Higher financing costs and lofty expectations from sellers are among the factors standing in the way, the CEO said Thursday at the company’s investor day. As a result, P&G isn’t planning to lean “more aggressively” into transactions.

“I expect the vast majority of our growth to be organic,” Moeller said.

P&G would only consider “any kind of substantive” acquisition in beauty and personal health care because of the company’s existing market share and increasing regulatory concerns, the CEO said. Those categories are more fragmented, meaning the consumer-goods giant doesn’t dominate the landscape. P&G recently snapped up brands such as Tula Skincare.

Cincinnati-based P&G whittled down its portfolio to about 65 brands from 170 in recent years as it focused on daily use categories in which consumers choose products based on effectiveness. Any transactions would follow the same mantra, Moeller said.

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