Core Insights - Edgewell Personal Care (EPC) reported quarterly earnings of $0.87 per share, missing the Zacks Consensus Estimate of $0.90 per share, and showing a slight decrease from $0.88 per share a year ago, resulting in an earnings surprise of -3.33% [1] - The company posted revenues of $580.7 million for the quarter ended March 2025, which was 1.69% below the Zacks Consensus Estimate and down from $599.4 million year-over-year [2] - Edgewell Personal has not surpassed consensus revenue estimates over the last four quarters, indicating ongoing challenges in revenue performance [2] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $1.39 on revenues of $652.65 million, while for the current fiscal year, the estimate is $3.15 on revenues of $2.24 billion [7] - The estimate revisions trend for Edgewell Personal is mixed, leading to a Zacks Rank 3 (Hold), suggesting the stock is expected to perform in line with the market in the near future [6] Market Performance - Edgewell Personal shares have declined approximately 10.7% since the beginning of the year, contrasting with the S&P 500's decline of 4.7% [3] - The outlook for the Consumer Products - Staples industry, to which Edgewell belongs, is currently in the bottom 28% of over 250 Zacks industries, which may negatively impact stock performance [8]

[Executive Summary & Q2 Fiscal 2025 Highlights](index=1&type=section&id=Executive%20Summary) Edgewell's Q2 Fiscal 2025 saw a decline in net sales amidst a challenging market, offset by gross margin improvements and continued shareholder returns, leading to moderated full-year expectations [Q2 Fiscal 2025 Performance Overview](index=1&type=section&id=Executive%20Summary) In the second quarter of fiscal 2025, Edgewell faced a challenging market, resulting in a **3.1%** decrease in net sales and a **1.5%** decline in organic net sales. Despite this, the company achieved a **100 bps** increase in gross margin through productivity initiatives. Management acknowledged weakness in the U.S. market and will continue an investment stance, particularly in Wet Shave and Sun Care, while moderating full-year top-line expectations due to anticipated negative consumer sentiment Q2 Fiscal 2025 Key Financial Metrics | Metric | Value | Change vs. Prior Year | | :--- | :--- | :--- | | Net Sales | $580.7 million | -3.1% | | Organic Net Sales | - | -1.5% | | GAAP Diluted EPS | $0.60 | -$0.12 | | Adjusted EPS | $0.87 | -$0.01 | | Gross Margin | - | +100 bps | - Management is focused on executing strategic priorities in a volatile environment, highlighting **top-line growth** in the International business and **accelerated gross margin expansion**. However, they recognize the need for further investment to improve performance in the competitive U.S. market, especially for the Wet Shave and Sun Care portfolios[3](index=3&type=chunk) - The company maintained a **solid liquidity position** with **$170 million** in cash and access to a **$229 million** revolving credit facility, with a **net debt leverage ratio of 3.8x**[4](index=4&type=chunk) - Edgewell returned **$42.7 million** to shareholders in Q2, consisting of **$35.4 million** in **share repurchases** and **$7.3 million** in **dividends**. A **quarterly cash dividend of $0.15 per share** was declared for the second quarter[4](index=4&type=chunk) [Detailed Financial Performance](index=3&type=section&id=Fiscal%202Q%202025%20Operating%20Results) This section provides an in-depth analysis of Edgewell's Q2 2025 operating results, including sales performance, profitability, and capital allocation strategies [Overall Operating Results](index=3&type=section&id=Overall%20Operating%20Results) For Q2 2025, net sales fell **3.1%** to **$580.7 million**, with organic sales down **1.5%**. International growth of **2.9%** was insufficient to offset a **3.9%** decline in North America. Gross margin improved by **100 bps** to **44.1%**, driven by **380 bps** in productivity savings which countered inflation and unfavorable mix. Operating income decreased to **$58.9 million** from **$70.1 million**, and GAAP net earnings fell to **$29.0 million** from **$36.0 million** in the prior year - Net sales were negatively impacted by a **$9.8 million** unfavorable currency effect. The organic sales decline of **$8.9 million** was driven by **volume decreases** in North America's Wet Shave, Feminine Care, and Sun Care categories, which overshadowed price and volume gains in international markets[5](index=5&type=chunk) - Gross margin expansion was a key positive, increasing **100 bps** (**110 bps** at constant currency). This was primarily due to **productivity savings** of **380 bps**, which more than offset **195 bps** of **core