Energizer (ENR) ZACKS·2025-02-05 14:31Core Insights - Energizer Holdings, Inc. reported strong first-quarter fiscal 2025 results, with both net sales and earnings exceeding expectations and showing year-over-year growth [1][2][3] Financial Performance - Adjusted earnings per share were 67 cents, surpassing the Zacks Consensus Estimate of 64 cents, marking a 13.6% increase from the previous year [3] - Net sales reached 728 million, and reflecting a 2.1% year-over-year increase [3] - Organic net sales grew by 3.8% year over year, surpassing the anticipated growth rate of 2.7% [3] Segment Performance - The Batteries & Lights segment saw net sales increase by 2.4% to 119.3 million [6] - The Auto Care segment's net sales increased by 0.5% to 20.5 million [6] Margin and Cost Analysis - Adjusted gross margin expanded by 50 basis points to 40%, driven by Project Momentum, which generated approximately 16 million in savings [7] - Adjusted SG&A expenses rose by 11.9% year over year to 119.2 million, influenced by higher depreciation and legal fees [8] - Adjusted EBITDA was 195.9 million, with long-term debt at 140.6 million [11] - The company paid down an additional $25 million of debt during the quarter, resulting in a net debt to adjusted EBITDA ratio of 4.7x [11] Future Outlook - For the fiscal second quarter, organic growth is expected to be between 2% and 3%, with reported net sales projected to be flat to a 1% increase [14] - The fiscal 2025 outlook for reported net sales has been raised to an increase of 1% to 2%, with organic net sales expected to grow by 2% to 3% [16] - Adjusted earnings per share for fiscal 2025 are anticipated to be between 60 cents and 70 cents, down from 72 cents in the prior year [15]