Spectrum Brands Holdings Inc

Latest Results (07.08.2024):

Net Sales Decrease

Spectrum Brands Holdings Inc. reported a 1.5% decrease in net sales for the second quarter of fiscal 2024, ending March 31, 2024. This decline was driven by lower consumer demand in home appliances and aquatics, particularly in North America, and the impact of SKU rationalizations. However, this was partially offset by strong point-of-sale performance in Controls due to favorable weather trends.

Net Income and Adjusted EBITDA

For the second quarter of fiscal 2024, Spectrum Brands Holdings Inc. reported a net income from continuing operations of $49.9 million, a significant improvement of $124.9 million compared to the previous year. Adjusted EBITDA also saw a substantial increase, reaching $112.3 million, which is an improvement of $61.3 million. Excluding investment income, Adjusted EBITDA was $95.3 million.

Share Repurchase

During the second quarter of fiscal 2024, Spectrum Brands Holdings Inc. repurchased 1.2 million shares for $98 million. Since the close of HHI, the company has repurchased a total of 12.1 million shares, amounting to $920 million.

New Licensing Agreement

Spectrum Brands Holdings Inc. entered into a new long-term licensing agreement with Stanley Black & Decker. This agreement allows Spectrum Brands to use the Black & Decker name in the same categories and geographies through the end of calendar 2027, with two additional four-year extensions, providing access to the brand name through the end of calendar 2035.

Updated Fiscal 2024 Outlook

Spectrum Brands Holdings Inc. has updated its fiscal 2024 earnings framework. The company now expects net sales to be relatively flat compared to the prior year. Excluding investment income, Adjusted EBITDA is anticipated to grow in the low double-digits, reflecting the company's positive outlook for the remainder of the fiscal year.