Q124 NWL earnings

Core Sales Performance: Improved sequentially and versus year ago, with a decrease of 4.7%.
Gross Margin: Increased for the third consecutive quarter, indicating a continued improvement in profitability.
Normalized Operating Margin: Nearly doubled compared to previous periods.
Normalized EBITDA Growth: Grew over 30%, showcasing significant earnings growth.
Operating Cash Flow: Notably increased, showing improved cash generation capabilities.

Core Sales Decline for Q2 2024: Expected to be between 4% to 6%.
Net Sales Decline for Q2 2024: Projected to be between 7% to 9%.
Normalized Operating Margin for Q2 2024: Anticipated to be 9.1% to 9.6%.
Normalized Earnings Per Share for Q2 2024: Expected to range from $0.18 to $0.21.
Full-Year Outlook for 2024: Core sales decline of 3% to 6%, net sales decline of 5% to 8%, and normalized operating margin of 7.8% to 8.2%.
Full-Year Normalized EPS for 2024: Guidance range of $0.52 to $0.62.
Operating Cash Flow for Full-Year 2024: Forecasted to be $400 million to $500 million.

Operational Model: Newell Brands operationalized a new model focusing on innovation, brand building, and market excellence, which is yielding positive results.
Product Innovations: Introduction of new products like Sharpie creative markers and PaperMate InkJoy Gel bright pens are driving market interest and sales.
Distribution Gains: New business development efforts are leading to distribution gains with new and existing customers, signaling potential for growth.
International Growth: International markets, particularly in Latin America, are contributing to the core sales performance with pricing adjustments offsetting inflation and currency movements.
Market Challenges: Despite improvements, Newell Brands notes that consumers are still managing their discretionary spending cautiously due to ongoing inflation impacting food, energy, and housing costs.
Investment in Marketing and Promotion: The company is investing significantly in advertising and promotion to support new product innovations.

”Newell’s turnaround gained momentum during the first quarter with results ahead of plan across all key metrics.” - Christopher Peterson, CEO
”We are seeing stronger cross-functional partnerships… all of which are critical to our transition to a high performing, innovative, and inclusive organization.” - Christopher Peterson, CEO
”We believe these non-GAAP measures are useful to investors although they should not be considered superior to the measures presented in accordance with GAAP.” - Sofya Tsinis, VP of Investor Relations
”We are encouraged by our first quarter results being ahead of plan on all key metrics. That being said, the first quarter is our seasonally smallest quarter, and the external environment remains challenging.” - Christopher Peterson, CEO