The company had some encouraging news for shareholders Friday morning.Newell Brands (NWL 12.25%) investors had a great end to their week. The consumer staples company's shares jumped 10% in early Friday trading. That's as compared to a 1.2% rally in the S&P 500. The boost only erased some of Newell Brands' recent losses, though. Shares remain down 10.3% so far in 2024 compared to a 6.9% increase in the wider market.Friday's rally was sparked by positive news on Newell Brands' earnings trends.The good newsMa ...

Restructuring Initiatives - Newell Brands is implementing a restructuring initiative, Project Phoenix, with estimated charges of approximately $100 million to $130 million to streamline operations and reduce complexity [114]. - The Company expects to incur $37 million to $49 million in restructuring charges related to the Network Optimization Project, aimed at improving cost structure and operating margins [112]. - In January 2024, Newell Brands announced a Realignment Plan with expected restructuring charges of $75 million to $90 million to enhance front-end commercial capabilities [115]. - The Company recorded restructuring charges of $22 million during the three months ended March 31, 2024, as part of the Realignment Plan [123]. - Operating income improved to $16 million from an operating loss of $36 million in the prior year, reflecting savings from restructuring actions [131]. Financial Performance - Net sales for the three months ended March 31, 2024, decreased by 8.4% to $1,653 million from $1,805 million in the prior year, impacted by soft global demand and distribution losses [127]. - Gross profit increased by 4.6% to $504 million, with gross margin improving to 30.5% from 26.7% in the prior year, driven by productivity and favorable pricing [128]. - Home and Commercial Solutions segment net sales decreased by 8.0% to $893 million, with operating income improving to $16 million from a loss of $37 million [134]. - Learning and Development segment net sales slightly decreased by 0.9% to $559 million, while operating income increased by 30.6% to $94 million [137]. - Outdoor and Recreation segment net sales decreased by 25.6% to $201 million, with an operating loss of $18 million compared to a loss of $1 million in the prior year [139]. Tax and Interest Expenses - The effective income tax rate for the three months ended March 31, 2024, was a benefit of 85.0%, compared to 12.1% in the prior year, resulting in an income tax benefit of $51 million [133]. - Moody's and S&P downgraded the Company's debt rating to "Ba3" and "BB-", resulting in an annualized interest expense increase of $16 million [126]. Cash Flow and Liquidity - Cash provided by operating activities was $32 million, a significant improvement from a cash used of $77 million in the prior year, reflecting a reduction in working capital [144]. - At March 31, 2024, the company had cash and cash equivalents of approximately $372 million, with $231 million of outstanding borrowings under its $1.0 billion Credit Revolver [144][149]. - The company believes its liquidity position is adequate to fund operations and support growth platforms, with a net availability of approximately $749 million under the Credit Revolver [148][149]. Market Conditions - Newell Brands has secured selective pricing increases and optimized advertising expenses to mitigate the impact of soft global demand and inflationary pressures [120]. - Current macroeconomic conditions, including elevated interest rates and geopolitical conflicts, are expected to negatively impact the Company's operating results and cash flows [119]. Company Overview - Newell Brands operates in over 150 countries and has a strong portfolio of well-known brands, including Rubbermaid, Sharpie, and Coleman [108]. - The Company is focused on improving productivity and streamlining operations to better position itself for long-term sustainable growth [111]. Amortization Changes - The Company has identified certain tradenames with an aggregate carrying value of $322 million that will now be amortized over 10 to 15 years, increasing annual amortization expense by $25 million [124].

Newell Brands Inc. (NWL) posted first-quarter 2024 results, wherein both sales and earnings beat the Zacks Consensus Estimate. The company’s normalized loss per share was $0.00 against earnings per share of 6 cents in the year-ago quarter. The bottom-line figure was narrower than the consensus mark of a loss of 7 cents per share.Net sales declined 8.4% year over year to $1.7 billion on lower core sales as well as the impacts of business exits and adverse foreign exchange. Nonetheless, the metric exceeded th ...

Key TakeawaysNewell Brands reported better-than-expected first-quarter results Friday as the company said its turnaround plan is working, and shares soared.The maker of consumer and commercial products posted a quarterly loss of 2 cents per share, narrowed from a loss of 25 cents per share in the prior-year period.Chief executive Chris Peterson pointed to the "decisive actions" the company has taken to execute its new strategy. Newell Brands (NWL) shares surged in intraday trading Friday as the consumer and ...

For the quarter ended March 2024, Newell Brands (NWL) reported revenue of $1.65 billion, down 8.4% over the same period last year. EPS came in at $0.00, compared to -$0.06 in the year-ago quarter.The reported revenue represents a surprise of +0.53% over the Zacks Consensus Estimate of $1.64 billion. With the consensus EPS estimate being -$0.07, the EPS surprise was +100.00%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine ...

