Core Viewpoint - Spectrum Brands Holdings Inc. has shown strong quarterly earnings, leading to an upgrade in its stock rating and price target by Oppenheimer, enhancing its attractiveness to investors [1][6]. Financial Performance - The company reported earnings per share (EPS) of $1.40, exceeding the consensus estimate of $0.77 by $0.63 [2][6]. - Revenue for the quarter was $677 million, surpassing the consensus estimate of $667.59 million, although it represented a 3.3% decrease compared to the same quarter last year [3]. - The return on equity was 7.29% and the net margin was 3.56% [3]. Stock Performance - Following the earnings announcement, the stock price increased significantly from a closing price of $68.44 to a last traded price of $73.50, reflecting a notable rise [2]. - The stock symbol SPB is currently priced at $75.43, showing an increase of 10.21% with a trading volume of 887,617 shares [4]. Dividend Announcement - Spectrum Brands announced a quarterly dividend of $0.47 per share, payable on March 10th, which adds to the stock's appeal by providing a steady income stream for investors [5][6].

Core Insights - Spectrum Brands Holdings Inc. (SPB) reported strong first-quarter fiscal 2026 results, with earnings and revenue exceeding expectations, leading to a 10.2% increase in share price [1][3][7] Financial Performance - Adjusted earnings per share (EPS) reached $1.40, up from $1.02 year-over-year, and surpassed the Zacks Consensus Estimate of $0.77, primarily due to lower income tax and reduced outstanding shares [3][7] - Net sales declined 3.3% year-over-year to $677 million, exceeding the Zacks Consensus Estimate of $666 million, with organic net sales down 6% when excluding favorable foreign currency impacts of $18.5 million [4][7] - Gross profit fell 16.2% year-over-year to $241.6 million, influenced by lower volumes, increased trade spending, and higher tariff-related costs, resulting in a gross margin contraction of 110 basis points to 35.7% [5][7] - Adjusted EBITDA from continuing operations decreased 15.2% year-over-year to $62.6 million, with an adjusted EBITDA margin contraction of 190 basis points to 9.2% [6][7] Segment Performance - Home & Personal Care segment sales dropped 26.6% year-over-year to $321.5 million, with organic net sales declining 7.6% [8] - Global Pet Care segment sales increased 21.6% year-over-year to $281.6 million, with organic net sales improving 8.3% [11] - Home & Garden segment sales fell 18.2% year-over-year to $73.9 million, with organic net sales down 19.8% [14] Financial Position - As of December 28, 2025, SPB had a cash balance of $126.6 million and total outstanding debt of $578.9 million, with total liquidity of $618.8 million [16] - In the first quarter of fiscal 2026, SPB repurchased 0.6 million shares for $36 million, with an authorized repurchase program of $300 million [17] Outlook - Management expressed confidence in returning the Global Pet Care and Home & Garden segments to growth in fiscal 2026, while aiming for improved profitability across all segments [19] - The company projects flat to low-single-digit growth in reported net sales for fiscal 2026, with adjusted EBITDA expected to rise in the low-single digits [20]

Core Insights - Fiscal 2025 was challenging, but decisive actions have positioned the company for future growth, with first quarter net sales and adjusted EBITDA exceeding expectations despite ongoing headwinds [1][2] - The company is optimistic about the recovery in consumables, particularly in the global pet care business, which has returned to growth [4][44] - The overall financial results indicate that the company is on track to achieve its growth objectives for fiscal 2026, with expectations for net sales and adjusted EBITDA to show improvement [40][46] Financial Performance - First quarter net sales decreased by 3.3%, with organic net sales down 6%, primarily due to softness in the home and personal care business [16] - Adjusted EBITDA for the quarter was $62.6 million, a decrease of $15.2 million driven by lower volume and reduced gross margins [18] - The company generated nearly $660 million of adjusted free cash flow in the first quarter and repurchased approximately 600,000 shares [5][6] Business Unit Performance - The global pet care business reported an 8.3% increase in net sales, with organic net sales up 5.8%, driven by strong performance in companion animal categories [20][21] - Home and garden business net sales decreased by 19.8%, but the company expects sales to pick up as the season unfolds, with early indications of strong POS trends [27][29] - Home and personal care business saw a reported net sales decrease of 7.6%, with organic net sales down 11.1%, but there are signs of recovery in core markets [32][34] Strategic Initiatives - The company is focused on maintaining a healthy balance sheet and optimizing working capital, ending the first quarter with nearly $127 million in cash and a net leverage of 1.65 turns [9][12] - Strategic priorities for fiscal 2026 include investing in people, operational excellence, and transformation, with a focus on fewer, bigger, better initiatives [7][11] - The company is committed to disciplined expense management and is optimistic about the evolving M&A landscape, particularly in the global pet care and home and garden sectors [46][44] Market Outlook - The company expects net sales growth in the home and garden business to occur in the second half of the fiscal year, with anticipated improvements in consumer demand [41][39] - Adjusted EBITDA is expected to grow in low single digits, driven by the return to sales growth in the global pet care and home and garden businesses [40][46] - The company remains cautious about the home and personal care business, expecting continued softness in consumer demand in the near term [39][57]

