Financial Performance - FY 2024 net sales were $2,253.7 million, an increase of 0.1% compared to the prior year, while Q4 net sales were $517.6 million, a decrease of 3.1%[2][10] - Organic net sales increased by 0.2% for the full year but decreased by 2.8% in Q4, with a 7.3% growth in international markets offset by a 3.8% decline in North America[2][10] - GAAP diluted EPS for FY 2024 was $1.97, down 11% year-over-year, while adjusted EPS increased by 18% to $3.05[2][14] - Net earnings for Q3 2024 were $98.6 million, a decrease of 13.5% compared to $114.7 million in Q3 2023[28] - Total net sales for Q3 2024 were $517.6 million, down 3.4% from $534.1 million in Q3 2023[31] - Net earnings for 2024 were $8.8 million, a decrease from $29.9 million in 2023, while total net earnings for the year were $98.6 million compared to $114.7 million in 2023[48] Shareholder Returns - The company returned approximately $90 million to shareholders in FY 2024, consisting of $59 million in share repurchases and $31 million in dividends[2][15] Future Outlook - The fiscal 2025 outlook anticipates organic net sales growth of approximately 1% to 3% and a 7% increase in adjusted EPS, or 13% on a constant currency basis[2][4] - Reported net sales for fiscal 2025 are expected to increase by approximately 1.7% to 3.7%, with an estimated 70-basis point positive impact from foreign currency changes[16] - Organic net sales are projected to increase approximately 1% to 3%[16] - GAAP EPS is expected to be in the range of $2.59 to $2.79, reflecting restructuring and repositioning charges[16] - Adjusted EPS is anticipated to be in the range of $3.15 to $3.35, with an estimated $0.18 unfavorable impact from foreign currency changes[16] - Adjusted EBITDA is expected to be in the range of $356 to $368 million, including an estimated $11 million unfavorable impact from foreign currency changes[16] - Free cash flow is projected to be approximately $185 million[16] - The company expects approximately two-thirds of adjusted net earnings to be generated in the second half of the fiscal year[16] Expenses and Costs - SG&A expenses for FY 2024 were $430.1 million, or 19.1% of net sales, compared to 18.2% in the prior year[10][12] - The company recorded pre-tax restructuring expenses of $36.0 million, primarily related to operational efficiency programs and the Billie acquisition[11][12] - Total depreciation and amortization expense is expected to be approximately $89 million[16] - Interest expense for 2024 was $16.5 million, slightly lower than $17.9 million in 2023, with an estimated interest expense of approximately $70 million for fiscal 2025[48][51] - Depreciation and amortization for 2024 totaled $21.4 million, down from $23.2 million in 2023, with an estimated depreciation and amortization of approximately $89 million for fiscal 2025[48][51] - Sun Care reformulation costs were approximately $2.2 million in 2024, compared to $0.2 million in 2023, with an estimated $5 million for fiscal 2025[48][51] - The company reported a legal matters expense of $3.9 million in 2023, which was not present in 2024[48] Cash Flow and Liquidity - The company ended Q4 2024 with $209 million in cash and a net debt leverage ratio of 3.1x[2][4] - Cash flow from operating activities for Q3 2024 was $231.0 million, an increase from $216.1 million in Q3 2023[28] - The company reported a total cash and cash equivalents of $209.1 million at the end of Q3 2024, down from $216.4 million at the end of Q3 2023[28] - Net cash used by investing activities was $62.4 million in Q3 2024, up from $50.5 million in Q3 2023[28] Segment Performance - Segment profit for Wet Shave increased to $62.2 million in Q3 2024, up 13.2% from $54.9 million in Q3 2023[31] - Total segment profit for Q3 2024 was $82.4 million, down from $89.2 million in Q3 2023[31] - The company experienced a 10.0% decline in net sales for the Feminine Care segment for the twelve months ended September 30, 2024, totaling $283.6 million[42] - Segment profit for the Wet Shave category for the three months ended September 30, 2024, was $62.2 million, representing a 13.3% increase year-over-year[43] Taxation - The effective tax rate for GAAP was (62.9)% for Q3 2024[33] - The company reported a GAAP effective tax rate of 10.2% for the three months ended September 30, 2023, and an adjusted effective tax rate of 13.9%[37] - The adjusted effective tax rate is expected to be approximately 22%[16]

