products, lifting profits. However, Chief Financial Officer Jon Moeller said the company was also focusing on better basic-level products in shaving and baby care, which have been weak spots at P&G in the recent period.

“We’re doing very well at the high end, but we need to do better at the low end,” Moeller said on a conference call with reporters.

Coca-Cola, meanwhile, reported first-quarter profits of $1.7 billion, up 22.7 percent.

Revenues climbed 5.2 percent to $8.0 billion.

Sparkling beverage volumes grew one percent, boosted by an especially strong performance by the recently-revamped Coca-Cola Zero Sugar, a diet cola.

The soda giant also pointed to a successful launch of its Orange Vanilla Coke and Orange Vanilla Coke Zero Sugar.

Revenues got a small lift from Brexit because of additional sales in anticipation of a possible “hard” Brexit that was averted when the European Union granted Britain an extension to permit more time to negotiate the terms of its divorce.

“We’re encouraged by our first quarter results as our disciplined growth strategies continue to deliver strong underlying performance,” said Chief Executive James Quincey in a press release.

Shares of P&G fell 1.5 percent in pre-market trading to $104.48, while Coca-Cola rose 2.7 percent to $48.65.

Disclaimer: Validity of the above story is for 7 Days from original date of publishing. Source: AFP.