Financial Data and Key Metrics Changes - The company reported a net sales decrease of 3.3% for Q1 2026, with organic net sales down 6% primarily due to softness in the Home and Personal Care business and an accelerated seasonal inventory build from the previous year [18] - Adjusted EBITDA for the quarter was $62.6 million, a decrease of $15.2 million, driven by lower volume and reduced gross margins [20] - The gross profit decreased by $16.2 million, with a gross margin of 35.7%, down 110 basis points [19] Business Line Data and Key Metrics Changes - Global Pet Care business reported an 8.3% increase in net sales, with organic net sales up 5.8%, driven by strong performance in companion animal and aquatics categories [23] - Home and Garden business saw a significant net sales decrease of 19.8%, attributed to prior year inventory build and typical seasonal trends [28] - Home and Personal Care business experienced a net sales decrease of 7.6%, with organic net sales down 11.1%, impacted by higher inventory levels at a key retailer [33] Market Data and Key Metrics Changes - North America showed growth in the Global Pet Care segment, with share gains in companion animal categories [8] - EMEA sales in the Global Pet Care segment decreased in the low single digits, primarily due to a decline in dog and cat food sales [24] - LATAM region reported high teens growth in Home and Personal Care, driven by positive consumer reactions to new product launches [34] Company Strategy and Development Direction - The company aims to maintain a healthy balance sheet and focus on operational excellence, with ongoing investments in brand innovation and strategic acquisitions [10][12] - The strategic priority includes a "fewer, bigger, better" approach to concentrate resources on high-impact initiatives [11] - The company is optimistic about the M&A landscape and aims to be a consolidator in the Global Pet Care and Home and Garden sectors [16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the recovery from tariff disruptions and macroeconomic volatility, noting early signs of recovery in consumables [7] - The company anticipates continued softness in the Home and Personal Care business but expects stabilization in the second half of the fiscal year [38] - Management reiterated expectations for flat to low single-digit growth in net sales and adjusted EBITDA for fiscal 2026 [39][46] Other Important Information - The company generated nearly $60 million of adjusted free cash flow in Q1 and repurchased approximately 600,000 shares [9] - A new $300 million share repurchase program has been authorized by the board [9] - The company ended the quarter with a cash balance of $126.6 million and net debt of $452.3 million [22] Q&A Session Summary Question: Has the pet market reached a bottom? - Management refrained from making definitive statements about market bottoms but expressed satisfaction with market share gains in the pet segment [48][49] Question: Commitment of retailers to the garden category? - Management is optimistic about the Home and Garden business, citing strong POS trends and new product launches [50][51] Question: Anticipated improvement in sales cadence? - Management expects the pet business to continue growing, while Home and Garden will see stronger performance in the second half of the year [58][59] Question: Levels of investment in brands? - Investment levels are deemed appropriate for Global Pet Care and Home and Garden, with potential pullbacks in Home and Personal Care based on recovery [62][64] Question: Innovation pipeline for FY 2026? - Management confirmed a strong pipeline of new products for both Home and Garden and Global Pet Care, with successful launches expected to drive growth [66] Question: Progress in the Home and Personal Care business? - Management acknowledged challenges but noted improvements in the North American market and a focus on strategic solutions for the business unit [71][76]

