Colgate-Palmolive Co.'s second-quarter net income rose more than 7 percent as the consumer products maker kept selling more of its Palmolive dishwashing liquid, Ajax cleanser and Colgate toothpaste, according to AP. However, Colgate is being hurt more than it expected by the devaluation of Venezuela's currency and said it will drag down full-year earnings more than expected. Shares fell in premarket trading. The world's largest toothpaste maker has maintained sales of its name-brand products even as shoppers traded down in the weak economy. It is also expanding in developing markets including South America and boosting advertising to keep people spending. Colgate, based in New York, said Thursday that it earned $603 million, or $1.17 per share, in the three months ending in late June. That's up from $562 million, or $1.07 per share, in the same quarter last year. Revenue rose almost 2 percent to $3.81 billion, up from $3.75 billion last year. Analysts surveyed by Thomson Reuters expected the New York company to earn $1.16 per share on revenue of $3.94 billion. Volume among the company's line of products held up well in the quarter, climbing 3 percent around the world. The outlier again was Hill's pet food division, which accounts for 13 percent of company sales. There, volume fell 4 percent. Pricing held up well, too, alleviating a major concern for investors. Some companies have been cutting prices and running promotions to keep people buying, but that means profit margins shrink. But Colgate said pricing climbed half a percent during the quarter around the globe. «Overall, we are very pleased to have delivered solid results this quarter, despite heightened competitive activity and difficult economic conditions around the world,» Chairman, President and CEO Ian Cook said in a statement. Also Thursday, Colgate-Palmolive said the devalued Venezuelan currency would likely be a bigger drag on full-year results than previously expected. The company now expects that country's currency devaluation would drag down full-year profit by 10 cents per share to 15 cents per share. It had previously expected profit to be reduced between 6 cents per share and 10 cents per share. Colgate shares fell $2.87, or 3.4 percent, to $80.99 in premarket trading Thursday. Shares closed Wednesday at $83.86.
