Edgewell Private Care experiences 2.1% Q1 internet gross sales drop amidst class shifts

Edgewell Private Care Firm has reported a decline in internet gross sales for the primary quarter of fiscal 12 months 2025, with whole income reaching $478.4 million, a 2.1% lower in comparison with the identical interval within the prior 12 months. “On an natural foundation, internet gross sales decreased 1.3%,” the corporate acknowledged in its official press launch earlier this week.

Class efficiency

In line with Edgewell, the decline in internet gross sales was primarily because of diminished volumes in its Moist Shave and Solar and Pores and skin Care segments. Nevertheless, the corporate famous that its Female Care phase confirmed world progress credited to “elevated demand for our merchandise.”

Natural gross sales in North America declined by 3.9% due partially to decrease gross sales quantity within the Girls’s Programs and Shave Prep segments of the Moist Shave class. These declines contributed to an total class drop of two.4% or $7.2 million in internet gross sales, which offset worldwide progress, the corporate reported.

Total, the Moist Shave class phase revenue decreased by $7.1 million, or 13.2%. This drop was important sufficient to influence the Solar and Pores and skin Care class, which was “offset by declines in Female Care and Moist Shave” regardless of internet gross sales progress of $5.2 million, or 4.5%.

Q1 margins, earnings, and profitability

Edgewell’s gross margin for the quarter stood at 45.2%, down barely from 45.5% within the prior 12 months. As reported within the firm’s press launch, this was because of “an unfavorable product combine and elevated enter prices,” although pricing methods and cost-saving initiatives helped offset a few of these pressures.

Working earnings for the quarter was reported at $45.7 million, down from $48.3 million in the identical interval final 12 months. The corporate acknowledged that this lower was primarily pushed by “decrease gross revenue and elevated advertising and marketing investments.”

Whole internet earnings for the quarter additionally declined to $30.2 million, or $0.56 per diluted share, in comparison with $32.8 million, or $0.60 per diluted share, within the prior 12 months.

Firm technique and market outlook

Edgewell acknowledged the challenges it’s at present dealing with in a company-issued press assertion however asserted its optimism relating to the 12 months forward.

Regardless of the declines in total internet gross sales and the struggles within the North American market, the corporate famous prime line progress throughout worldwide markets and that it “exceeded our gross margin expectations, pushed by additional productiveness financial savings,” which “resulted in higher than anticipated fixed foreign money adjusted EBITDA and earnings per share.”

Wanting ahead, Edgewell reaffirmed its full-year outlook, anticipating internet gross sales to be flat to down within the low single digits on an natural foundation. The corporate additionally projected adjusted earnings per share within the vary of $2.54 to $2.74.

Edgewell concluded that it plans to navigate the present market situations by specializing in “driving operational efficiency,” and that the corporate expects to “ship natural internet gross sales, adjusted EBITDA and adjusted EPS inside our beforehand supplied vary, and the latter regardless of these higher than anticipated overseas foreign money headwinds” over the following fiscal 12 months.