[Executive Summary](index=1&type=section&id=Executive%20Summary) [Key Financial Highlights (Q1 2024)](index=1&type=section&id=1.1%20Key%20Financial%20Highlights%20%28Q1%202024%29) Newell Brands reported sequential improvement in core sales and significant expansion in gross and operating margins for Q1 2024, substantially reducing net loss and increasing operating cash flow, while affirming its full-year 2024 outlook Q1 2024 Key Financial Highlights (YoY Change) | Metric | Q1 2024 Value | Q1 2023 Value | YoY Change | | :-------------------------- | :------------ | :------------ | :--------- | | Net Sales | $1.7 billion | $1.8 billion | -8.4% | | Core Sales | N/A | N/A | -4.7% | | Reported Gross Margin | 30.5% | 26.7% | +3.8 pp | | Normalized Gross Margin | 31.2% | 27.1% | +4.1 pp | | Reported Operating Margin | 1.0% | -2.0% | +3.0 pp | | Normalized Operating Margin | 4.6% | 2.4% | +2.2 pp | | Reported Net Loss | $9 million | $102 million | -91.2% | | Normalized Net Loss | $2 million | $26 million | -92.3% | | Reported Diluted Loss Per Share | $0.02 | $0.25 | -92.0% | | Normalized Diluted Loss Per Share | $0.00 | $0.06 | -100.0% | | Operating Cash Flow | $32 million | -$77 million | +$109 million | [Strategic and Operational Progress](index=1&type=section&id=1.2%20Strategic%20and%20Operational%20Progress) The company's new strategy, focusing on innovation, brand building, and go-to-market excellence, has driven significant operational and financial progress, including strong gross margin expansion and improved operating cash flow - Decisive actions from the new strategy led to excellent progress on major operational and financial priorities[2](index=2&type=chunk) - Core sales performance improved sequentially in the first quarter[2](index=2&type=chunk) - Normalized operating margin nearly **doubled versus last year**, and operating cash flow meaningfully increased[2](index=2&type=chunk) - Gross margin expansion for the third consecutive quarter was enabled by world-class productivity, favorable mix, and pricing[2](index=2&type=chunk) - Working capital reduction, combined with operating income growth, resulted in positive operating cash flow, which is historically challenging due to business seasonality[2](index=2&type=chunk) [First Quarter 2024 Financial Performance](index=2&type=section&id=First%20Quarter%202024%20Financial%20Performance) [Consolidated Operating Results](index=2&type=section&id=2.1%20Consolidated%20Operating%20Results) Newell Brands' Q1 2024 consolidated operating results showed an 8.4% decline in net sales, but significant improvements in gross and operating margins, driven by productivity, pricing, and strategic initiatives, leading to a reduced net loss [Net Sales and Core Sales](index=2&type=section&id=2.1.1%20Net%20Sales%20and%20Core%20Sales) Net sales declined by 8.4% to $1.7 billion, with core sales decreasing by 4.7%, primarily due to unfavorable foreign exchange and business exits, partially offset by pricing in international markets Q1 2024 Sales Performance | Metric | Q1 2024 | Q1 2023 | YoY Change | | :-------- | :------ | :------ | :--------- | | Net Sales | $1.7 billion | $1.8 billion | -8.4% | | Core Sales | N/A | N/A | -4.7% | - Net sales decline reflects core sales decline, unfavorable foreign exchange, and business exits[4](index=4&type=chunk) - Pricing in international markets to offset inflation and currency movements was a meaningful contributor to core sales performance[4](index=4&type=chunk) [Gross Margin](index=2&type=section&id=2.1.2%20Gross%20Margin) Both reported and normalized gross margins expanded significantly, marking the third consecutive quarter of year-over-year improvement, primarily due to productivity savings, favorable mix, and pricing Q1 2024 Gross Margin Performance | Metric | Q1 2024 | Q1 2023 | YoY Change (pp) | | :-------------------- | :------ | :------ | :-------------- | | Reported Gross Margin | 30.5% | 26.7% | +3.8 | | Normalized Gross Margin | 31.2% | 27.1% | +4.1 | - Benefits from productivity savings, mix, and pricing more than offset the impact of inflation and slightly higher restructuring-related charges[5](index=5&type=chunk) - Normalized gross margin improvement represents the **third consecutive quarter of year-over-year growth**[5](index=5&type=chunk) [Operating Income and Margin](index=2&type=section&id=2.1.3%20Operating%20Income%20and%20Margin) The company transitioned from an operating loss to an operating income, with reported operating margin increasing to 1.0% and normalized operating margin to 4.6%, driven by mix, pricing, and savings from strategic initiatives Q1 2024 Operating Income and Margin Performance | Metric | Q1 2024 | Q1 2023 | YoY Change | | :-------------------------- | :------ | :------ | :--------- | | Reported Operating Income | $16 million | -$36 million | NM | | Reported Operating Margin | 1.0% | -2.0% | +3.0 pp | | Normalized Operating Income | $76 million | $43 