Energizer Holdings, Inc. Announces Unaudited Consolidated Earnings Results for the First Quarter Ended December 31, 2017; Provides Earnings Guidance for the Full Year 2018
January 31, 2018 at 05:15 pm IST
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Energizer Holdings, Inc. announced unaudited consolidated earnings results for the first quarter ended December 31, 2017. For the first fiscal quarter, net earnings were $60.4 million, or $0.98 per diluted share, compared to $95.6 million, or $1.52 per diluted share, in the prior year first quarter. Adjusted net earnings in the first quarter were $95.5 million, or $1.55 per diluted share, compared to adjusted net earnings of $95.1 million, or $1.51 per diluted share, in the prior year first quarter. Net Sales were $573.3 million compared to $559.6 million a year ago. Earnings before income taxes was $119 million compared to $134.1 million a year ago. Net cash from operating activities was $141 million compared to $91.8 million a year ago. Capital expenditures was $5.5 million compared to $4.9 million a year ago. Adjusted Earnings before income taxes was $124.7 million compared to $133.6 million a year ago.
The company provided earnings guidance for the full year 2018. Net sales on a reported basis are expected to be up low single digits: Organic net sales are expected to be up low single digits, including lapping the impact of hurricane activity of approximately $26 million and lapping distribution gains in fiscal 2017; Favorable movements in foreign currency are expected to benefit net sales by 1.0% to 1.5% based on current rates. Gross margin rates are now expected to be up 50 basis points versus the prior year, excluding fiscal 2017 acquisition and integration costs, driven primarily by improved productivity despite rising commodities and the costs of continuous improvement associated with optimizing footprint. Earnings before income taxes is expected to be favorably impacted by the movement of foreign currencies by roughly $5 to $10 million, net of hedge impacts, based on current rates. Adjusted Diluted earnings per share for the full fiscal year is now expected to be in the range of $3.30 to $3.40, inclusive of the new U.S. tax legislation passed in December. Capital spending is expected to be in the range of $30 to $35 million. Free cash flow is now expected to be in the range of $240 to $250 million, which includes the impact of fiscal year 2018 U.S. tax legislation passed in December. Net cash from operating activities is expected to be in the range of $270 million to $285 million.
Energizer Holdings, Inc., through its subsidiaries, is a globally diversified household products provider, which includes batteries, auto care and portable lights. The Company is a manufacturer, marketer and distributor of household and specialty batteries, automotive appearance, performance, refrigerant and freshener products, and portable lights. The Company offers household batteries, including primary, rechargeable, specialty and hearing aid using many technologies, including lithium, alkaline, carbon zinc, nickel metal hydride, zinc air and silver oxide. These products are sold globally under the Energizer, Eveready and Rayovac brands, including hearing aid batteries, and the Varta brand in Latin America and Asia Pacific. Its appearance and fragrance product categories include protectants, wipes, tire and wheel care products, and air fresheners. Its performance product categories include STP-branded fuel and oil additives, functional fluids and other performance chemical products.
Energizer Holdings, Inc. Announces Unaudited Consolidated Earnings Results for the First Quarter Ended December 31, 2017; Provides Earnings Guidance for the Full Year 2018