Financial Data and Key Metrics Changes - The company reported a net sales decrease of 3.3%, with organic net sales down 6% primarily due to demand softness in the Home and Personal Care business and an accelerated seasonal inventory build from the previous year [18] - Adjusted EBITDA for the quarter was $62.6 million, a decrease of $15.2 million, driven by lower volume and reduced gross margins [20] - The gross profit decreased by $16.2 million, with a gross margin of 35.7%, down 110 basis points [19] Business Line Data and Key Metrics Changes - Global Pet Care business reported an 8.3% increase in net sales, with organic net sales up 5.8%, driven by strong performance in companion animal and aquatics categories [23] - Home and Garden net sales decreased by 19.8%, aligning with historical averages for the first quarter, which is typically the slowest sales quarter [28][30] - Home and Personal Care reported a 7.6% decrease in net sales, with organic net sales down 11.1%, impacted by higher inventory levels at one retailer [33] Market Data and Key Metrics Changes - North America saw share gains in the Global Pet Care business, particularly in companion animal categories, despite overall category softness [8] - E-commerce for Home and Garden delivered the best-ever first quarter performance, indicating a shift in consumer purchasing behavior [30] - LATAM region experienced high teens growth in organic sales, driven by positive consumer reactions to new product launches [34] Company Strategy and Development Direction - The company aims to maintain a healthy balance sheet and focus on operational excellence, with ongoing investments in brand-building and innovation [10][12] - The strategic priority includes a disciplined approach to acquisitions, particularly in Global Pet Care and Home and Garden, while seeking to improve profitability in Home and Personal Care [16][46] - The company is committed to leveraging its strong financial position to capitalize on market opportunities and invest in high-impact initiatives [10][11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence that the most significant impacts from tariff disruptions and macroeconomic volatility are largely behind the company, with early signs of recovery in consumables [7] - The company anticipates a challenging second quarter but expects stronger performance in the second half of the fiscal year, particularly in Home and Garden [41] - Management highlighted the importance of a data-driven strategy focused on fewer, bigger, better initiatives to drive higher returns [46] Other Important Information - The company generated nearly $60 million of adjusted free cash flow in the first quarter and repurchased approximately 600,000 shares [9] - A new $300 million share repurchase program has been authorized by the board [9] - The company ended the first quarter with a cash balance of $126.6 million and a net leverage of 1.65 times [11] Q&A Session Summary Question: Has the pet market reached a bottom? - Management refrained from making predictions about market bottoms but expressed satisfaction with the new leadership and market share gains in the pet segment [50] Question: How committed are retailers to the garden category this season? - Management expressed optimism about the Home and Garden business, citing strong product innovation and positive consumer endorsements [52] Question: What is the outlook for improvement in sales growth? - Management indicated that while the second quarter may not show significant growth, the third and fourth quarters are expected to be strong for Home and Garden [60] Question: Are investment levels in brands appropriate? - Management stated that investment levels are currently appropriate for Global Pet Care and Home and Garden, but there may be a pullback in Home and Personal Care investments [66] Question: What is the innovation pipeline for FY 2026? - Management confirmed a strong pipeline of new products for both Home and Garden and Global Pet Care, with plans for expanded distribution [68] Question: How is the Home and Personal Care business evolving? - Management acknowledged challenges in the Home and Personal Care business but expressed confidence in the potential for improved profitability and strategic solutions [76]