million | +76.7% | | Normalized Operating Margin | 4.6% | 2.4% | +2.2 pp | - Improvements were driven by contributions from mix, pricing, and savings from productivity, Project Phoenix, and organizational realignment, as well as lower restructuring costs[6](index=6&type=chunk) - These benefits more than offset the impact of lower net sales, inflation, and higher advertising and promotion expense[6](index=6&type=chunk) [Net Loss and EPS](index=2&type=section&id=2.1.4%20Net%20Loss%20and%20EPS) Newell Brands significantly reduced its reported net loss to $9 million and normalized net loss to $2 million, leading to a substantial improvement in diluted loss per share on both reported and normalized bases Q1 2024 Net Loss and EPS Performance | Metric | Q1 2024 | Q1 2023 | YoY Change | | :-------------------------- | :------ | :------ | :--------- | | Reported Net Loss | -$9 million | -$102 million | +91.2% | | Normalized Net Loss | -$2 million | -$26 million | +92.3% | | Reported Diluted Loss Per Share | -$0.02 | -$0.25 | +92.0% | | Normalized Diluted Loss Per Share | -$0.00 | -$0.06 | +100.0% | | Normalized EBITDA | $143 million | $109 million | +31.2% | [Balance Sheet and Cash Flow](index=2&type=section&id=2.2%20Balance%20Sheet%20and%20Cash%20Flow) The company demonstrated improved liquidity and financial health in Q1 2024, with a significant increase in operating cash flow and a reduction in inventories and overall debt compared to the prior year Q1 2024 Balance Sheet and Cash Flow Highlights | Metric | March 31, 2024 | March 31, 2023 | YoY Change | | :-------------------------- | :------------- | :------------- | :--------- | | Operating Cash Flow | $32 million | -$77 million | +$109 million | | Inventories | $1.695 billion | ~$2.245 billion* | -$550 million | | Debt Outstanding | $5.0 billion | $5.6 billion | -$0.6 billion | | Cash and Cash Equivalents | $372 million | $271 million | +$101 million | *Note: Q1 2023 inventory is estimated by adding the $550 million decrease to Q1 2024 inventory - Operating cash flow improvement was mostly driven by working capital management and an increase in operating income[10](index=10&type=chunk) [Segment Performance](index=2&type=section&id=2.3%20Segment%20Performance) Segment performance in Q1 2024 was mixed, with Home & Commercial Solutions and Outdoor & Recreation experiencing net sales declines, while Learning & Development achieved core sales growth despite a slight net sales decrease [Home & Commercial Solutions](index=2&type=section&id=2.3.1%20Home%20%26%20Commercial%20Solutions) The Home & Commercial Solutions segment saw a net sales decline of 8.0% and a core sales decline of 4.3%, as growth in Commercial was offset by declines in Kitchen and Home Fragrance, significantly improving its operating profitability Q1 2024 Home & Commercial Solutions Performance | Metric | Q1 2024 | Q1 2023 | YoY Change | | :-------------------------- | :------ | :------ | :--------- | | Net Sales | $893 million | $971 million | -8.0% | | Core Sales | N/A | N/A | -4.3% | | Reported Operating Income | $16 million | -$37 million | NM | | Reported Operating Margin | 1.8% | -3.8% | +5.6 pp | | Normalized Operating Income | $41 million | -$4 million | NM | | Normalized Operating Margin | 4.6% | -0.4% | +5.0 pp | - Core sales growth in Commercial, primarily driven by pricing in international markets, was more than offset by declines in the Kitchen and Home Fragrance businesses[12](index=12&type=chunk) [Learning & Development](index=3&type=section&id=2.3.2%20Learning%20%26%20Development) The Learning & Development segment experienced a slight net sales decline of 0.9%, but achieved core sales growth of 1.8%, with increases in both Writing and Baby businesses, primarily due to international pricing, and operating income and margin improved substantially Q1 2024 Learning & Development Performance | Metric | Q1 2024 | Q1 2023 | YoY Change | | :-------------------------- | :------ | :------ | :--------- | | Net Sales | $559 million | $564 million | -0.9% | | Core Sales | N/A | N/A | +1.8% | | Reported Operating Income | $94 million | $72 million | +30.6% | | Reported Operating Margin | 16.8% | 12.8% | +4.0 pp | | Normalized Operating Income | $104 million | $82 million | +26.8% | | Normalized Operating Margin | 18.6% | 14.5% | +4.1 pp | - Core sales growth in Writing was primarily driven by pricing in international markets[14](index=14&type=chunk) [Outdoor & Recreation](index=3&type=section&id=2.3.3%20Outdoor%20%26%20Recreation) The Outdoor & Recreation segment faced a significant net sales decline of 25.6% and a core sales decline of 20.3%, leading to a reported and normalized operating loss, impacted by unfavorable foreign exchange and business exits Q1 2024 Outdoor & Recreation Performance | Metric | Q1 2024 | Q1 2023 | YoY Change | | :-------------------------- | :------ | :------ | :--------- | | Net Sales | $201 million | $270 million | -25.6% | | Core Sales | N/A | N/A | -20.3% | | Reported Operating Loss | -$18 million | -$1 million | NM | | Reported Operating Margin | -9.0% | -0.4% | -8.6 pp | | Normalized Operating Loss | -$10 million | $13 million | NM | | Normalized Operating Margin | -5.0% | 4.8% | -9.8 pp | [Strategic Initiatives and Outlook](index=3&type=section&id=Strategic%20Initiatives%20and%20Outlook) [Organizational Realignment Update](index=3&type=section&id=3.1%20Organizational%20Realignment%20Update) Newell Brands is implementing an organizational realignment plan to strengthen commercial capabilities, improve accountability, and unlock operational efficiencies, involving significant organizational design changes and expected to generate substantial annualized pretax savings - The Realignment Plan aims to strengthen front-end commercial capabilities, improve accountability, unlock operational efficiencies, and reduce complexity[16](index=16&type=chunk) - Key organizational design changes include standing up a cross-functional brand management organization, realigning business unit finance, simplifying regional go-to-market structures, and centralizing various teams[16](index=16&type=chunk) - The company expects to realize annualized pretax savings of **$65 million to $90 million**, net of reinvestment, with **$55 million to $70 million expected in 2024**[16](index=16&type=chunk) - Restructuring and related charges are estimated to be **$75 million to $90 million**, with **$22 million incurred in Q1 2024**[16](index=16&type=chunk) [Financial Outlook (Q2 and Full Year 2024)](index=3&type=section&id=3.2%20Financial%20Outlook%20%28Q2%20and%20Full%20Year%202024%29) Newell Brands initiated its outlook for Q2 2024 and affirmed its full-year 2024 outlook, projecting continued sales declines but maintaining targets for normalized operating margin and EPS, alongside positive operating cash flow Q2 and Full Year 2024 Financial Outlook | Metric | Q2 2024 Outlook | Full Year 2024 Outlook | | :-------------------------- | :-------------- | :--------------------- | | Net Sales | 9% to 7% decline | 8% to 5% decline | | Core Sales | 6% to 4% decline | 6% to 3% decline | | Normalized Operating Margin | 9.1% to 9.6% | 7.8% to 8.2% | | Normalized EPS | $0.18 to $0.21 | $0.52 to $0.62 | - The company continues to expect full year 2024 operating cash flow of **$400 million to $500 million**, including approximately **$150 million to $200 million** in cash payments associated with restructuring and related initiatives[18](index=18&type=chunk) [Company Information and Disclosures](index=4&type=section&id=Company%20Information%20and%20Disclosures) [About Newell Brands](index=5&type=section&id=4.1%20About%20Newell%20Brands) Newell Brands is a leading global consumer goods company known for a diverse portfolio of well-recognized brands, focused on enhancing everyday consumer experiences - Newell Brands is a leading global consumer goods company with a strong portfolio of well-known brands[29](index=29&type=chunk) - Key brands include Rubbermaid, Sharpie, Graco, Coleman, Yankee Candle, Paper Mate, and Oster[29](index=29&type=chunk) [Non-GAAP Financial Measures Explanation](index=4&type=section&id=4.2%20Non-GAAP%20Financial%20Measures%20Explanation) The company utilizes various non-GAAP financial measures, such as core sales and normalized metrics, to provide investors with a clearer understanding of underlying business performance and liquidity by excluding certain non-recurring or non-operational items - Non-GAAP measures are used to explain results to stockholders, evaluate performance internally, and determine management incentive compensation[23](index=23&type=chunk) - Core sales provide a complete understanding of underlying sales trends by excluding impacts of acquisitions, divestitures, retail store changes, market exits, and foreign exchange[24](index=24&type=chunk) - Normalized metrics (gross margin, operating income/margin, EBITDA, net income, EPS, interest, tax benefit/expense) exclude restructuring, one-time events, impairment charges, and other specific items to offer a meaningful perspective on core ongoing operations[24](index=24&type=chunk) - Normalized EBITDA is an ongoing liquidity measure calculated as normalized earnings before interest, tax, depreciation, amortization, and stock-based compensation expense[24](index=24&type=chunk)[25](index=25&type=chunk) [Caution Concerning Forward-Looking Statements](index=5&type=section&id=4.3%20Caution%20Concerning%20Forward-Looking%20Statements) The report contains forward-looking statements subject to inherent difficulties in prediction and various risks and uncertainties that could cause actual results to differ materially from projections - Forward-looking statements are not guarantees due to inherent difficulties in predicting future results[30](index=30&type=chunk) - Important factors that could cause actual results to differ include the ability