Press release
Newell Brands Updates Outlook for Q3 and Full Year 2022
Anticipates Higher Impact from Retailer Inventory Rebalancing Taking Actions to Optimize Costs and Cash Flow ATLANTA--(BUSINESS WIRE)-- Newell Brands Inc.
About this update from Newell Brands Inc.
[{"type":"text","content":"\nAnticipates Higher Impact from Retailer Inventory Rebalancing\nTaking Actions to Optimize Costs and Cash Flow\n\n ATLANTA--(BUSINESS WIRE)--\nNewell Brands Inc. (NASDAQ: NWL) announced today updates to its outlook for Q3 and full year 2022, reflecting a more challenging than anticipated operating and consumer backdrop.\n\nRavi Saligram, Newell Brands CEO, said, “Although we remain enthusiastic about the back-to-school season and continue to see solid growth in the Commercial business, we have experienced a significantly greater than expected pullback in retailer orders and continued inflationary pressures on the consumer. As a result of these developments and our more cautious posture for the balance of the year, we are adjusting our expectations for the second half of 2022.”\n\nSaligram continued, “We are taking decisive actions to mitigate the impact of these challenges by further tightening our belt on cash and cost management and adjusting our supply plan. I am confident that our team can effectively navigate through the softer macroeconomic environment and address the near-term hurdles, while positioning the company to come out stronger.”\n\nIn order to strengthen its financial position, the company is accelerating its FUEL productivity efforts, closely managing discretionary and overhead spending, optimizing its advertising and promotion expenses, adjusting its demand forecast and supply plans, and taking additional actions to improve working capital.\n\nThe company updated its outlook for Q3 and full year 2022, as follows:\n\n\n\n \n\n\n\nPrevious Q3 2022 Outlook\n\n\n\nUpdated Q3 2022 Outlook\n\n\n\n\n\nNet Sales\n\n\n\n$2.39 to $2.50 billion\n\n\n\n$2.21 to $2.32 billion\n\n\n\n\n\nCore Sales\n\n\n\n1% to 5% decline\n\n\n\n8% to 12% decline\n\n\n\n\n\nNormalized Operating Margin\n\n\n\n10.7% to 11.0%\n\n\n\n8.7% to 9.4%\n\n\n\n\n\nNormalized EPS\n\n\n\n$0.50 to $0.54\n\n\n\n$0.46 to $0.51\n\n\n\n\n\n\n \n\n\n\nPrevious Full Year 2022 Outlook\n\n\n\nUpdated Full Year 2022 Outlook\n\n\n\n\n\nNet Sales\n\n\n\n$9.76 to $9.98 billion\n\n\n\n$9.37 to $9.58 billion\n\n\n\n\n\nCore Sales\n\n\n\nFlat to 2% growth\n\n\n\n2% to 4% decline\n\n\n\n\n\nNormalized Operating Margin\n\n\n\n11.2% to 11.4%\n\n\n\n10.0% to 10.5%\n\n\n\n\n\nNormalized EPS\n\n\n\n$1.79 to $1.86\n\n\n\n$1.56 to $1.70\n\n\n\n\nThe full year 2022 outlook for ...