Financial Data and Key Metrics Changes - In Q1 2026, net sales decreased by 3.3%, with organic net sales down 6% primarily due to softness in the Home and Personal Care business and an accelerated seasonal inventory build from the previous year [17] - Adjusted EBITDA for the quarter was $62.6 million, a decrease of $15.2 million, driven by lower volume and reduced gross margins [19] - Gross profit decreased by $16.2 million, with a gross margin of 35.7%, down 110 basis points [18] Business Line Data and Key Metrics Changes - Global Pet Care reported net sales increased by 8.3%, with organic net sales up 5.8%, driven by strong performance in companion animal and aquatics categories [21] - Home and Garden net sales decreased by 19.8%, aligning with historical averages for the first quarter, which is typically the slowest sales quarter [26] - Home and Personal Care saw reported net sales decrease by 7.6%, with organic net sales down 11.1%, impacted by higher inventory levels at a retailer following a weaker holiday season [31] Market Data and Key Metrics Changes - North America showed growth in the Global Pet Care segment, with sales increasing in both companion animal and aquatics [21] - EMEA sales in Global Pet Care decreased in the low single digits, primarily due to a decline in dog and cat food sales following a portfolio refresh [22] - LATAM region experienced high teens growth in Home and Personal Care, driven by positive consumer reactions to new product launches [32] Company Strategy and Development Direction - The company aims to maintain a healthy balance sheet and focus on operational excellence, with a disciplined approach to investments and a commitment to innovation [10][12] - The strategic priority includes transformation, with expectations for both Global Pet Care and Home and Garden businesses to return to growth in fiscal 2026 [13][15] - The company is optimistic about the evolving M&A landscape and aims to be a consolidator of choice in its categories [14][15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence that the most significant impacts from tariff disruptions and macroeconomic volatility are largely behind them, with early signs of recovery in consumables [5] - The company anticipates continued softness in global consumer demand within Home and Personal Care categories, with expectations for improvement in the second half of the fiscal year [37] - Management reiterated expectations for flat to low single-digit growth in net sales and low single-digit growth in Adjusted EBITDA for fiscal 2026 [45] Other Important Information - The company generated nearly $60 million of adjusted free cash flow in Q1 and repurchased approximately 600,000 shares [8] - A new $300 million share repurchase program has been authorized by the board [8] - The company ended the quarter with a cash balance of $126.6 million and $492.2 million available on its cash flow revolver [20] Q&A Session Questions and Answers Question: Do you agree with a competitor's assessment that the pet market has reached a bottom? - Management refrained from making predictions about market bottoms but expressed satisfaction with the new leadership and market share gains in the pet segment [48][49] Question: How committed are retailers to the garden category this upcoming season? - Management expressed bullishness on the Home and Garden business, citing strong POS trends and successful new product launches [50][51] Question: Can you discuss the anticipated improvement in sales growth for the year? - Management indicated that while the pet business is expected to continue growing, Home and Garden may see a more back-half weighted growth story due to disciplined inventory management by retailers [56][58] Question: Are investment levels in brands where you want them? - Management stated that investment levels are appropriate for Global Pet Care and Home and Garden, but there may be a pullback in Home and Personal Care investments based on recovery timing [62][64] Question: Can you elaborate on the innovation pipeline for FY 2026? - Management confirmed a strong pipeline of new products for both Home and Garden and Global Pet Care, with plans for expanded distribution [66]

