NYSE$SPB

Spectrum Brands Holdings Inc. · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Spectrum Brands reported first quarter fiscal 2024 results.

Spectrum Brands Holdings reported a 3.0% decrease in net sales, driven by lower consumer demand in North American Small Kitchen Appliances and SKU rationalizations, offset by favorable foreign currency and positive pricing adjustments. Net income from continuing operations was $17.5 million, and Adjusted EBITDA improved by $44.5 million to $84.3 million. The company repurchased 3.3 million shares in Q1 for $243 million and maintains its fiscal 2024 earnings framework.

  • Net sales decreased 3.0% due to lower consumer demand and SKU rationalizations, offset by favorable foreign exchange and pricing.
  • Net income from continuing operations improved by $57.5 million to $17.5 million.
  • Adjusted EBITDA increased by $44.5 million to $84.3 million.
  • The company repurchased 3.3 million shares for $243 million in Q1.

Headline financials

Total Revenue

$692M

Previous: $713M-3.0%
EPS

$0.85

Previous: -$0.32+365.6%
Adjusted EBITDA

$84.3M

Previous: $39.8M+111.8%
Adjusted EBITDA Margin

12.2%

No prior period
Capital Expenditures

-$8.4M

Previous: -$10M+16.0%
Free Cash Flow

$20.7M

Previous: -$30.9M+167.0%
Net Income

$29.1M

Previous: -$20.9M+239.2%
Operating Income

$25M

Previous: -$20.2M+223.8%
Gross Profit

$245M

Previous: $202M+21.3%
Cash & Equivalents

$445M

Previous: $228M+95.4%
Total Assets

$4.85B

Previous: $5.77B-15.9%
Stock-Based Comp

$3.9M

Previous: $3.3M+18.2%

Revenue & EPS history

Spectrum Brands · Revenue · Quarterly

$692M

Q1 2024-3%vs Q1 2023
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Revenue by segment

Spectrum Brands · $741M total across 3 segments · Q4 2023

  • Home & Personal Care
    $323M
  • Global Pet Care
    $292M
  • Home & Garden
    $125M

Forward guidance

Spectrum Brands continues to expect reported net sales to decline by low single-digits in Fiscal 2024. Fiscal 2024 Adjusted EBITDA, excluding investment income, is expected to increase by high single-digits. The Company continues to target a long-term net leverage ratio of 2.0 - 2.5 times after full deployment of HHI sale proceeds.

Tailwinds

  • Adjusted EBITDA, excluding investment income, is expected to increase by high single-digits.

Headwinds

  • Reported net sales are expected to decline by low single-digits in Fiscal 2024.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2024

Historical avgQ1 2024

+0.8%

Avg return

Earnings day

+1.1%

Avg return

5 days after

+2.1%

Avg return

30 days after

63%

40 / 64 earnings

Positive

+18.1%

Q4 2019

Best reaction

-26.0%

Q2 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026-7.8%-5.3%-4.2%
Q1 2026+10.2%+8.9%+11.8%
Q4 2025+10.0%+2.0%+15.2%
Q2 2025+3.8%+8.4%-9.7%
Q1 2025-7.7%-7.7%-9.2%
Q4 2024-3.9%-5.3%-3.6%
Q3 2024+7.4%+9.1%+12.6%
Q2 2024+12.2%+11.8%+6.9%
Q1 2024+7.4%+6.2%+4.4%
Q4 2023-14.0%-14.6%+3.3%
Q3 2023+4.7%+2.7%+8.8%
Q2 2023+2.7%+0.7%+3.4%
Q1 2023+1.2%+2.7%-7.9%
Q4 2022-2.7%+0.3%+16.7%
Q3 2022+1.2%-3.0%-12.9%
Q2 2022+7.2%+4.0%+4.6%
Q1 2022-0.8%+3.3%-0.4%
Q4 2021+11.4%+12.4%+3.8%
Q3 2021-1.9%-1.9%-5.3%
Q2 2021+3.7%-1.6%-5.8%
Q1 2021+3.2%+1.7%+0.3%
Q4 2020+2.3%+2.7%+9.9%
Q3 2020+8.6%+6.7%+13.0%
Q2 2020-2.4%-0.7%+10.3%
Q1 2020-0.6%-4.3%-12.7%
Q4 2019+18.1%+21.3%+20.3%
Q3 2019+9.0%+6.4%+19.6%
Q2 2019+4.8%-0.0%-7.4%
Q1 2019-18.4%-14.4%-3.3%
Q4 2018-17.0%-13.4%-26.8%
Q3 2018+13.7%+13.7%+18.4%
Q2 2018-26.0%-21.9%-15.1%
Q1 2018-3.9%-7.4%-9.8%
Q4 2017+12.8%+16.7%+15.8%
Q3 2017-3.5%-3.6%-9.3%
Q2 2017-9.8%-8.9%-2.7%
Q1 2017+6.7%+4.5%+14.0%
Q4 2016-1.0%+3.8%+1.3%
Q3 2016+7.0%+7.3%+15.4%
Q2 2016+2.0%
Q1 2016+0.9%
Q4 2015+3.6%
Q3 2015-2.9%
Q2 2015+1.0%
Q1 2015+3.8%
Q4 2014-3.1%
Q3 2014+0.2%
Q2 2014-0.6%
Q1 2014+5.1%
Q4 2013+4.0%
Q3 2013+3.7%
Q2 2013-1.6%
Q1 2013+0.1%
Q4 2011-3.4%
Q4 2012-10.8%
Q3 2012+0.0%
Q2 2012+1.0%
Q1 2011+0.6%
Q1 2012+2.0%
Q2 2011+0.7%
Q4 2010+0.3%
Q3 2011+0.3%
Q3 2010+1.6%
Q2 2010-4.2%

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