inflation/absorption** and **85 bps** of **unfavorable mix and promotions**[6](index=6&type=chunk) - Operating expenses increased as a percentage of sales. **A&P rose** to **11.3%** of net sales from **10.5%** a year ago, and **adjusted SG&A increased** by **60 bps** to **18.0%** of net sales[7](index=7&type=chunk)[8](index=8&type=chunk) Q2 2025 Profitability Summary | Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Operating Income | $58.9 million | $70.1 million | | Adjusted Operating Income | $76.7 million | $80.7 million | | GAAP Net Earnings | $29.0 million | $36.0 million | | Adjusted Net Earnings | $41.8 million | $44.0 million | | GAAP EPS | $0.60 | $0.72 | | Adjusted EPS | $0.87 | $0.88 | [Capital Allocation](index=3&type=section&id=Capital%20Allocation) The company continued its commitment to shareholder returns in the second quarter. The Board of Directors declared a **quarterly cash dividend of $0.15 per common share**. During the quarter, Edgewell repurchased approximately **1.1 million** shares for **$35.4 million**, leaving **1.1 million** shares available for future repurchase under the existing authorization - A **quarterly cash dividend of $0.15 per share** was declared on May 7, 2025, payable on July 9, 2025[14](index=14&type=chunk) - In Q2, the company executed **$35.4 million** in **share repurchases** and paid **$7.3 million** in **dividends**[4](index=4&type=chunk)[14](index=14&type=chunk) [Segment Performance](index=3&type=section&id=Fiscal%202Q%202025%20Operating%20Segment%20Results) This section details the Q2 2025 financial performance of Edgewell's key operating segments: Wet Shave, Sun and Skin Care, and Feminine Care [Wet Shave](index=3&type=section&id=Wet%20Shave) The Wet Shave segment experienced a **2.6%** decline in net sales (**0.9%** organic decline), as growth in international markets was offset by volume declines in North America. Despite lower sales, segment profit increased by a strong **15.3%** (**16.5%** organic), driven by higher gross margins that outweighed increased marketing expenses Wet Shave Q2 2025 Performance | Metric | Value | Change vs. Q2 2024 | | :--- | :--- | :--- | | Net Sales | $285.5 million | -2.6% | | Organic Net Sales | - | -0.9% | | Segment Profit | $46.6 million | +15.3% | | Organic Segment Profit | - | +16.5% | [Sun and Skin Care](index=5&type=section&id=Sun%20and%20Skin%20Care) Sun and Skin Care net sales decreased by **2.0%** (**0.1%** organic decline), with growth in Grooming and Wet One's offset by declines in North America Sun Care. Segment profit fell **6.6%** (**2.2%** organic decline), impacted by an unfavorable currency effect of **4.4%**, lower gross margin, and higher SG&A expenses Sun and Skin Care Q2 2025 Performance | Metric | Value | Change vs. Q2 2024 | | :--- | :--- | :--- | | Net Sales | $231.1 million | -2.0% | | Organic Net Sales | - | -0.1% | | Segment Profit | $50.8 million | -6.6% | | Organic Segment Profit | - | -2.2% | [Feminine Care](index=5&type=section&id=Feminine%20Care) The Feminine Care segment saw a significant downturn, with net sales falling **9.1%**, primarily due to declines in Pads and Tampons. This sales drop led to a sharp **64.4%** decrease in segment profit (**65.5%** organic decline), driven by lower gross profit and higher marketing expenses Feminine Care Q2 2025 Performance | Metric | Value | Change vs. Q2 2024 | | :--- | :--- | :--- | | Net Sales | $64.1 million | -9.1% | | Organic Net Sales | - | -8.8% | | Segment Profit | $3.1 million | -64.4% | | Organic Segment Profit | - | -65.5% | [Full Fiscal Year 2025 Outlook](index=5&type=section&id=Full%20Fiscal%20Year%202025%20Financial%20Outlook) Edgewell has revised its full-year fiscal 2025 outlook downwards, citing a challenging economic environment and the impact of incremental investments. The company now expects lower organic net sales growth, a decrease in adjusted operating margin, and reduced ranges for both Adjusted EBITDA and Adjusted EPS. Restructuring charges are now expected to be higher at approximately **$33 million** [Updated Outlook](index=5&type=section&id=Updated%20Outlook) The company has lowered its full-year 2025 guidance. Organic net sales growth is now projected to be flat to **1%**, down from **1%** to **3%**. Adjusted EBITDA is expected to be in the range of **$329 million** to **$341 million**, a significant reduction from the previous range of **$356 million** to **$368 million**. Similarly, adjusted EPS is now forecasted between **$2.85** and **$3.05**, down from the lower end of the prior **$3.15** to **$3.35** range Fiscal 2025 Outlook Revision | Metric | New Outlook | Previous Outlook | | :--- | :--- | :--- | | Organic Net Sales Growth | Flat to 1% | 1% to 3% | | Adjusted