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Related articleQuarter not tagged2026-10-15Spectrum Brands' Earnings Outlook Seen Undervalued, UBS Says
MT Newswires
Spectrum Brands' Earnings Outlook Seen Undervalued, UBS Says
Spectrum Brands Holdings' (SPB) improving earnings power is being overlooked, as better trends in global pet care and easing pressures in the home and garden segment should help the company absorb inflation and rebuild growth beyond fiscal 2027, UBS Securities said Thursday in a report. UBS said the current share price implies fiscal 2028 adjusted EBITDA of about $272 million, or about 19% below its own forecast and near fiscal 2022 and 2023 trough levels. That outlook is inconsistent with Spectrum's stronger execution, healthier balance sheet, and demonstrated ability to rebuild profitability through productivity initiatives, the report said. Fiscal 2027 remains a transition year as Spectrum works through lingering cost pressures and slower consumer demand, the report said. UBS expects growth to improve beyond 2027 as comparisons ease and as pricing, innovation, and productivity efforts support a more stable revenue trajectory. Home and personal care challenges persist, though recent pricing and product innovation are seen as positives, the report said. UBS resumed coverage of Spectrum with a buy rating and a $97 price target.
Related articleQuarter not tagged2026-09-24CTAS Q1 Earnings & Revenues Beat Estimates on Margin Gains
Zacks
CTAS Q1 Earnings & Revenues Beat Estimates on Margin Gains
Cintas Corporation CTAS reported first-quarter fiscal 2027 adjusted earnings of $1.39 per share, which beat the Zacks Consensus Estimate of $1.35 by 3.0%. The bottom line increased 15.8% from the year-ago quarter. Revenues of $3.01 billion surpassed the consensus estimate of $2.97 billion by 1.3% and rose 10.9% year over year. The top line benefited from 8.9% organic revenue growth, reflecting growth after adjusting for acquisitions, foreign currency movements and workday differences. Record gross and operating margins were other key highlights in the quarter. The company has two reportable segments, Uniform Rental and Facility Services and First Aid and Safety Services. Other businesses are included in All Other. Quarterly sales data are briefly discussed below. Cintas' Uniform Rental and Facility Services segment generated revenues of $2.29 billion, up 9.7% year over year from $2.09 billion. Segment operating income rose to $575.09 million from $499.94 million. The First Aid and Safety Services segment delivered revenues of $388.52 million, increasing 16.1% from $334.66 million in the prior-year quarter. Operating income climbed to $99.54 million from $80.33 million. Revenues from the All Other segment totaled $330.73 million, up 13.1% from $292.40 million a year ago. Segment operating income increased to $51.67 million from $37.60 million. Cintas Corporation price-consensus-eps-surprise-chart | Cintas Corporation Quote Cintas' cost of sales totaled $1.46 billion compared with $1.35 billion in the year-ago quarter. Gross margin increased 13.7% to $1.55 billion, while gross margin, as a percentage of revenues, expanded to 51.5% from 50.3%. Selling and administrative expenses were $827.24 million, up 10.5% year over year. The company also incurred $14.41 million of transaction expenses related to the proposed UniFirst Corporation acquisition. Operating income rose 15.2% to $711.89 million. Operating margin improved to 23.6% from 22.7% in the prior-year quarter. Net income increased 12.3% to $551.71 million, while net income margin was 18.3% compared with 18.1%. The effective tax rate increased to 20.0% from 17.6%. In the first quarter of fiscal 2027, Cintas generated $572.33 million in net cash from operating activities, up from $414.48 million in the year-ago period. Capital expenditures totaled $107.53 million compared with $101.96 million a year ear…Read full documentShow less
Cintas Corporation CTAS reported first-quarter fiscal 2027 adjusted earnings of $1.39 per share, which beat the Zacks Consensus Estimate of $1.35 by 3.0%. The bottom line increased 15.8% from the year-ago quarter. Revenues of $3.01 billion surpassed the consensus estimate of $2.97 billion by 1.3% and rose 10.9% year over year. The top line benefited from 8.9% organic revenue growth, reflecting growth after adjusting for acquisitions, foreign currency movements and workday differences. Record gross and operating margins were other key highlights in the quarter. The company has two reportable segments, Uniform Rental and Facility Services and First Aid and Safety Services. Other businesses are included in All Other. Quarterly sales data are briefly discussed below. Cintas' Uniform Rental and Facility Services segment generated revenues of $2.29 billion, up 9.7% year over year from $2.09 billion. Segment operating income rose to $575.09 million from $499.94 million. The First Aid and Safety Services segment delivered revenues of $388.52 million, increasing 16.1% from $334.66 million in the prior-year quarter. Operating income climbed to $99.54 million from $80.33 million. Revenues from the All Other segment totaled $330.73 million, up 