to optimize costs and cash flow, dependence on retail and consumer demand, productivity improvements, risks related to indebtedness, competition, supply chain disruptions, and geopolitical conditions[30](index=30&type=chunk)[32](index=32&type=chunk) - Other risks include changes in raw material prices, ability to execute turnaround plans, foreign operations risks, potential impairment charges, and regulatory impacts[32](index=32&type=chunk) [Financial Statements and Reconciliations (Unaudited)](index=7&type=section&id=Financial%20Statements%20and%20Reconciliations%20%28Unaudited%29) [Condensed Consolidated Statements of Operations](index=7&type=section&id=5.1%20Condensed%20Consolidated%20Statements%20of%20Operations) This section presents the unaudited condensed consolidated statements of operations for Newell Brands for the three months ended March 31, 2024, and 2023, detailing revenue, expenses, and net loss Condensed Consolidated Statements of Operations (Unaudited, in millions of USD) | | Three Months Ended March 31, | | :----------------------------------- | :--- | :--- | | | 2024 | 2023 | | Net sales | $1,653 | $1,805 | | Cost of products sold | 1,149 | 1,323 | | Gross profit | 504 | 482 | | Selling, general and administrative expenses | 462 | 480 | | Restructuring costs, net | 26 | 38 | | Operating income (loss) | 16 | (36) | | Non-operating expenses: | | | | Interest expense, net | 70 | 68 | | Loss on extinguishment and modification of debt | 1 | — | | Other expense, net | 5 | 12 | | Loss before income taxes | (60) | (116) | | Income tax benefit | (51) | (14) | | Net loss | $(9) | $(102) | | Weighted average common shares outstanding: | | | | Basic | 414.7 | 413.9 | | Diluted | 414.7 | 413.9 | | Loss per share: | | | | Basic | $(0.02) | $(0.25) | | Diluted | $(0.02) | $(0.25) | | Dividends per share | $0.07 | $0.23 | [Consolidated Balance Sheets](index=8&type=section&id=5.2%20Consolidated%20Balance%20Sheets) This section provides the unaudited consolidated balance sheets for Newell Brands as of March 31, 2024, and December 31, 2023, detailing assets, liabilities, and stockholders' equity Consolidated Balance Sheets (Unaudited, in millions of USD) | Assets | March 31, 2024 | December 31, 2023 | | :---------------------------------- | :------------- | :---------------- | | Current assets | | | | Cash and cash equivalents | $372 | $332 | | Accounts receivable, net | 958 | 1,195 | | Inventories | 1,695 | 1,531 | | Prepaid expenses and other current assets | 376 | 296 | | Total current assets | 3,401 | 3,354 | | Property, plant and equipment, net | 1,194 | 1,212 | | Operating lease assets | 492 | 515 | | Goodwill | 3,059 | 3,071 | | Other intangible assets, net | 2,447 | 2,488 | | Deferred income taxes | 775 | 806 | | Other assets | 732 | 717 | | Total Assets | $12,100 | $12,163 | | Liabilities and Stockholders' Equity | | | | Current liabilities | | | | Accounts payable | $1,038 | $1,003 | | Other accrued liabilities | 1,489 | 1,565 | | Short-term debt and current portion of long-term debt | 429 | 329 | | Total current liabilities | 2,956 | 2,897 | | Long-term debt | 4,558 | 4,575 | | Deferred income taxes | 237 | 241 | | Operating lease liabilities | 422 | 446 | | Other noncurrent liabilities | 851 | 892 | | Total liabilities | 9,024 | 9,051 | | Total stockholders' equity | 3,076 | 3,112 | | Total Liabilities and Stockholders' Equity | $12,100 | $12,163 | [Consolidated Statements of Cash Flows](index=9&type=section&id=5.3%20Consolidated%20Statements%20of%20Cash%20Flows) This section presents the unaudited consolidated statements of cash flows for Newell Brands for the three months ended March 31, 2024, and 2023, outlining cash flows from operating, investing, and financing activities Consolidated Statements of Cash Flows (Unaudited, in millions of USD) | Cash flows from operating activities: | 2024 | 2023 | | :---------------------------------------------------------------- | :--- | :--- | | Net loss | $(9) | $(102) | | Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | | | | Depreciation and amortization | 85 | 81 | | Deferred income taxes | 8 | 6 | | Stock based compensation expense | 16 | 11 | | Other, net | (3) | (9) | | Changes in operating accounts: | | | | Accounts receivable | 221 | 45 | | Inventories | (178) | (27) | | Accounts payable | 38 | 26 | | Accrued liabilities and other | (146) | (108) | | Net cash provided by (used in) operating activities | 32 | (77) | | Cash flows from investing activities: | | | | Capital expenditures | (59) | (83) | | Swap proceeds | 8 | 14 | | Other investing activities, net | 1 | 1 | | Net cash used in investing activities | (50) | (68) | | Cash flows from financing activities: | | | | Proceeds from (payments on) short-term debt, net | (131) | 232 | | Proceeds from short-term debt with original maturities greater than 90 days | 431 | — | | Payments on short-term debt with original maturities greater than 90 days | (200) | — | | Cash dividends | (31) | (97) | | Equity compensation activity and other, net | (9) | (7) | | Net cash provided by financing activities | 60 | 128 | | Exchange rate effect on cash, cash equivalents and restricted cash | (3) | (1) | | Increase (decrease) in cash, cash equivalents and restricted cash | 39 | (18) | | Cash, cash equivalents and restricted cash at beginning of period | 361 | 303 | | Cash, cash equivalents and restricted cash at end of period | $400 | $285 | | Supplemental disclosures: | | | | Restricted cash at beginning of period | $29 | $16 | | Restricted cash at end of period | 28 | 14 | [Reconciliation of GAAP and Non-GAAP Information](index=10&type=section&id=5.4%20Reconciliation%20of%20GAAP%20and%20Non-GAAP%20Information) This section provides detailed reconciliations of various GAAP financial measures to their corresponding non-GAAP counterparts, including adjustments for restructuring, acquisition amortization, and other specific items, across different financial statements and segments [Certain Line Items Reconciliation](index=10&type=section&id=5.4.1%20Certain%20Line%20Items%20Reconciliation) This reconciliation details the adjustments made to GAAP reported figures to arrive at normalized financial measures for key income statement line items for the three months ended March 31, 2024, and 2023 Q1 2024 GAAP to Non-GAAP Reconciliation (Certain Line Items, in millions of USD) | | GAAP Reported | Restructuring and related costs | Acquisition amortization | Transaction costs and other [1] | Normalized* | | :---------------------------------- | :------------ | :------------------------------ | :----------------------- | :------------------------------ | :---------- | | Net sales | $1,653 | $— | $— | $— | $1,653 | | Cost of products sold | 1,149 | (8) | — | (4) | 1,137 | | Gross profit | 504 | 8 | — | 4 | 516 | | Gross margin % | 30.5% | | | | 31.2% | | Selling, general and administrative expenses | 462 | (5) | (25) | 8 | 440 | | SG&A % | 27.9% | | | | 26.6% | | Restructuring costs, net | 26 | (26) | — | — | — | | Operating income (loss) | 16 | 39 | 25 | (4) | 76 | | Operating margin % | 1.0% | | | | 4.6% | | Non-operating (income) expense | 76 | — | — | (3) | 73 | | Income (loss) before income taxes | (60) | 39 | 25 | (1) | 3 | | Income tax provision (benefit) [2] | (51) | 41 | 26 | (11) | 5 | | Net income (loss) | $(9) | $(2) | $(1) | $10 | $(2) | | Diluted earnings (loss) per share ** | $(0.02) | $0.00 | $0.00 | $0.02 | $0.00 | Q1 2023 GAAP to Non-GAAP Reconciliation (Certain Line Items, in millions of USD) | | GAAP Reported | Restructuring and related costs | Acquisition amortization | Transaction costs and other [1] | Normalized* | | :---------------------------------- | :------------ | :------------------------------ | :----------------------- | :------------------------------ | :---------- | | Net sales | $1,805 | $— | $— | $— | $1,805 | | Cost of products sold | 1,323 | (5) | — | (2) | 1,316 | | Gross profit | 482 | 5 | — | 2 | 489 | | Gross margin % | 26.7% | | | | 27.1% | | Selling, general and administrative expenses | 480 | (8) | (19) | (7) | 446 | | SG&A % | 26.6% | | | | 24.7% | | Restructuring costs, net | 38 | (38) | — | — | — | | Operating income (loss) | (36) | 51 | 19 | 9 | 43 | | Operating margin % | (2.0)% | | | | 2.4% | | Non-operating (income) expense | 80 | — | — | (10) | 70 | | Income (loss) before income taxes | (116) | 51 | 19 | 19 | (27) | | Income tax provision (benefit) [2] | (14) | 13 | 5 | (5) | (1) | | Net income (loss) | $(102) | $38 | $14 | $24 | $(26) | | Diluted earnings (loss) per share ** | $(0.25) | $0.09 | $0.03 | $0.06 | $(0.06) | [Segment Reporting Reconciliation](index=12&type=section&id=5.4.2%20Segment%20Reporting%20Reconciliation) This section reconciles reported operating income (loss) and margin to normalized operating income (loss) and margin for each operating segment (Home & Commercial Solutions, Learning & Development, Outdoor & Recreation) for Q1 2024 and Q1 2023 Q1 2024 & Q1 2023 Segment Reporting Reconciliation (in millions of USD) | Segment | Q1 2024 Net Sales | Q1 2024 Reported Operating Income (Loss) | Q1 2024 Reported Operating Margin | Q1 2024 Normalized Items [1] | Q1 2024 Normalized Operating Income (Loss) | Q1 2024 Normalized Operating Margin | Q1 2023 Net Sales | Q1 2023 Reported Operating Income (Loss) | Q1 2023 Reported Operating Margin | Q1 2023 Normalized Items [2] | Q1 2023 Normalized Operating Income (Loss) | Q1 2023 Normalized Operating Margin | | :-------------------------- | :---------------- | :--------------------------------------- | :-------------------------------- | :----------------------------- | :----------------------------------------- | :---------------------------------- | :---------------- | :--------------------------------------- | :-------------------------------- | :----------------------------- | :----------------------------------------- | :---------------------------------- | | Home