EBITDA | $329 - $341 million | $356 - $368 million (lower end) | | GAAP EPS | $2.09 - $2.29 | $2.54 - $2.74 | | Adjusted EPS | $2.85 - $3.05 | $3.15 - $3.35 (lower end) | | Free Cash Flow | $130 - $140 million | $185 million | - The outlook for adjusted gross margin is now an **increase of approximately 10 bps** (**70 bps** at constant currency), down from a previously expected **55 bps increase**, reflecting increased investments and incremental tariffs[21](index=21&type=chunk) - Adjusted operating margin is now expected to **decrease by approximately 65 bps**, a reversal from the previously anticipated **10 bps increase**[21](index=21&type=chunk) - Expected pre-tax charges from restructuring and repositioning actions have been **increased to approximately $33 million** for the full fiscal year, up from the previous estimate of **$29 million**[19](index=19&type=chunk) [Outlook Reconciliation](index=18&type=section&id=Outlook%20Reconciliation) The company provides a reconciliation from its GAAP outlook to its non-GAAP adjusted outlook for fiscal 2025. For Adjusted EPS, total adjustments amount to a **net positive impact of $0.76 to $0.96 per share**. For Adjusted EBITDA, **total positive adjustments** from GAAP Net Income are approximately **$49 million to $59 million** FY2025 GAAP EPS to Adjusted EPS Reconciliation | Description | Per Share Impact (approx.) | | :--- | :--- | | **Fiscal 2025 GAAP EPS** | **$2.09 - $2.29** | | Restructuring and repositioning costs | $0.70 | | Sun Care reformulation costs | $0.11 | | Commercial realignment | $0.06 | | Vendor bankruptcy | $0.04 | | Other costs | $0.11 | | Income taxes on adjustments | ($0.26) | | **Fiscal 2025 Adjusted EPS** | **$2.85 - $3.05** | FY2025 GAAP Net Income to Adjusted EBITDA Reconciliation (in millions) | Description | Amount (approx.) | | :--- | :--- | | **Fiscal 2025 GAAP Net Income** | **$100 - $110** | | Income tax provision | $22 | | Interest expense, net | $72 | | Depreciation and amortization | $87 | | **EBITDA** | **$280 - $292** | | Restructuring and repositioning costs | $33 | | Other adjustments (Sun Care, Commercial, etc.) | $16 | | **Fiscal 2025 Adjusted EBITDA** | **$329 - $341** | [Financial Statements & Reconciliations](index=10&type=section&id=Financial%20Statements%20%26%20Reconciliations) This section presents Edgewell's condensed consolidated financial statements, including statements of earnings, balance sheets, cash flows, and detailed reconciliations of GAAP to non-GAAP measures [Condensed Consolidated Statements of Earnings](index=10&type=section&id=CONDENSED%20CONSOLIDATED%20STATEMENTS%20OF%20EARNINGS) For the three months ended March 31, 2025, net sales were **$580.7 million**, down from **$599.4 million** in the prior year. Net earnings decreased to **$29.0 million** (**$0.60 per diluted share**) from **$36.0 million** (**$0.72 per diluted share**). For the six-month period, net sales also declined, and net earnings fell to **$26.9 million** from **$40.8 million** Statement of Earnings Summary (in millions, except per share data) | Metric | Three Months Ended Mar 31, 2025 | Three Months Ended Mar 31, 2024 | Six Months Ended Mar 31, 2025 | Six Months Ended Mar 31, 2024 | | :--- | :--- | :--- | :--- | :--- | | Net sales | $580.7 | $599.4 | $1,059.1 | $1,088.3 | | Gross profit | $256.2 | $258.1 | $447.8 | $455.8 | | Operating income | $58.9 | $70.1 | $79.2 | $96.2 | | Net earnings | $29.0 | $36.0 | $26.9 | $40.8 | | Diluted EPS | $0.60 | $0.72 | $0.55 | $0.81 | [Condensed Consolidated Balance Sheets](index=11&type=section&id=CONDENSED%20CONSOLIDATED%20BALANCE%20SHEETS) As of March 31, 2025, total assets were **$3.77 billion**, a slight increase from **$3.73 billion** at September 30, 2024. Cash and cash equivalents decreased to **$170.1 million** from **$209.1 million**, while long-term debt increased to **$1.43 billion** from **$1.28 billion**. Total shareholders' equity decreased to **$1.51 billion** Balance Sheet Summary (in millions) | Metric | March 31, 2025 | September 30, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $170.1 | $209.1 | | Total current assets | $1,012.4 | $936.0 | | Total assets | $3,772.8 | $3,730.9 | | Long-term debt | $1,433.1 | $1,275.0 | | Total liabilities | $2,258.9 | $2,146.8 | | Total shareholders' equity | $1,513.9 | $1,584.1 | [Condensed Consolidated Statements of Cash Flows](index=12&type=section&id=CONDENSED%20CONSOLIDATED%20STATEMENTS%20OF%20CASH%20FLOWS) For the six months ended March 31, 2025, net cash used for operating activities was **$70.5 million**, a significant negative swing from the **$56.1 million** provided by operating activities in the prior-year period. This was driven by lower net earnings and