Spectrum Brands’ Stock Falls as Remington Parent’s Earnings Miss Estimates | Global News Avenue

Spectrum Brand (SPBShares fell on Friday after the parent company of the Remington and George Foreman brands reported lower-than-expected earnings per share and a bleak sales outlook for the coming year.

Spectrum reported fiscal fourth-quarter net income of $28.6 million, up from $16.8 million, on sales of $773.7 million. Those were above analysts’ estimates polled by Visible Alpha of $27.3 million in net profit and $750 million in sales.

Earnings per share (EPS) However, lagged estimates. The company earned $1.01 per share for the quarter, missing the consensus estimate of $1.07, and had adjusted earnings of $0.97 per share. Below the forecast of $1.05.

“Despite challenging economic and geopolitical conditions that are impacting consumer demand, we exceeded our annual operating plan on nearly every metric and returned to growth across all of our businesses in the second half.” Chief Executive Officer (CEO) David Maura said in a statement.

CEO Mora notes economic challenges

The company manufactures and sells appliances under brands such as George Foreman and Black & Decker, as well as lawn care products and insect repellents.

Spectrum’s outlook for this year is relatively bleak.

The company said it expects net sales to grow in the “low single digits” in fiscal 2025 and adjusted net sales to be in the “mid to high single digits” Earnings before interest, taxes, depreciation and amortization (EBITDA) grow.

“Despite the overall challenging macroeconomic environment, we intend to make incremental investments in fiscal 2025 to drive revenue growth,” Maura said.

Spectrum shares are up 11% this year.