Acco Brands Corporation · NYSE:ACCO
Acco Brands — Q2 2025 Earnings Presentation
29 slides from Acco Brands's earnings presentation, Aug 1, 2025
Slide 1: ACCO Brands Q2 2025 Earnings Conference Call
ACCO BRANDS Q2 2025 EARNINGS CONFERENCE CALL EARNINGS CALL / AUGUST 1, 2025
Slide 2: Forward-Looking Statements
Forward-Looking Statements Statements contained herein, other than statements of historical fact, particularly those anticipating future financial performance, business prospects, growth, strategies, business operations and similar matters, results of operations, liquidity and financial condition, a
Slide 3: Reg. G Non-GAAP Financial Measures
Reg. G Non-GAAP Financial Measures An explanation of how we calculate each of our Non-GAAP financial measures and a reconciliation of our current period and historical non-GAAP financial measures to the most directly comparable GAAP financial measures can be found at the end of this presentation. We
Slide 4: 2Q 2025 Highlights
2Q 2025 Highlights • Sales and EPS in line with the Company outlook • North America sales were impacted in April due to tariff announcements, with trends improving in both May and June • Initial back-to-school sales impacted by tariff-related actions by retailers, which includes the pull forward of
Slide 5: Tariff Commentary
Tariff Commentary • Well positioned to manage tariff impacts o China plus one approach has enabled quick moves to supply partners globally o Strategic management of supplier base has allowed ACCO Brands to respond appropriately to the evolving tariff landscape o Well positioned with pre-tariff inven
Slide 6: PowerA Supports Nintendo Switch 2 Launch
PowerA Supports Nintendo Switch 2 Launch ▪ PowerA was one of a select few of third-party manufacturers to be officially licensed for the Nintendo Switch 2 at launch ▪ Initial product offerings at launch included controllers, protective cases and screen protectors and exclusive IP designed accessorie
Slide 7: New Product Spotlight
New Product Spotlight Kensington Thunderbolt 5 Docking Station Leitz Ergo Sit Stand Foldable Desk Rapid Work Lights Offering ultra-fast charging, pro-level display support and Expanding ergonomics product portfolio Supporting DIYers in the work lights category in Europe dedicated functionality to su
Slide 8: Multi-Year Cost Reduction Program
Multi-Year Cost Reduction Program Total Program Targeting At Least $100M in Cost Savings • Total savings of over $40 million since inception of the program • Achieved over $8 million in savings in Q2 2025, on track to deliver $40 million in pre-tariff savings in 2025 o Combination of lower headcount
Slide 9: Financial Results 2Q 2025
Financial Results 2Q 2025 3 Months Ended 6 Months Ended 2Q 2025 Commentary 2025 2024 % Chg 2025 2024 % Chg $ in millions • Comparable sales down 10.5%, Net Sales $394.8 $438.3 (9.9%) $712.2 $797.2 (10.7%) o Favorable foreign exchange benefited sales by less than 1% Gross Profit $129.7 $152.6 (15.0%)
Slide 10: 2Q Segment Financial Metrics
2Q Segment Financial Metrics Segment Commentary 2Q 2025 2Q 2024 Y/Y Change $ in millions Americas Commentary ACCO Brands Americas • Tariff announcements disrupted North America sales • Weak economies in Latin America challenged sales Sales $248.5 $292.3 (15.0%) • Americas adjusted operating income d
Slide 11: 2Q 2025 Margin Reconciliation
2Q 2025 Margin Reconciliation Change vs. Items of 2025 Prior Year Significant Impact Bps Gross Profit $129.7M ($22.9M) Pricing/Product Cost (70) Cost Savings 170 Gross Margin 32.9% (190) Bps Volume (150) Tariff Impact (80) Mix/FX (60) SG&A $82.6M ($5.4M) Cost Savings (70) Sales Deleverage 220 SG&A M
Slide 12: Capital Structure
Capital Structure ($ in millions) Facility Balance1 Interest Rate Methodology Rate USD Revolver2 102 SOFR + CSA4 + 200 bps 6.41% EUR Revolver2 116 EURIBOR+ 200 bps 3.98% AUD Revolver2 34 Australian BBSR + 200 bps 5.68% EUR Term Loan A 140 EURIBOR + 200 bps 3.98% Subtotal Senior secured credit facili
Slide 13: Historical Net Debt 2Q
Historical Net Debt 2Q $ millions Net Debt* $1,250.0 $1,169.4 $1,095.7 $1,100.0 $1,002.8 $950.0 $872.8 $854.0 $800.0 $650.0 $500.0 $350.0 6/30/2021 6/30/2022 6/30/2023 6/30/2024 6/30/2025 Net Debt 1 *Net debt is a Non-GAAP financial measure 13
Slide 14: Adjusted Free Cash Flow
Adjusted Free Cash Flow 1Q 2Q 1H $ in millions* 2025 2025 2025 1H 2024 Change vs 2024 Adjusted Free Cash Flow Net cash provided by operations 5 (39) (33) 3 (36) Commentary Additions to PP&E (2) (5) (7) (5) (2) Free Cash Flow 3 (44) (40) (2) (38) • Cash flow seasonally weighted toward second half of
Slide 15: 3Q 2025 Outlook
3Q 2025 Outlook Guidance 3Q 2025 Reported Net Sales $387 to $400 million Reported Net Sales Growth (5.0%) to (8.0%) Foreign Exchange 1% Comparable Sales* (6.0%) to (9.0%) Adjusted EPS $0.21 to $0.24 3Q Sales Commentary: • High level of uncertainty for demand due to tariffs and the impact on consumer
Slide 16: Full Year 2025 Outlook
Full Year 2025 Outlook Guidance Full Year 2025 Reported Net Sales $1,525 to $1,550 million Reported Net Sales Growth (7.0%) to (8.5%) Foreign Exchange 1% Comparable Sales* (8.0%) to (9.5%) Adjusted EPS $0.83 to $0.90 Adjusted Free Cash Flow* Approximately $100 million Adjusted Tax Rate Approximately
Slide 17: Capital Allocation
Capital Allocation Capital Allocation Debt Reduction Shareholder Returns Year-over-year, reduced net debt Announced $0.075 per share Adjusted free cash flow of ($24M)* by $19M; $43M excluding $24M of quarterly dividend on July 25th FX translation* Closed on small, strategic 2Q 2025 consolidated leve
Slide 18: Appendix
acco BRANDS APPENDIX work. learn. play.
