Newell Brands Inc. (NASDAQ:NWL) stock rose Friday after the company reported fourth-quarter fiscal 2025 results.
The company reported fourth-quarter adjusted earnings per share of 18 cents, in line with the analyst consensus estimate. Quarterly sales of $1.897 billion (down 2.7% year over year) outpaced the Street view of $1.878 billion.
Quarterly Metrics
Core sales declined 4.1% compared with the prior year period.
The Home & Commercial Solutions segment generated net sales of $1.1 billion, reflecting a core sales decline of 5.3%. The Learning & Development segment generated net sales of $629 million, down 1.5%.
The Outdoor & Recreation segment generated net sales of $142 million compared with $152 million in the prior year period, reflecting a core sales decline of 6.2%.
Adjusted gross margin was 33.9% compared with 34.6% in the prior year period.
Operating margin decreased to negative 14.3% compared with positive 0.5% in the prior year period. Adjusted operating margin increased to 8.7% compared with 7.1% in the prior year period.
Adjusted EBITDA increased 11.6% to $241 million in the quarter under review, compared with $216 million in the prior year period.
Full-year operating cash flow was $264 million compared with $496 million in the prior year period.
The current year operating cash flow was impacted by $174 million of cash tariff costs and a substantially higher cash bonus payout in 2025 related to strong business results in 2024.
Outlook
Newell Brands forecasts first-quarter adjusted earnings of a loss between 12 cents and 8 cents per share, wider than analysts' expected loss of 3 cents. The firm projects first-quarter sales of $1.488 billion to $1.519 billion, compared with analysts' estimates of $1.536 billion.
Newell expects fiscal 2026 adjusted earnings of 54 to 60 cents per share, compared with analysts' estimates of 60 cents. Newell Brands forecasts fiscal 2026 sales of $7.132 billion to $7.276 billion.
NWL Price Action: Newell Brands shares were up 4.09% at $4.70 at the time of publication on Friday, according to Benzinga Pro data.
Photo by T. Schneider via Shutterstock
