Press release
Newell Brands Announces Second Quarter 2022 Results
Net Sales Decline 6.5%; Core Sales Growth 1.7% Net Sales In Line With Outlook; Operating Profit and EPS Ahead of Outlook Diluted EPS $0.49; Normalized
About this update from Newell Brands Inc.
[{"type":"text","content":"\nNet Sales Decline 6.5%; Core Sales Growth 1.7%\nNet Sales In Line With Outlook; Operating Profit and EPS Ahead of Outlook\nDiluted EPS $0.49; Normalized Diluted EPS $0.57\nUpdates Outlook for Full Year 2022\n\n ATLANTA--(BUSINESS WIRE)--\nNewell Brands (NASDAQ: NWL) today announced its second quarter 2022 financial results.\n\n\"We are pleased with Q2 results, which demonstrate the power of our portfolio and another quarter of terrific execution by our team in a difficult environment. Core sales increased 1.7 percent on top of a 25.4 percent comparison from the prior year, as Q2 was the eighth consecutive quarter of core sales growth for the company. Normalized operating margin improved 100 basis points versus last year, despite significant inflation,” said Ravi Saligram, Newell Brands CEO. “Over the past several years we've become a more agile, consumer- and customer-centric organization, and are confident we have the right strategies in place to navigate the softening macro backdrop, while building competitive advantage.\"\n\nChris Peterson, President and Chief Financial Officer, said, “We drove strong results in the second quarter, as we remained financially disciplined, and in July we successfully implemented the first wave of Project Ovid, a significant milestone in Newell's supply chain transformation journey. We are updating our full year 2022 outlook for foreign exchange, while maintaining our top and bottom line outlook on a constant currency basis.\"\n\nSecond Quarter 2022 Executive Summary\n\n\nNet sales were $2.5 billion, a 6.5 percent decline compared with the prior year period, including the year over year impact from the sale of the Connected Home & Security (CH&S) business at the end of the first quarter 2022.\n\n\nCore sales grew 1.7 percent compared with the prior year period, during which the company experienced elevated demand across many of its categories. Four of seven business units increased core sales compared with the prior year period.\n\n\nReported operating margin was 12.5 percent compared with 11.3 percent in the prior year period, as benefits from pricing, FUEL productivity savings and lower overhead costs more than offset a significant headwind from inflation, an increase in advertising and promotion expense as a percentage of sales and an unfavorable impact from foreign exchange. Normalized ope...