Edgewell Personal Care Net Sales Increase 8.7% in Third Quarter Results
Organic net revenue increased 9.0% over the prior year period and excludes the impact of the acquisition of Billie, Inc. and the negative impact of currency translation.
The company repurchased $35 million of its common stock and paid $8 million in dividends during the third fiscal quarter in support of its capital allocation strategy.
The Board of Directors declared a cash dividend of $0.15 per common share on July 29 for the third fiscal quarter.
“Our fiscal third quarter results reflect continued execution of our strategy with strong organic net sales growth and solid earnings, both of which exceeded our expectations despite the volatile macroeconomic environment,” said Rod Little, President and CEO of Edgewell. “Growth in the quarter was driven by strong volume and price growth, and was broad-based, with increases in our North American and international markets, as well as across all segments, with accelerated growth in care sunscreens and feminine care. we recorded another quarter of market share gains in the United States, further proof that our brand building efforts are well received by consumers.Looking ahead, we are firmly on track to achieve a second consecutive year of single-digit organic net sales growth.”
Net sales in the wet shave category increased by $21.4 million, or 7.0%. Organic net sales increased $19.1 million or 6.3%, driven by increases in men’s and women’s systems, disposables and shaving products. North American organic net sales increased 5.2%, reflecting higher volumes and prices, while international organic net sales increased 7.1%, primarily driven by higher volumes. Wet shaving segment earnings decreased $5.6 million, or 13.0%. Segment organic profit, excluding the negative impact of currency translation and the Billie acquisition, was essentially flat, reflecting lower gross profit, offset by lower expenses.
Sun and skin care
Net sales for the sunscreen and skincare categories increased by $21.0 million, or 10.8%. Organic net sales increased $24.6 million, or 12.6%, largely driven by approximately 15% growth in solar products, reflecting distribution and market share gains in North America , stronger-than-expected early-season consumption and the continued recovery of international travel. Additionally, grooming organic net sales increased 7.5%, driven by international growth of 14%, while Wet Ones organic net sales returned to growth, increasing 7.4% . Segment profit increased by $1.6 million, or 3.6%. The segment’s organic profit increased by $2.2 million, or 4.9%, mainly due to higher sales.