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P&G CFO: Strong dollar hits earnings, outlook

P&G misses on top and bottom line

Procter & Gamble CFO Jon Moeller told CNBC on Tuesday was the strong dollar the major factor in the company's disappointing earnings report.

P&G reported before the opening bell adjusted quarterly earnings of $1.06 a share, 7 cents below estimates. Revenue of $20.16 billion also fell short of expectations, down 4 percent versus the prior year, including a negative 5 percentage-point impact from foreign exchange.

"There were definitely challenges, and FX was the prime one," Moeller said in "Squawk Box " interview moments after the earnings were released. "We were able to accelerate and increase some savings work to offset part of that."

P&G said its outlook for the year will remain challenging, with foreign exchange reducing fiscal 2015 sales by 5 percent and net earnings by 12 percent, or at least $1.4 billion after tax.

P&G derives roughly two-thirds of its revenue outside the United States, and the stronger dollar proves difficult for multinational corporations.

On the positive side, "we returned $4 billion in cash to shareholders, " Moeller said. "We tighten our strategy by divesting some businesses. We increased our productivity and cost profile."