Press release
Newell Brands Announces Second Quarter 2025 Results
Posts Eight Consecutive Quarters of Gross Margin Expansion of 100+ Basis Points Achieves Highest Gross Margin Rate in Four Years Updates Outlook for Full
About this update from Newell Brands Inc.
[{"type":"text","content":"\nPosts Eight Consecutive Quarters of Gross Margin Expansion of 100+ Basis Points\nAchieves Highest Gross Margin Rate in Four Years\nUpdates Outlook for Full Year 2025\n\n\n ATLANTA--(BUSINESS WIRE)--\nNewell Brands (NASDAQ: NWL) today announced its second quarter 2025 financial results.\n\n\nChris Peterson, Newell Brands President and Chief Executive Officer, said, \"As part of our journey to become a world class consumer products company, we took another important step forward by delivering net sales, core sales, normalized operating margin and normalized EPS all within the guidance ranges we provided last quarter. In a challenging macroeconomic environment, our team has demonstrated tremendous agility and our strategy gives us confidence that we are on the right track to continue to improve our rate of core sales growth, drive margin improvement and generate strong cash flow.\"\n\n\nMark Erceg, Newell Brands Chief Financial Officer said, \"Gross margin expanded by 100 basis points during the second quarter on a year-over-year basis, hitting 35.4%, which is the eighth quarter in a row where gross margin expanded by 100 basis points or more. In addition, we enhanced our financial flexibility by refinancing $1.25 billion of debt in an offering that was four-times oversubscribed which, we believe, is indicative of broad investor support behind Newell Brands' new corporate strategy, which has enhanced top-line performance, strengthened our balance sheet and fundamentally improved our structural economics.\"\n\n\nSecond Quarter 2025 Highlights\n\n\n\nNet sales were $1.9 billion, a decline of 4.8% compared with the prior year period. Core sales declined 4.4% compared with the prior year period.\n\n\n\nGross margin increased to 35.4% compared with 34.4% in the prior year period. Normalized gross margin increased to 35.6% compared with 34.8% in the prior year period.\n\n\n\nOperating margin improved to 8.8% compared with 8.0% in the prior year period. Normalized operating margin increased to 10.7% compared with 10.6% in the prior year period.\n\n\n\nNet income was $46 million compared with $45 million in the prior year period. Normalized net income was $101 million compared with $148 million in the prior year period.\n\n\n\nDiluted EPS was $0.11, unchanged from the prior year period. Normalized diluted EPS was $0.24 compared with $0.3...