13.1% from $292.40 million a year ago. Segment operating income increased to $51.67 million from $37.60 million. Cintas Corporation price-consensus-eps-surprise-chart | Cintas Corporation Quote Cintas' cost of sales totaled $1.46 billion compared with $1.35 billion in the year-ago quarter. Gross margin increased 13.7% to $1.55 billion, while gross margin, as a percentage of revenues, expanded to 51.5% from 50.3%. Selling and administrative expenses were $827.24 million, up 10.5% year over year. The company also incurred $14.41 million of transaction expenses related to the proposed UniFirst Corporation acquisition. Operating income rose 15.2% to $711.89 million. Operating margin improved to 23.6% from 22.7% in the prior-year quarter. Net income increased 12.3% to $551.71 million, while net income margin was 18.3% compared with 18.1%. The effective tax rate increased to 20.0% from 17.6%. In the first quarter of fiscal 2027, Cintas generated $572.33 million in net cash from operating activities, up from $414.48 million in the year-ago period. Capital expenditures totaled $107.53 million compared with $101.96 million a year earlier. Free cash flow increased to $464.80 million from $312.52 million. Net cash used in investing activities was $117.37 million, reflecting capital expenditures, purchases of investments and business acquisitions. During the quarter, the company repurchased common stock worth $315.71 million and paid $180.70 million in dividends. Net cash used in financing activities totaled $500.17 million. Cintas exited the quarter with cash and cash equivalents of $243.60 million compared with $289.02 million at the end of fiscal 2026. Accounts receivable increased to $1.59 billion from $1.56 billion, while inventories declined to $433.29 million from $446.44 million. Total current assets were $3.93 billion compared with $3.85 billion at May 31, 2026. Long-term debt was $1.43 billion, while debt due within one year totaled $999.29 million. Total shareholders' equity increased to $5.20 billion from $5.14 billion. For fiscal 2027, the company raised its revenue guidance to $12.15-$12.27 billion from the prior projection of $12.10-$12.25 billion. Adjusted earnings per share are now projected in the range of $5.45-$5.54, up from $5.36-$5.50 previously. The guidance excludes expected impacts from the proposed UniFirst acquisition and assumes no future acquisitions and constant foreign exchange rates. Fiscal 2027 also has one more workday than fiscal 2026. Cintas expects net interest expense of approximately $103.00 million compared with $101.20 million in fiscal 2026, with the increase primarily tied to amortization of bridge loan financing expenses related to UniFirst. The company projects an effective tax rate of 20.4% for fiscal 2027. The company currently carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. In the third quarter of fiscal 2026 (ended June 2026), Spectrum Brands Holdings, Inc. SPB reported adjusted earnings from continuing operations of $2.79 per share, increasing 125% from $1.24 in the year-ago quarter and surpassing the Zacks Consensus Estimate of $1.49. Net sales increased 7.7% year over year to $753.3 million and surpassed the Zacks Consensus Estimate of $732 million. Interparfums, Inc. IPAR posted quarterly earnings of 95 cents per share in the second quarter of 2026, which decreased 4% from 99 cents reported in the prior-year period. The metric missed the Zacks Consensus Estimate of $1.04 per share. Consolidated net sales rose 2% to $341 million from $333.9 million in the year-ago quarter. Organic sales rose 1%. Excluding headwinds related to the war in the Middle East, second-quarter organic sales increased 4%. lululemon athletica inc. LULU reported adjusted EPS of $2.06 in the second quarter of fiscal 2026 (ended July 2026), which declined 33.5% year over year but surpassed the Zacks Consensus Estimate of $1.79 by 15.1%. The company's revenues declined 4% from the year-ago period to $2.42 billion and 5% on a constant-dollar basis. Revenues missed the Zacks Consensus Estimate of $2.47 billion by 2.1%. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Cintas Corporation (CTAS) : Free Stock Analysis Report lululemon athletica inc. (LULU) : Free Stock Analysis Report Interparfums, Inc. (IPAR) : Free Stock Analysis Report Spectrum Brands Holdings Inc. (SPB) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research
Related articleQuarter not tagged2026-09-21Cintas Gears Up to Report Q1 Earnings: Here's What to Expect
Zacks
Cintas Gears Up to Report Q1 Earnings: Here's What to Expect
