Colgate Palmolive : Twelve Months Ended December 31, 2021 and 2020

Table 9

	Colgate-Palmolive Company
	Non-GAAP Reconciliations
	For the Twelve Months Ended December 31, 2021 vs. 2020
	(Dollars in Millions Except Per Share Amounts) (Unaudited)
Gross Profit			2021			2020
Gross profit, GAAP	$	10,375	$	10,017
Acquisition-related costs			-			4
Gross profit, non-GAAP	$	10,375	$	10,021

Selling, General and Administrative Expenses		2021			2020
Selling, general and administrative expenses, GAAP	$	6,407	$	6,019
Global Growth and Efficiency Program		-			3
Selling, general and administrative expenses, non-GAAP	$	6,407	$	6,022

					Basis Point
Selling, General and Administrative Expenses as a Percentage of Net Sales	2021		2020		Change
Selling, general and administrative expenses as a percentage of Net sales, GAAP	36.8 %	36.5 %	30
Global Growth and Efficiency Program	- %		0.1 %
Selling, general and administrative expenses as a percentage of Net sales, non-GAAP	36.8 %	36.6 %	20

Other (Income) Expense, Net		2021			2020
Other (income) expense, net, GAAP	$	65	$	113
Global Growth and Efficiency Program		-			13
Acquisition-related costs		-			(2)
Value-added tax matter in Brazil		26			-
Other (income) expense, net, non-GAAP	$	91	$	124

Operating Profit		2021			2020		% Change
Operating profit, GAAP	$	3,332	$	3,885	(14)%
Global Growth and Efficiency Program		-			(16)
Acquisition-related costs		-			6
Value-added tax matter in Brazil		(26)			-
Goodwill and indefinite-lived intangible impairment charges		571			-
Operating profit, non-GAAP	$	3,877	$	3,875		- %

	2021		2020		Basis Point
Operating Profit Margin		Change
Operating profit margin, GAAP	19.1 %	23.6 %	(450)
Global Growth and Efficiency Program	- %	(0.1)%
Value-added tax matter in Brazil	(0.2)%		- %
Goodwill and indefinite-lived intangible impairment charges	3.4 %		- %
Operating profit margin, non-GAAP	22.3 %	23.5 %	(120)

Interest (Income) Expense, Net		2021			2020
Interest (income) expense, GAAP	$	175	$	164
Losses on early extinguishment of debt		(75)			(23)
Interest (income) expense, non-GAAP	$	100	$	141

Table 9

Continued

Colgate-Palmolive Company

Non-GAAP Reconciliations

For the Twelve Months Ended December 31, 2021 vs. 2020

(Dollars in Millions Except Per Share Amounts) (Unaudited)

2021

		Net Income	Net Income	Effective	Diluted
Income Before	Provision For	Including	Attributable To
Noncontrolling	Colgate-Palmolive	Income	Earnings
Income Taxes	Income Taxes(1)	Interests	Company	Tax Rate(2)	Per Share

As Reported GAAP	$
Goodwill and indefinite-lived
intangible impairment charges
Loss on early extinguishment of
debt
Value-added tax matter in Brazil
Non-GAAP	$

3,087	$	749	$	2,338	$	2,166	24.3 %	$	2.55
571		53			518			518	(2.1)%			0.61
75		20			55			55	(0.3)%			0.07
(26)		(6)			(20)			(20)	0.1 %			(0.02)
3,707	$	816	$	2,891	$	2,719	22.0 %	$	3.21

								2020
								Net Income			Net Income		Effective			Diluted
		Income Before			Provision For			Including			Attributable To
					Noncontrolling		Colgate-Palmolive		Income			Earnings
		Income Taxes		Income Taxes(1)			Interests			Company		Tax Rate(2)			Per Share
As Reported GAAP	$	3,647	$	787	$	2,860	$	2,695	21.6 %	$	3.14
Global Growth and Efficiency
Program		(16)			(3)			(13)			(13)		- %			(0.02)
Subsidiary and operating		-			71			(71)			(71)	2.0 %			(0.08)
structure initiatives
Acquisition-related costs		6			2			4			4		- %			-
Loss on early extinguishment of		23			5			18			18		- %			0.02
debt
Non-GAAP	$	3,660	$	862	$	2,798	$	2,633	23.6 %	$	3.06

The impact of non-GAAP adjustments may not necessarily equal the difference between "GAAP" and "non-GAAP" as a result of rounding.

Notes:

1. The income tax effect on non-GAAP items is calculated based upon the tax laws and statutory income tax rates applicable in the tax jurisdiction(s) of the underlying non-GAAP adjustment.
2. The impact of non-GAAP items on the Company's effective tax rate represents the difference in the effective tax rate calculated with and without the non- GAAP adjustment on Income before income taxes and Provision for income taxes.