Core Insights - Edgewell Personal Care Company reported a slight increase in net sales for FY 2024, with a 0.1% rise to $2,253.7 million, while organic net sales saw a 0.2% increase [2][16] - The company experienced a decrease in GAAP EPS by 11% to $1.97, but adjusted EPS increased by 18% to $3.05, reflecting strong operational performance [2][24] - The company returned approximately $90 million to shareholders through dividends and share repurchases during FY 2024 [2][25][26] - For FY 2025, the company anticipates growth in organic net sales between 1% to 3% and adjusted EPS growth of 7%, or 13% on a constant currency basis [2][27] Financial Performance - In Q4 FY 2024, net sales were $517.6 million, a decrease of 3.1% compared to the prior year quarter, with organic net sales down 2.8% [2][5] - Gross profit for Q4 FY 2024 was $212.8 million, with a gross margin of 41.1%, down 170 basis points from the prior year [6][35] - Selling, general and administrative expenses (SG&A) were $109.2 million, representing 21.1% of net sales, which is relatively flat compared to the previous year [7][18] - The company recorded pre-tax restructuring and repositioning expenses of $22.8 million in Q4 FY 2024, primarily for cost efficiency programs [8][19] Segment Performance - The Wet Shave segment saw a net sales decrease of 1.5% in Q4 FY 2024, while the Sun and Skin Care segment experienced a 3.8% decline [14][15] - Feminine Care net sales decreased by 8.9%, with growth in tampons offset by declines in pads and liners [16] - For the full fiscal year, international markets showed a 7.3% growth in organic net sales, while North America saw a 3.8% decline [16][17] Cash Flow and Capital Allocation - Net cash from operating activities for the twelve months ended September 30, 2024, was $231.0 million, an increase from $216.1 million in the previous year [14][38] - The company declared a cash dividend of $0.15 per common share for Q4 FY 2024, payable in January 2025 [25] - Share repurchases totaled approximately 1.6 million shares at a cost of $58.5 million for FY 2024 [26] Outlook - The company expects reported net sales growth of approximately 1.7% to 3.7% for FY 2025, with adjusted EBITDA projected between $356 million to $368 million [27][28] - Adjusted gross margin is anticipated to increase by approximately 75 basis points, with free cash flow expected to be around $185 million [27]

Financial Results Announcement - Edgewell Personal Care Company will report its financial results for the fourth quarter and fiscal year 2024 before the market opens on November 7, 2024 [1] - An investor conference call will be held on the same day at 8:00 a.m. Eastern Time, hosted by President and CEO Rod Little and CFO Dan Sullivan [1] Access to Webcast - Interested parties can access a live webcast of the conference call on Edgewell's website under the "Investors" and "News and Events" tabs [2] - A replay of the conference call will also be available for those unable to participate live [2] Company Overview - Edgewell is a leading pure-play consumer products company with a diversified portfolio of established brands, including Schick®, Wilkinson Sword®, Playtex®, and Banana Boat® [3] - The company operates in over 50 markets globally, including the U.S., Canada, Mexico, Germany, Japan, the U.K., and Australia, employing approximately 6,800 people worldwide [3]