unfavorable changes in working capital. Net cash used for investing activities increased, while financing activities provided a net inflow of **$72.5 million**, primarily from debt issuance Cash Flow Summary (in millions) | Metric | Six Months Ended Mar 31, 2025 | Six Months Ended Mar 31, 2024 | | :--- | :--- | :--- | | Net cash (used for) provided by operating activities | $(70.5) | $56.1 | | Net cash used for investing activities | $(33.0) | $(19.7) | | Net cash provided by (used for) financing activities | $72.5 | $(59.4) | | Net decrease in cash and cash equivalents | $(39.0) | $(20.2) | | Cash and cash equivalents, end of period | $170.1 | $196.2 | [Notes to Financial Statements](index=13&type=section&id=NOTES%20TO%20CONDENSED%20CONSOLIDATED%20FINANCIAL%20STATEMENTS) The notes provide detailed segment data, GAAP to non-GAAP reconciliations, and breakdowns of net debt and EBITDA. For Q2 2025, total segment profit was **$100.5 million**, down from **$103.5 million** year-over-year. Reconciliations clarify adjustments for items like restructuring, Sun Care reformulation, and commercial realignment to arrive at adjusted figures like Adjusted Operating Income of **$76.7 million** and Adjusted EBITDA of **$99.3 million** for the quarter Q2 2025 Segment Profit Summary (in millions) | Segment | Q2 2025 Profit | Q2 2024 Profit | | :--- | :--- | :--- | | Wet Shave | $46.6 | $40.4 | | Sun and Skin Care | $50.8 | $54.4 | | Feminine Care | $3.1 | $8.7 | | **Total Segment Profit** | **$100.5** | **$103.5** | Q2 2025 GAAP to Non-GAAP Reconciliation Summary (in millions) | Metric | GAAP | Adjustments | Non-GAAP (Adjusted) | | :--- | :--- | :--- | :--- | | Gross Profit | $256.2 | $3.5 | $259.7 | | Operating Income | $58.9 | $17.8 | $76.7 | | Net Earnings | $29.0 | $12.8 | $41.8 | | Diluted EPS | $0.60 | $0.27 | $0.87 | EBITDA Reconciliation Summary (in millions) | Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Net earnings | $29.0 | $36.0 | | EBITDA | $82.7 | $89.1 | | Adjustments | $16.6 | $10.6 | | **Adjusted EBITDA** | **$99.3** | **$99.7** |

Core Insights - Edgewell Personal Care Company reported a net sales decrease of 3.1% to $580.7 million for the second fiscal quarter of 2025, with organic net sales down 1.5% [5][13] - The gross margin increased by 100 basis points to 44.1%, despite a negative impact from foreign currency [6][12] - GAAP EPS decreased by $0.12 to $0.60, while adjusted EPS decreased by $0.01 to $0.87 [12][13] Financial Performance - Net sales were $580.7 million, a decrease of 3.1% compared to the prior year quarter, with organic net sales down 1.5% [5][13] - Gross profit was $256.2 million, compared to $258.1 million in the prior year quarter, with a gross margin of 44.1% [6][31] - Operating income was $58.9 million, or 10.1% of net sales, down from $70.1 million, or 11.7% of net sales in the prior year quarter [9][36] Segment Performance - Wet Shave segment net sales decreased by $7.6 million, or 2.6%, with organic net sales down 0.9% [16] - Sun and Skin Care segment net sales decreased by $4.7 million, or 2.0%, with organic net sales down 0.1% [17] - Feminine Care segment net sales decreased by $6.4 million, or 9.1%, with minimal currency impact [18] Cost and Expenses - Advertising and sales promotion expenses increased to $65.5 million, or 11.3% of net sales, compared to 10.5% in the prior year quarter [7] - Selling, general and administrative expenses were $105.7 million, or 18.2% of net sales, slightly up from 17.9% in the prior year quarter [8] - The company incurred pre-tax restructuring and repositioning expenses of $12.2 million in the quarter [9] Cash Flow and Capital Allocation - Net cash used for operating activities was $70.5 million for the six months ending March 31, 2025, compared to cash flow provided by operating activities of $56.1 million in the prior year period [14] - The company returned $42.7 million to shareholders through share repurchases and dividends in the second quarter [13][15] Full Year Outlook - The company updated its full-year outlook, expecting organic net sales to be flat to 1%, down from a previous range of 1% to 3% [21] - GAAP EPS is now expected to be in the range of $2.09 to $2.29, down from $2.54 to $2.74 [21] - Adjusted EBITDA is expected to be in the range of $329 to $341 million, previously towards the lower end of the range of $356 to $368 million [21]

The upcoming report from Edgewell Personal Care (EPC) is expected to reveal quarterly earnings of $0.90 per share, indicating an increase of 2.3% compared to the year-ago period. Analysts forecast revenues of $590.67 million, representing a decrease of 1.5% year over year.The consensus EPS estimate for the quarter has undergone a downward revision of 0.5% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial estimates duri ...