and Commercial Solutions | $893 | $16 | 1.8% | $25 | $41 | 4.6% | $971 | $(37) | (3.8)% | $33 | $(4) | (0.4)% | | Learning and Development | 559 | 94 | 16.8% | 10 | 104 | 18.6% | 564 | 72 | 12.8% | 10 | 82 | 14.5% | | Outdoor and Recreation | 201 | (18) | (9.0)% | 8 | (10) | (5.0)% | 270 | (1) | (0.4)% | 14 | 13 | 4.8% | | Corporate | — | (76) | —% | 17 | (59) | —% | — | (70) | —% | 22 | (48) | —% | | Total Company | $1,653 | $16 | 1.0% | $60 | $76 | 4.6% | $1,805 | $(36) | (2.0)% | $79 | $43 | 2.4% | [Core Sales Growth Reconciliation](index=13&type=section&id=5.4.3%20Core%20Sales%20Growth%20Reconciliation) This section reconciles reported net sales growth to core sales growth for Q1 2024, breaking down the impact of acquisitions, divestitures, and currency fluctuations by segment and geography Q1 2024 Core Sales Growth by Segment | Segment | Net Sales (Reported) | Acquisitions, Divestitures and Other, Net [2] | Currency Impact [3] | Core Sales [1] [4] | | :-------------------------- | :------------------- | :------------------------------------------ | :------------------ | :----------------- | | Home and Commercial Solutions | (8.0)% | 0.7% | 3.0% | (4.3)% | | Learning and Development | (0.9)% | —% | 2.7% | 1.8% | | Outdoor and Recreation | (25.6)% | 0.9% | 4.4% | (20.3)% | | Total Company | (8.4)% | 0.6% | 3.1% | (4.7)% | Q1 2024 Core Sales Growth by Geography | Geography | Net Sales (Reported) | Acquisitions, Divestitures and Other, Net [2] | Currency Impact [3] | Core Sales [1] [4] | | :---------------- | :------------------- | :------------------------------------------ | :------------------ | :----------------- | | North America | (9.1)% | 0.7% | —% | (8.4)% | | International | (7.2)% | 0.4% | 9.1% | 2.3% | | Total Company | (8.4)% | 0.6% | 3.1% | (4.7)% | [Normalized EBITDA Reconciliation](index=14&type=section&id=5.4.4%20Normalized%20EBITDA%20Reconciliation) This reconciliation details the adjustments from net loss to Normalized EBITDA for the three months ended March 31, 2024, and 2023, highlighting the impact of restructuring, acquisition amortization, and other non-GAAP items Q1 2024 & Q1 2023 Normalized EBITDA Reconciliation (in millions of USD) | | Three Months Ended March 31, | | :------------------------------------------ | :--- | :--- | | | 2024 | 2023 | | Net loss [1] | $(9) | $(102) | | Restructuring and restructuring-related costs | (2) | 38 | | Acquisition amortization and impairment | (1) | 14 | | Transaction costs and other (income) expense, net | 10 | 24 | | Total normalized items, net of tax [1] | 7 | 76 | | NORMALIZED NET LOSS [1] | (2) | (26) | | Normalized income tax [1] | 5 | (1) | | Interest expense, net [2] | 70 | 68 | | Normalized depreciation and amortization [1] [3] [4] | 54 | 57 | | Stock-based compensation [3] | 16 | 11 | | NORMALIZED EBITDA | $143 | $109 | [Net Debt and Normalized EBITDA Reconciliation (TTM)](index=15&type=section&id=5.4.5%20Net%20Debt%20and%20Normalized%20EBITDA%20Reconciliation%20%28TTM%29) This section provides a reconciliation of net debt and trailing-twelve-month (TTM) Normalized EBITDA as of March 31, 2024, December 31, 2023, and March 31, 2023, offering a view of the company's leverage and operational cash generation over a longer period Net Debt and Normalized EBITDA Reconciliation (TTM, in millions of USD) | | March 31, 2024 | December 31, 2023 [2] | March 31, 2023 | | :------------------------------------------ | :------------- | :-------------------- | :------------- | | NET DEBT RECONCILIATION: | | | | | Short-term debt and current portion of long-term debt | $429 | $329 | $852 | | Long-term debt | 4,558 | 4,575 | 4,776 | | Gross debt | 4,987 | 4,904 | 5,628 | | Less: Cash and cash equivalents | 372 | 332 | 271 | | NET DEBT [1] | $4,615 | $4,572 | $5,357 | | Normalized EBITDA (TTM): | | | | | Net loss [3] | $(295) | $(388) | $(133) | | Restructuring and restructuring-related costs | 113 | 153 | 59 | | Acquisition amortization and impairment | 361 | 376 | 461 | | Transaction costs and other (income) expense, net | 175 | 189 | 92 | | Total normalized items, net of tax [3] | 649 | 718 | 612 | | NORMALIZED NET INCOME | 354 | 330 | 479 | | Normalized income tax [3] | (62) | (68) | (19) | | Interest expense, net [3] | 285 | 283 | 244 | | Normalized depreciation and amortization [3] [4] | 224 | 227 | 224 | | Stock-based compensation [3] [5] | 55 | 50 | 9 | | NORMALIZED EBITDA | $856 | $822 | $937 | [Core Sales Outlook Reconciliation](index=16&type=section&id=5.4.6%20Core%20Sales%20Outlook%20Reconciliation) This reconciliation provides the estimated net sales change (GAAP) and reconciles it to the core sales change (non-GAAP) for the second quarter and full year 2024 outlook, detailing the estimated impact of currency and divestitures Q2 and Full Year 2024 Core Sales Outlook Reconciliation | | Three Months Ending June 30, 2024 | Twelve Months Ending December 31, 2024 | | :------------------------------------------ | :-------------------------------- | :----------------------------------- | | Estimated net sales change (GAAP) | (9)% to (7)% | (8)% to (5)% | | Estimated currency impact [1] and divestitures [2], net | ~3% | ~3% | | Core sales change (NON-GAAP) [3] | (6)% to (4)% | (6)% to (3)% |

