Hain Celestial Reports Fourth Quarter and Fiscal Year 2024 Financial Results

Core Insights - Hain Celestial Group reported a strong operating cash flow and significant debt reduction, positioning the company for sustainable growth in fiscal 2025 [1][2] - The company achieved an updated guidance for fiscal 2025, focusing on commercial execution to enhance both top- and bottom-line growth [2][29] Financial Highlights - For the fourth quarter of fiscal 2024, net sales were $419 million, a decrease of 6% year-over-year, with organic net sales down 4% [3][5] - Gross profit margin improved to 23.4%, a 90-basis point increase from the prior year, while adjusted gross profit margin also rose to 23.4% [3] - The net loss for the fourth quarter was $3 million, an improvement from a net loss of $19 million in the prior year [3] - For the full fiscal year 2024, net sales totaled $1,736 million, down 3% year-over-year, with organic net sales decreasing by 2% [5][6] Cash Flow and Balance Sheet - Net cash provided by operating activities in the fourth quarter was $39 million, compared to $41 million in the prior year [7] - Free cash flow for the fourth quarter was $31 million, down from $34 million in the prior year [7] - Total debt at the end of the fiscal year was $744 million, reduced from $829 million at the beginning of the year, with net debt decreasing to $690 million [7] Segment Highlights - North America segment reported a 6% decline in organic net sales for fiscal 2024, primarily due to lower sales in infant formula and personal care [10][13] - The International segment saw a 4% increase in organic net sales for fiscal 2024, driven by growth in soups and beverages [19][21] - In the fourth quarter, the North America segment's gross profit was $59 million, a decrease of 7% from the prior year, while the International segment's gross profit increased by 5% to $39 million [11][17] Category Highlights - Snacks category experienced a 6% decline in net sales for the fourth quarter, while beverages grew by 3% [23][26] - The personal care category faced a significant decline of 21% in net sales for the fourth quarter, attributed to portfolio simplification [28] Fiscal 2025 Guidance - The company expects organic net sales growth to be flat or better in fiscal 2025, with adjusted EBITDA anticipated to grow by mid-single digits [29] - Gross margin is projected to increase by at least 125 basis points, and free cash flow is expected to reach at least $60 million [29]