- Newell Brands Inc (NASDAQ:NWL) reported fourth-quarter FY21 sales growth of 4.3% year-on-year, to $2.81 billion, beating the analyst consensus of $2.65 billion.
- Adjusted EPS of $0.42 beat the analyst consensus of $0.32.
- Gross margin contracted 310 basis points to 29.8% of net sales. The normalized gross margin compressed 280 basis points to 30.1%.
- Selling, general and administrative expenses fell 0.2% Y/Y to $607 million.
- The operating margin was 6%, and operating income for the quarter fell 32.3% to $168 million.
- The company held $477 million in cash and equivalents as of December 31, 2021. Net cash provided by operating activities for the twelve months totaled $884 million.
- "We expect 2022 to mark another year of progress, despite a challenging operating environment," said Chris Peterson, CFO and President, Business Operations.
- Outlook: Newell sees FY22 sales of $9.93 billion - $10.13 billion (consensus $10.45 billion) and normalized EPS of $1.85 - $1.93 (consensus $1.87).
- Newell sees Q1 sales of $2.25 billion - $2.3 billion (consensus $2.22 billion) and normalized EPS of $0.26 - $0.28 (consensus $0.29).
- Price Action: NWL shares traded higher by 8.52% at $23.83 on the last check Friday.