Group 1 - Edgewell Personal Care Company (NYSE: EPC) has been facing challenges recently, particularly in the personal care products sector, which includes razors and sun and skin care items [1] - The company operates in a competitive market, and its performance may be influenced by broader industry trends and consumer preferences [1] Group 2 - Crude Value Insights provides an investment service focused on oil and natural gas, emphasizing cash flow and the potential for value and growth in these sectors [1] - Subscribers to Crude Value Insights gain access to a stock model account, detailed cash flow analyses of exploration and production firms, and live discussions about the sector [2]

Core Insights - During volatile markets, investors are increasingly turning to the consumer staples sector for stability, prioritizing essential products like food and hygiene items [1] - Familiar household brands play a significant role in consumer choices during uncertain times, providing a sense of comfort [1] Company Analysis: Edgewell Personal Care - Edgewell Personal Care's stock is currently priced at $30.13, with a 52-week range of $26.65 to $41.50 and a dividend yield of 1.99% [3] - The company reported fiscal Q1 2025 earnings with an EPS of $0.07, missing analyst estimates by $0.05, and revenues decreased by 2.1% year-over-year to $478.4 million, below the consensus estimate of $480.11 million [6] - Organic net sales fell by 1.3%, while international sales grew by 2% year-over-year, driven by gains in Wet Shave and Sun and Skincare categories [7] - A weaker U.S. dollar could potentially increase Edgewell's annual revenue by $40–$50 million, as 20% of its revenue comes from international sales [9][10] - The company has a strong private label business and holds over 2,000 global patents, with a 91% distribution of the top 50 global private-label shave retailers [4] Company Analysis: Kenvue - Kenvue, spun off from Johnson & Johnson in 2023, is known for major brands like Tylenol and Band-Aid, and its stock is currently priced at $22.70 with a dividend yield of 3.61% [11][14] - Kenvue's Q4 2024 earnings report showed an EPS of $0.26, in line with estimates, but revenues fell by 0.1% year-over-year to $3.55 billion, missing the consensus of $3.76 billion [15] - The company anticipates organic sales growth of 2% to 4% for 2025, despite a 3% headwind from foreign currency translation [19] - Kenvue is facing pressure from activist investors, which could lead to a breakup or acquisition, adding another layer of potential growth [20]

Core Viewpoint - Edgewell Personal Care Company is set to report its financial results for the second quarter of fiscal year 2025 on May 7, 2025, before market opening [1] Group 1: Financial Reporting - The financial results will be discussed during an investor conference call on May 7, 2025, starting at 8:00 a.m. Eastern Time [1] - The call will be hosted by key executives including President and CEO Rod Little, COO Dan Sullivan, and CFO Francesca Weissman [1] Group 2: Access to Information - Interested parties can access a live webcast of the conference call through the company's website under the "Investors" and "News and Events" sections [2] - A replay of the conference call will also be available for those unable to attend live, accessible via the "Financial Reports" and "Quarterly Earnings" sections on the website [2] Group 3: Company Overview - Edgewell is a leading 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 6,700 people worldwide [3]

Core Insights - CRB has been recognized as the Rockwell Automation Engineering, Procurement, and Construction (EPC) Partner of the Year, highlighting its commitment to delivering innovative solutions for life sciences and food and beverage sectors [1][3]. Company Overview - CRB is a leading provider of sustainable engineering, architecture, construction, consulting, and control systems integration solutions, serving the global life sciences and food and beverage industries from 20 offices across the United States, Canada, and Europe [5]. Partnership Impact - The partnership with Rockwell Automation enhances CRB's ability to address complex technical challenges through integrated solutions, demonstrating a shared vision and technical excellence [2][3]. - The collaboration allows for early design integration, accelerated implementation timelines, and improved project reliability and performance, ultimately benefiting clients [3][4]. Future Outlook - CRB aims to continue its partnership with Rockwell Automation, focusing on driving innovation and efficiency across various industries [4].