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE FISCAL YEAR ENDED COMMISSION FILE NUMBER December 31, 2023 1-9608 NEWELL BRANDS INC. (EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER) Delaware 36-3514169 (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification No.) 6655 Peachtree Dunwoody Road, 30328 Atlanta, Georgia (Zip Code) (Address of p ...

Financial Data and Key Metrics Changes - Full-year sales exceeded expectations, driven by stronger-than-expected U.S. demand, with a normalized gross margin improvement of 570 basis points year-over-year [17][25] - Operating cash flow increased by $1.2 billion compared to 2022, totaling $930 million for the year, aided by a $700 million inventory reduction [17][29] - Net debt was reduced by approximately $500 million, with a leverage ratio decreasing from 6.1x at the end of Q3 to 5.6x at the end of Q4 [18][29] Business Line Data and Key Metrics Changes - Core sales declined by 12%, primarily due to category contraction and retailer inventory actions, with 80% of the decline attributed to these factors [18][26] - The normalized gross margin for Q4 was 32.3%, reflecting a 100 basis point sequential improvement and the second consecutive quarter of year-over-year expansion [26][27] - SG&A savings from Project Phoenix amounted to $53 million in Q4, contributing to a normalized operating margin increase of 280 basis points to 7.7% [27][28] Market Data and Key Metrics Changes - International markets accounted for approximately 37% of Newell's sales in 2023, representing a significant growth opportunity [11] - The company expects core sales and net sales to decline by 3% to 6% and 5% to 8% respectively in 2024, with market growth projected to be down low single digits [30][31] Company Strategy and Development Direction - The company introduced a new corporate strategy focusing on innovation, brand building, and go-to-market excellence in its top 25 brands and top 10 markets [6][7] - Plans for 2024 include operationalizing the new strategy, improving top-line performance, driving gross margin improvements, and reducing complexity through business process redesign [20][21][22] Management's Comments on Operating Environment and Future Outlook - The macroeconomic backdrop is expected to remain challenging, with consumers under pressure and geopolitical uncertainties affecting operations [19] - Management expressed confidence in returning to sustainable and profitable growth, with expectations for improved market share performance as capability improvements take effect [20][47] Other Important Information - The company plans to invest approximately $300 million in capital expenditures in 2024, primarily on high-return cost-saving projects [42] - The new business development team has already secured incremental distribution with new customers, contributing to better-than-expected core sales in Q4 [49] Q&A Session Summary Question: What confidence do you have in the top line trajectory? - Management noted positive signs, with market share growth on eight of the top 25 brands expected to increase in 2024 [41] Question: Can you provide background on the credit agreement changes? - The company amended its credit facility to enhance financial flexibility, resulting in a secured facility with additional covenants [53][55] Question: What is the long-term gross margin target? - The long-term target remains in the high 30s, with expectations for gross margin improvement driven by exiting unattractive business segments and productivity savings [57][58] Question: How will the new initiatives impact sales mix? - The eight Tier 1 and 2 initiatives will build throughout the year, with the first product launching in March [62] Question: What is the outlook for the Outdoor & Recreation business? - This segment is expected to take longer to turn around, but improvements are anticipated in 2024 relative to 2023 [107]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the Quarterly Period Ended September 30, 2023 Commission File Number 1-9608 NEWELL BRANDS INC. (Exact name of registrant as specified in its charter) Delaware 36-3514169 (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification No.) 6655 Peachtree Dunwoody Road, Atlanta, Georgia 3 ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 for the Quarterly Period Ended June 30, 2023 Commission File Number 1-9608 NEWELL BRANDS INC. (Exact name of registrant as specified in its charter) Delaware 36-3514169 (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification No.) 6655 Peachtree Dunwoody Road, Atlanta, Georgia 30328 ...