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Procter & Gamble: Taylor to replace CEO Lafley

On Tuesday, Procter & Gamble confirmed earlier reports that it will appoint David Taylor as its next chief executive officer to succeed A.G. Lafley effective Nov.1. The news was first reported by The Wall Street Journal on Monday, citing a source familiar with the matter. (Tweet This)

Taylor will transition from president of the company's global beauty, grooming and health-care division.

"David has a broad array of experience around the world, across our businesses and he delivers consistently," Lafley told CNBC on Tuesday.

Shares of P&G were down slightly in extended-hours trading after the announcement.

Read MoreP&G accepts Coty's $12.5B merger offer for some P&G brands

Taylor has been with the company since 1980. Most recently he has worked closely with Lafley on strengthening P&G's brand portfolio.

"I am honored to serve as P&G's CEO," Taylor said in a release. "I believe in the power of P&G people, brands, products and values. P&G is transforming to be a faster-growing, more profitable company. I am committed to the strategies, and look forward to leading the people of P&G to win with consumers, drive growth and create shareholder value."

A.G. Lafley and David Taylor
Source: P&G
A.G. Lafley and David Taylor

Lafley will remain as chairman to assist with the transition. He has been CEO of the company twice—from 2000 to 2009 and again beginning in 2013.

P&G—the world's largest maker of household products—has recently been hit by a stronger dollar's effect on sales abroad. Earlier this month it agreed to sell some of its beauty brands to Coty in a deal valued at about $12.5 billion.

Lafley said Taylor was a part of P&G's turnaround strategy "every step of the way." The company, which owns names such as Charmin, Crest and Gillette, has shifted its focus to 10 core businesses in an effort to boost revenue.

P&G is set to report quarterly earnings Thursday before the bell.

—CNBC's Jacob Pramuk contributed to this report.