Financial Performance - Net sales for the three-month period ended December 28, 2025, were $677.0 million, a decrease of 3.4% compared to $700.2 million for the same period in 2024[14] - Gross profit for the same period was $241.6 million, down from $257.8 million, reflecting a gross margin of approximately 35.7%[14] - Operating income decreased to $27.1 million from $44.7 million, indicating a decline of 39.5% year-over-year[14] - Net income for the three-month period was $28.4 million, compared to $23.8 million in the prior year, representing an increase of 19.3%[14] - Basic earnings per share from continuing operations rose to $1.25, up from $0.87, marking a significant increase of 43.7%[14] - Net income from continuing operations for the three months ended December 28, 2025, was $29.4 million, compared to $24.6 million for the same period in 2024, representing a 31.2% increase[22] - Segment Adjusted EBITDA for the three months ended December 28, 2025, is $74.2 million, down from $87.5 million in the prior year[92] - The company reported a net income attributable to controlling interest of $28.4 million for Q4 2025, compared to $23.5 million in Q4 2024, an increase of 20.8%[99] Assets and Liabilities - Total assets increased to $3,422.9 million as of December 28, 2025, compared to $3,379.6 million at the end of September 2025[11] - Total liabilities rose to $1,523.6 million, up from $1,469.9 million, indicating a 3.6% increase[11] - Cash and cash equivalents increased to $126.6 million from $123.6 million, showing a slight growth of 2.4%[11] - Total cash provided by operating activities from continuing operations was $67.7 million for the three months ended December 28, 2025, compared to a cash used of $71.9 million in the same period of 2024[22] - Cash, cash equivalents, and restricted cash at the end of the period was $130.1 million, an increase from $182.0 million at the end of the same period in 2024[22] - The carrying value of the company's debt was $538.6 million as of December 28, 2025, down from $566.2 million on September 30, 2025[70] Shareholder Returns - The company declared dividends of $10.9 million for the three months ended December 28, 2025, compared to $13.2 million in the same period of 2024, reflecting a decrease of 17.4%[22] - The company repurchased $35.5 million in treasury stock during the three months ended December 28, 2025, down from $72.9 million in the same period of 2024, indicating a 51.3% reduction in repurchases[22] - The company has repurchased $80.8 million worth of shares under a rule 10b5-1 repurchase plan initiated in June 2025[74] Market and Operational Insights - The company plans to focus on new product development and market expansion strategies to enhance future growth prospects[5] - North America contributed $350.5 million to total revenue, representing 51.8% of total revenue, while EMEA contributed $247.2 million, accounting for 36.5%[33] - Significant customers accounted for 37.1% of net sales for the three-month period ended December 28, 2025, slightly down from 38.0% in the prior year[34] - The Company anticipates costs related to a multi-year transformation project to continue through calendar year 2026[92] Foreign Exchange and Taxation - The company reported a foreign currency translation gain of $11.5 million for the period, contrasting with a loss of $65.1 million in the previous year[16] - The effective tax rate for the three-month period ended December 28, 2025, was (43.7)%, significantly lower than the 32.5% rate for the same period in 2024[81] Other Financial Metrics - The allowance for doubtful accounts increased to $7.1 million as of December 28, 2025, compared to $6.3 million as of September 30, 2025[36] - Total inventories as of December 28, 2025, were $450.8 million, up from $446.1 million as of September 30, 2025[40] - Total debt as of December 28, 2025, was $578.9 million, a slight decrease from $581.4 million as of September 30, 2025[55] - Environmental remediation liability as of December 28, 2025, is $5.3 million, slightly down from $5.4 million on September 30, 2025[83] - Product liability recognized as of December 28, 2025, is $2.1 million, an increase from $2.0 million on September 30, 2025[83] Shareholder Equity - The total shareholders' equity as of December 28, 2025, was $1,899.3 million, a slight decrease from $2,028.5 million as of December 29, 2024[20]

• CEO Overview – David Maura Chairman and Chief Executive Officer • Financial & Business Review – Faisal Qadir Chief Financial Officer • Q&A – David Maura and Faisal Qadir • Introduction – Jen Schultz Fiscal 2026 First Quarter Earnings Call Division Vice President, FP&A and Investor Relations February 5, 2026 Forward-looking Statements We have made or implied certain forward-looking statements in this document. Statements or expectations regarding our business and M&A strategy, earnings framework, future fr ...

分组1 - Spectrum Brands reported quarterly earnings of $1.4 per share, exceeding the Zacks Consensus Estimate of $0.77 per share, and showing an increase from $1.02 per share a year ago, resulting in an earnings surprise of +82.70% [1] - The company posted revenues of $677 million for the quarter ended December 2025, surpassing the Zacks Consensus Estimate by 1.65%, although this is a decrease from year-ago revenues of $700.2 million [2] - Spectrum shares have increased by approximately 15.8% since the beginning of the year, significantly outperforming the S&P 500's gain of 0.5% [3] 分组2 - The current consensus EPS estimate for the upcoming quarter is $1.19 on revenues of $683.55 million, while for the current fiscal year, the estimate is $4.40 on revenues of $2.82 billion [7] - The Zacks Industry Rank indicates that the Consumer Products - Discretionary sector is currently in the bottom 40% of over 250 Zacks industries, suggesting potential underperformance compared to higher-ranked industries [8]

Exhibit 99.1 3001 Deming Way Middleton, WI 53562-1431 P.O. Box 620992 Middleton, WI 53562-0992 (608) 275-3340 For Immediate Release Investor/Media Contact: Jen Schultz 314-253-5923 Spectrum Brands Holdings Reports Fiscal 2026 First Quarter Results Middleton, WI, February 5, 2026 - Spectrum Brands Holdings, Inc. (NYSE: SPB; "Spectrum Brands" or the "Company"), a leading global branded consumer products and home essentials company focused on driving innovation and providing exceptional customer service, today ...