Newell Brands Inc

Latest Results (23.05.2024):

In the first quarter of 2024, Newell Brands Inc reported a decrease in net sales to $1.7 billion, marking an 8.4% decline compared to the previous year. This drop was primarily due to a 4.7% fall in core sales, alongside negative impacts from foreign exchange rates and business exits.

Despite the revenue decline, Newell Brands Inc saw an improvement in its gross margin, which increased to 30.5% in Q1 2024 from 26.7% in the same period last year. This improvement was attributed to productivity savings, favorable product mix, and effective pricing strategies to counteract inflationary pressures.

Newell Brands Inc reported an operating income of $16 million in Q1 2024, a significant improvement from an operating loss of $36 million in the prior year. The reported operating margin also rose to 1.0%, up from a negative 2.0% in the previous year, driven by cost management and lower restructuring expenses.

The company significantly enhanced its operating cash flow, which increased by $109 million to reach $32 million in Q1 2024, compared to a cash outflow of $77 million in the same quarter last year. This improvement was largely due to better working capital management and higher operating income. As of the end of Q1 2024, Newell Brands Inc reported having $372 million in cash and cash equivalents.

Newell Brands Inc has reaffirmed its full-year outlook for 2024, expecting a net sales decline between 8% to 5% and a core sales decline between 6% to 3%. The company anticipates a normalized operating margin between 7.8% to 8.2% and normalized earnings per share between $0.52 to $0.62. They also project operating cash flow to be between $400 million to $500 million for the year.