Energizer (ENR)2025-02-04 11:54Financial Performance - Net sales for the first fiscal quarter increased by 2.1% to 716.6 million in the prior year[3] - Organic net sales grew by 3.8%, driven by growth in both Batteries and Auto Care segments[5] - Adjusted EBITDA for the quarter was 132.9 million in the prior year[9] - Adjusted earnings per share increased by 14% to 0.59 in the previous year[5] - Gross margin for the first quarter was reported at 36.8%, with an adjusted gross margin of 40.0%, reflecting a 50 basis points improvement year-over-year[5] - Total net sales for the quarter reached 716.6 million year-over-year, representing a growth of approximately 2.2%[34] - Net earnings for the quarter ended December 31, 2024, were 1.9 million in the same quarter of 2023[40] - Adjusted net earnings rose to 42.5 million in the prior year, reflecting a strong performance[40] - The diluted net earnings per common share increased to 0.03 year-over-year[40] - Adjusted EBITDA for the quarter was 132.9 million in the previous year[44] Cash Flow and Debt Management - Free cash flow for the quarter was 25 million[13] - Total debt decreased to 3,207.7 million on September 30, 2024[54] - Net debt as of December 31, 2024, was 2,990.8 million on September 30, 2024[54] - The company reduced net leverage to 4.7 times, driven by debt pay down and adjusted EBITDA growth[5] Operating Activities - Net cash from operating activities was 178.1 million in the prior year[21] - Cash and cash equivalents decreased to 216.9 million, reflecting a decline of approximately 9.5%[21] - Total liabilities decreased to 4,206.6 million, indicating a reduction of approximately 2.8%[19] Segment Performance - Segment profit for Batteries & Lights decreased to 132.4 million, while Auto Care segment profit increased to 6.9 million[34] - Segment profit for Batteries & Lights decreased by 9.9% to 20.5 million[48] Future Outlook - The fiscal year 2025 outlook for organic net sales has been increased to a range of 2% to 3%[11] - Fiscal 2025 adjusted net earnings are projected to be between 51 million, with adjusted EPS ranging from 0.70[57] - Adjusted EBITDA for Fiscal 2025 is expected to be between 645 million[57] - The company plans to continue focusing on market expansion and product innovation to drive future growth[34] Restructuring and Costs - The company’s adjusted EBITDA for the quarter was impacted by restructuring and related costs, totaling 38 million, impacting adjusted net earnings by approximately 15 million for Fiscal 2025, affecting adjusted EPS by about 21.0 million in exchange losses due to the December 2023 Argentina Economic Reform, which included a 50% devaluation of the Argentine Peso[37] - The company recorded $21.0 million in exchange losses due to the Argentine Peso devaluation as part of the December 2023 economic reform[41]