Group 1 - Edgewell Personal Care Company will participate in the 46th Annual Raymond James Institutional Investors Conference on March 3, 2025, at 7:30 A.M. ET [1] - Rod Little, President and CEO, and Dan Sullivan, COO, will represent Edgewell during the fireside chat [1] - A live webcast of the event will be accessible on Edgewell's website, with a replay available for those unable to attend live [2] Group 2 - Edgewell is a leading pure-play consumer products company with a diversified portfolio of established brands, including Schick®, Wilkinson Sword®, Playtex®, and Banana Boat® [2] - 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 [2]

Financial Data and Key Metrics Changes - Organic net sales decreased by 1.3% compared to the previous year, aligning with expectations, while international growth was 2% driven by both price and volume gains [10][48] - Adjusted gross margin rate decreased by 60 basis points but increased approximately 80 basis points in constant currency, exceeding expectations [49] - Adjusted operating income was $27 million, down from approximately $36 million in the previous year [50] - GAAP diluted net earnings per share were a loss of $0.04 compared to earnings of $0.09 in the first quarter of fiscal 2024 [51] Business Line Data and Key Metrics Changes - Wet shave organic net sales were down 1.3%, with international wet shave growing 3% due to price and volume gains [37] - Sun and skincare organic net sales increased approximately 5%, driven by double-digit growth in skin and grooming [39] - Grooming organic net sales increased by 13%, with Cremo brand achieving 20% organic net sales growth [40] - Femcare organic net sales were down approximately 12%, primarily due to the pads business [41] Market Data and Key Metrics Changes - International markets represented 40% of global business, with strong performance in sun care in Australia and Mexico [17] - The U.S. wet shave and fem care categories remain highly competitive and promotional, with no significant signs of purchasing hesitancy in international markets [15] - Consumption in the U.S. sun care category increased by about 1.6%, led by increased e-commerce sales [39] Company Strategy and Development Direction - The company is focused on operational performance, disciplined investments, and managing costs to drive growth [11] - A commitment to a consumer-centric, locally driven new product development model is emphasized, with a focus on innovation [18] - The company aims to maintain brand investments despite external challenges, ensuring continued support for brand activation [92] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ongoing transformation of the business and the resilience of consumer sentiment [12][14] - The macro environment remains challenging, particularly due to currency fluctuations, but the company expects to deliver within previously provided outlook ranges [11][55] - Management anticipates sequential improvement in North American results and continued strength in international markets [104] Other Important Information - The company reported net cash used by operating activities of $115.6 million for the quarter, compared to $72.9 million in the prior year [53] - Share repurchases totaled $30 million, and a cash dividend of $0.15 per share was declared for the first quarter [54] Q&A Session Summary Question: Concerns about femcare sales and brand consolidation - Management acknowledged challenges in the femcare category, particularly with pads, but noted progress in transitioning consumers to the Carefree brand [63][64] Question: Context on businesses with negative performance - Management indicated that improvements are expected in the second half of the year as they lap previous supply chain issues [71][72] Question: Impact of FX on pricing strategies - Management confirmed that while FX headwinds are significant, they are evaluating pricing strategies but will not cut brand investments [89][92] Question: Performance of Billy Body and national expansion plans - Management expressed confidence in the Billy brand's performance and its national expansion, particularly with strong retailer support [135][138]