Core Viewpoint - Edgewell Personal Care Company is considered a value investment opportunity despite mixed financial results, with a current rating of 'buy' due to its attractive stock price and potential for upside growth [1][17]. Financial Performance - For the third quarter of fiscal year 2024, Edgewell reported revenue of $647.8 million, a slight decline of 0.3% from $650 million in the previous year, primarily due to foreign currency fluctuations [2]. - Organic revenue actually grew by $4 million year-over-year, driven by a 6.1% increase in international markets, while North American sales fell by 2.4% due to lower volumes [2]. - Net income decreased from $53 million to $49 million, despite an increase in gross profit margin from 43.1% to 44.3% [4]. - Operating cash flow fell significantly from $166.4 million to $101.2 million, while EBITDA improved from $109.7 million to $117.2 million [5]. Historical Context - Edgewell experienced declining sales from 2014 to 2020, but began to improve in 2021 following a management plan focused on key growth opportunities [6]. - The Wet Shave segment saw revenue decline from $1.59 billion in 2014 to $1.16 billion in 2020, influenced by changing consumer preferences and the pandemic [10]. Segment Analysis - The Wet Shave segment accounted for 54.7% of total revenue in 2023, but has faced challenges, while the Sun and Skin Care segment has shown consistent growth since 2015 [11]. - The Sun and Skin Care operations benefited from organic growth of $142 million and acquisitions adding $97.4 million to revenue [11]. Market Trends - The global market for male-oriented sun and skin care products is projected to grow from $16 billion in 2023 to $29.6 billion by 2033, indicating a strong growth opportunity for Edgewell [11]. - The male grooming market in the U.S. was valued at $46.5 billion in 2022, with an expected annual growth rate of 8.3% from 2024 to 2030 [11]. Valuation Metrics - Management expects organic revenue growth of about 1% for the year, with adjusted earnings per share projected at $3, translating to net profits of $150.3 million [14]. - On a price-to-earnings basis, Edgewell appears fairly valued, but remains attractively priced relative to cash flows compared to similar companies [15]. Conclusion - Despite recent sales declines attributed to foreign currency issues, Edgewell's overall performance and market positioning suggest a positive outlook, justifying a 'soft buy' rating [17].

While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies. Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use a variety of methods, including tried-and-true valuation metric ...

Edgewell Personal Care (EPC) has been on a downward spiral lately with significant selling pressure. After declining 8.9% over the past four weeks, the stock looks well positioned for a trend reversal as it is now in oversold territory and there is strong agreement among Wall Street analysts that the company will report better earnings than they predicted earlier. Guide to Identifying Oversold Stocks We use Relative Strength Index (RSI), one of the most commonly used technical indicators, for spotting wheth ...

While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies. Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use fundamental analysis and traditional valuation metrics to find ...

Edgewell Personal Care (EPC) reported $647.8 million in revenue for the quarter ended June 2024, representing a year-over-year decline of 0.3%. EPS of $1.22 for the same period compares to $0.98 a year ago. The reported revenue compares to the Zacks Consensus Estimate of $652.49 million, representing a surprise of -0.72%. The company delivered an EPS surprise of +20.79%, with the consensus EPS estimate being $1.01. While investors closely watch year-over-year changes in headline numbers -- revenue and earni ...

Edgewell Personal Care (EPC) came out with quarterly earnings of $1.22 per share, beating the Zacks Consensus Estimate of $1.01 per share. This compares to earnings of $0.98 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of 20.79%. A quarter ago, it was expected that this consumer products maker would post earnings of $0.74 per share when it actually produced earnings of $0.88, delivering a surprise of 18.92%. Over the last fou ...

Net Sales decreased 0.3%, Organic Sales increased 0.6% Significant Gross Margin Expansion GAAP EPS decreased 4%, Adjusted EPS increased 23% Updates Full Year Outlook SHELTON, Conn., Aug. 6, 2024 /PRNewswire/ -- Edgewell Personal Care Company (NYSE: EPC) today announced results for its third fiscal quarter 2024 ended June 30, 2024. Executive Summary Net sales were $647.8 million, a decrease of 0.3% compared to the prior year quarter. Organic net sales increased 0.6% (Organic basis excludes the impact from cu ...