"Completing the sale of our Feminine Care business is a pivotal step in Edgewell's transformation. By simplifying our portfolio and focusing our resources on shave, sun and skin care, and grooming, we are positioning Edgewell to be a more focused, agile and durable personal care company," said Edgewell President and CEO Rod Little. "The proceeds from this transaction will strengthen our balance sheet, support debt reduction and reinvestment behind our core brands and innovation pipeline, as we look to drive ...

Core Insights - Edgewell Personal Care Company reported a net sales decrease of 3.2% to $627.2 million for the third fiscal quarter of 2025, with organic net sales down 4.2% [6][14][19] - The company faced challenges due to weak Sun Care seasons in North America and certain Latin American markets, impacting both top and bottom-line performance [4][5] - The GAAP EPS was $0.62, down from $0.98 in the prior year quarter, while adjusted EPS was $0.92 compared to $1.22 in the previous year [14][16] Financial Performance - Gross profit for the quarter was $268.5 million, a decrease from $287.1 million in the prior year, with an adjusted gross margin of 42.8%, down 150 basis points [7][11] - Operating income was $53.7 million, or 8.6% of net sales, compared to $82.7 million, or 12.8% of net sales in the prior year [11][16] - The company recorded pre-tax restructuring charges of $17.8 million in support of cost efficiency programs [10] Segment Performance - Wet Shave segment net sales increased slightly by $0.7 million, while organic net sales decreased by 1.8% due to volume declines in North America [19] - Sun and Skin Care segment net sales decreased by $13.5 million, or 5.3%, largely due to weather-related volume declines and increased competition [20] - Feminine Care segment net sales decreased by $7.8 million, or 10.5%, primarily driven by a decline in pads and tampons [21] Outlook - The company updated its full-year outlook, now expecting organic net sales to decrease approximately 1.3% and GAAP EPS to be around $1.73 [22][23] - Adjusted EPS is now expected to be approximately $2.65, reflecting an estimated $0.46 per share unfavorable impact from foreign currency changes [23] - The effective tax rate for the first nine months of fiscal 2025 was 27.0%, up from 22.2% in the prior year period [14][15]

Core Insights - Edgewell Personal Care Company reported a net sales decrease of 3.1% to $580.7 million for the second fiscal quarter of 2025, with organic net sales down 1.5% [5][13] - The gross margin increased by 100 basis points to 44.1%, despite a negative impact from foreign currency [6][12] - GAAP EPS decreased by $0.12 to $0.60, while adjusted EPS decreased by $0.01 to $0.87 [12][13] Financial Performance - Net sales were $580.7 million, a decrease of 3.1% compared to the prior year quarter, with organic net sales down 1.5% [5][13] - Gross profit was $256.2 million, compared to $258.1 million in the prior year quarter, with a gross margin of 44.1% [6][31] - Operating income was $58.9 million, or 10.1% of net sales, down from $70.1 million, or 11.7% of net sales in the prior year quarter [9][36] Segment Performance - Wet Shave segment net sales decreased by $7.6 million, or 2.6%, with organic net sales down 0.9% [16] - Sun and Skin Care segment net sales decreased by $4.7 million, or 2.0%, with organic net sales down 0.1% [17] - Feminine Care segment net sales decreased by $6.4 million, or 9.1%, with minimal currency impact [18] Cost and Expenses - Advertising and sales promotion expenses increased to $65.5 million, or 11.3% of net sales, compared to 10.5% in the prior year quarter [7] - Selling, general and administrative expenses were $105.7 million, or 18.2% of net sales, slightly up from 17.9% in the prior year quarter [8] - The company incurred pre-tax restructuring and repositioning expenses of $12.2 million in the quarter [9] Cash Flow and Capital Allocation - Net cash used for operating activities was $70.5 million for the six months ending March 31, 2025, compared to cash flow provided by operating activities of $56.1 million in the prior year period [14] - The company returned $42.7 million to shareholders through share repurchases and dividends in the second quarter [13][15] Full Year Outlook - The company updated its full-year outlook, expecting organic net sales to be flat to 1%, down from a previous range of 1% to 3% [21] - GAAP EPS is now expected to be in the range of $2.09 to $2.29, down from $2.54 to $2.74 [21] - Adjusted EBITDA is expected to be in the range of $329 to $341 million, previously towards the lower end of the range of $356 to $368 million [21]