Net Sales Down 3.1% for Edgewell Personal Care in Q4 2024

Edgewell Personal Care Company announced results for its fourth fiscal quarter 2024 and fiscal year ended, Sept. 30, 2024.

Net sales for Edgewell Personal Care in Q4 were $517.6 million, a decrease of 3.1% compared to the prior year quarter. Full year net sales were $2.25 billion, an increase of 0.1% compared to the prior year.

Organic net sales decreased 2.8% for the quarter and increased 0.2% for the full year. International markets grew 2.4% driven largely by wet shave, and more than offset by a 6% decline in North America. Declines in feminine care, shave preps and Wet One’s were partly offset by mid-single-digit growth in sun care, although this growth was significantly below expectations, due to adverse weather conditions in the US in August and September.

“For the fiscal year, we achieved slight organic net sales growth, meaningfully expanded adjusted gross margins and delivered double-digit adjusted earnings per share growth at constant currency for the second consecutive fiscal year,” said Edgewell CEO Rod Little. “In the face of a heightened competitive landscape and an increasingly cautious consumer, we accelerated organic growth across our international businesses, introduced category-leading innovation in the US sun care category and deepened our participation across the men’s and women’s grooming segments. The strength of our business model was reflected in our healthy earnings growth, substantial cash flow generation and structural de-leveraging of the business.”

Wet Shave

Net sales decreased $4.7 million, or 1.5%. Organic net sales decreased $3.5 million or 1.1%, as growth in men’s and women’s Systems, was more than offset by significant declines in shave preps in North America. The wet shave segment profit increased $7.3 million, or 13.3%. Organic segment profit, excluding the unfavorable impact from currency increased $8.7 million, or 15.8%, primarily reflecting higher gross margin.

Sun and Skin Care

Net sales decreased $5.3 million, or 3.8%. Organic net sales decreased $4.8 million, or 3.5%, as low-single-digit growth in sun care was more than offset by significant declines in Wet One’s and low-single-digit declines in grooming. Segment profit decreased $8.7 million, or 38.3%. Organic segment profit decreased $8.3 million, or 36.6%, primarily driven by lower gross margin and higher marketing and SG&A expenses.

Fiscal Year 2025 Financial Outlook

For fiscal year 2025, Edgewell Personal Care Company reported net sales are expected to increase in the range of 1.7% to 3.7%, including an estimated 70-basis point positive impact from foreign currency changes. Organic net sales are expected to increase approximately 1% to 3%.