Slide 19: ACCO Brands (NYSE: ACCO) Snapshot
ACCO Brands (NYSE: ACCO) Snapshot Collection of Iconic Brands 2024 Key Statistics Free Cash Flow and Capital Allocation • Consistent generator of Free Cash Flow* $1.7B 11.4% Adj. Operating Net Sales Margin* • Consolidated leverage ratio of 3.4x at end of 2024 * • 12 brands account for 75% of net sal
Slide 20: Iconic Collection of Leading Brands
Iconic Collection of Leading Brands 12 BRANDS ACCOUNT FOR $1.3 BILLION IN ANNUAL SALES* AMERICAS INTERNATIONAL #1 #1 #1 #1 #1 #1 #1 #1 PowerA Third Five Star Back- Tilibra Student Barrilito Back- Leitz Leitz and Rapid Leitz Spirax Student Party to-School Brand Notetaking to-School Shredding Stapling
Slide 21: Diversified Product Categories
Diversified Product Categories % of 2024 Product Group Product Categories Key Brands Net Sales Tech Gaming and 19% Accessories Computer Accessories Learning & Note-taking, Boards, 29% Creative Art Products and Writing Stapling, Laminating, Business Tools, Shredding, Filing and Organization, 52% Esse
Slide 22: About Non-GAAP Financial Measures
About Non-GAAP Financial Measures Our non-GAAP financial measures include the following: Comparable Sales: Represents net sales excluding the impact of material acquisitions, if any, with current-period foreign operation sales translated at prior-year currency rates. We believe comparable sales are
Slide 23: Reconciliation of GAAP to Adjusted Non-GAAP Information (Q2)
acco BRANDS ACCO Brands Corporation and Subsidiaries Reconciliation of GAAP to Adjusted Non-GAAP Information (Unaudited) ‘The following tables set forth a reconciliation of certain Consolidated Statements of Income (Loss) information reported in accordance with GAAP to Adjusted Non- GAAP Information
Slide 24: Reconciliation of GAAP to Adjusted Non-GAAP Information (Six Months)
acco BRANDS ACCO Brands C Reconciliation of GAAP to Adjusted Non-GAAP Information (Unaudited) ‘The following tables set forth a reconciliation of certain Consolidated Statements of Income (Loss) information reported in accordance with GAAP to Adjusted Non- GAAP Information for the six months ended J
Slide 25: Notes to Reconciliations of GAAP to Adjusted Non-GAAP Information
acco BRANDS Notes to Reconciliations of GAAP to Adjusted Non-GAAP Information and Net Income (Loss) to Adjusted EBITDA (Unaudited) > The income tax impact of discrete tax items, As of June 30, 2025 and 2024, the Company adjusted its tax rate to 30.0%, respectively, which represents its full year non
Slide 26: Reconciliation of Debt to Net Debt
acco BRANDS ACCO Brands Corporation and Subsidiaries Reconciliation of Debt to Net Debt (Unaudited) Gn millions) June 30, 2023 2022 2021 ‘Total debt per balance sheet s 1077.6 $ 11786 S 1,236.9 Add debt origination costs 76 as 10.4 ‘Less cash and cash equivalents B24 out 77.9 ‘Net Debt (aen-GAAP) A
Slide 27: Supplemental Business Segment Information and Reconciliation
acco BRANDS ACCO Brands Corporation and Subsidiaries Supplemental Business Segment Information and Reconciliation (Unaudited) 2025 2024 Changes Adjusted Adjusted Reported Adjusted Operating Reported. Adjusted Operating Adjusted Adjusted Operating Operating Income Operating, Operating Income Operatin
Slide 28: Supplemental Net Sales Change Analysis
acco BRANDS QI 2025: ACCO Brands Americas ACCO Brands International Total Q2 2025: ACCO Brands Americas ACCO Brands International Total 2025 YTD: ACCO Brands Americas ACCO Brands International Total ACCO Brands Corporation and Subsidiaries Supplemental Net Sales Change Analysis (Unaudited) ‘Ye Chang
Slide 29: Thank You
THANK YOU Earnings Call / August 1, 2025