Cintas Corporation CTAS is scheduled to release first-quarter fiscal 2027 (ended August 2026) results on Sept. 23, before market open.The Zacks Consensus Estimate for CTAS’ fiscal first-quarter revenues is pegged at $2.97 billion, indicating growth of 9.2% from the prior-year quarter’s figure. The consensus mark for earnings is pinned at $1.35 per share, which has been stable in the past 60 days. The figure indicates growth of 12.5% from the year-ago quarter's figure.The company has a stellar earnings surprise history, having outperformed the consensus estimate in each of the preceding four quarters, the average beat being 1.8%. In the last reported quarter, its earnings of $1.29 per share beat the consensus estimate of $1.24 by 4%.Let’s see how things have shaped up before Cintas’ fiscal first-quarter earnings release. Strong customer retention and penetration of additional products and services into existing customers are expected to have driven the Uniform Rental and Facility Services segment’s performance in the fiscal first quarter. The Zacks Consensus Estimate for the segment’s revenues is pegged at $2.27 billion, indicating an 8.7% jump from the year-ago reported number.Solid demand for the company’s AED Rentals is likely to have supported the performance of the First Aid and Safety Services segment. Also, strong customer retention levels and an improved sales mix are likely to have boded well for the segment. The consensus mark for the segment’s revenues is pegged at $378 million, which implies a 13.2% increase from the year-ago reported figure.Also, synergistic gains from the acquisitions of Paris Uniform Services (March 2024) and SITEX (February 2024) are expected to have boosted Cintas’ top line in the to-be-reported quarter. While the Paris Uniform Services buyout has strengthened CTAS’ market presence in Pennsylvania, New York, Maryland and West Virginia, the SITEX acquisition has enhanced its footprint in the U.S. central Midwest region.However, the escalating selling, general and administrative (SG&A) expenses pose a threat to CTAS’ bottom line. An increase in employee-partner-related expenses is expected to have pushed up the SG&A expenses, which is likely to have impacted the company’s margins in the fiscal first quarter.Given Cintas’ extensive geographic presence, its operations are subject to global political risks and foreign exchange hea…Read full documentShow less
Cintas Corporation CTAS is scheduled to release first-quarter fiscal 2027 (ended August 2026) results on Sept. 23, before market open.The Zacks Consensus Estimate for CTAS’ fiscal first-quarter revenues is pegged at $2.97 billion, indicating growth of 9.2% from the prior-year quarter’s figure. The consensus mark for earnings is pinned at $1.35 per share, which has been stable in the past 60 days. The figure indicates growth of 12.5% from the year-ago quarter's figure.The company has a stellar earnings surprise history, having outperformed the consensus estimate in each of the preceding four quarters, the average beat being 1.8%. In the last reported quarter, its earnings of $1.29 per share beat the consensus estimate of $1.24 by 4%.Let’s see how things have shaped up before Cintas’ fiscal first-quarter earnings release. Strong customer retention and penetration of additional products and services into existing customers are expected to have driven the Uniform Rental and Facility Services segment’s performance in the fiscal first quarter. The Zacks Consensus Estimate for the segment’s revenues is pegged at $2.27 billion, indicating an 8.7% jump from the year-ago reported number.Solid demand for the company’s AED Rentals is likely to have supported the performance of the First Aid and Safety Services segment. Also, strong customer retention levels and an improved sales mix are likely to have boded well for the segment. The consensus mark for the segment’s revenues is pegged at $378 million, which implies a 13.2% increase from the year-ago reported figure.Also, synergistic gains from the acquisitions of Paris Uniform Services (March 2024) and SITEX (February 2024) are expected to have boosted Cintas’ top line in the to-be-reported quarter. While the Paris Uniform Services buyout has strengthened CTAS’ market presence in Pennsylvania, New York, Maryland and West Virginia, the SITEX acquisition has enhanced its footprint in the U.S. central Midwest region.However, the escalating selling, general and administrative (SG&A) expenses pose a threat to CTAS’ bottom line. An increase in employee-partner-related expenses is expected to have pushed up the SG&A expenses, which is likely to have impacted the company’s margins in the fiscal first quarter.Given Cintas’ extensive geographic presence, its operations are subject to global political risks and foreign exchange headwinds. A stronger U.S. dollar is likely to have hurt CTAS’ overseas business in the quarter. Cintas Corporation price-eps-surprise | Cintas Corporation Quote Our proven model predicts an earnings beat for CTAS this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is the case here, as elaborated below. Earnings ESP: CTAS has an Earnings ESP of +3.60% as the Most Accurate Estimate is pegged at $1.40 per share, higher than the Zacks Consensus Estimate of $1.35. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.Zacks Rank: CTAS currently carries a Zacks Rank of 2. You can see the complete list of today’s Zacks #1 Rank stocks here. In the third quarter of fiscal 2026 (ended June 2026), Spectrum Brands Holdings, Inc. SPB reported adjusted earnings from continuing operations of $2.79 per share, increasing 125% from $1.24 in the year-ago quarter and surpassing the Zacks Consensus Estimate of $1.49.Net sales increased 7.7% year over year to $753.3 million and surpassed the Zacks Consensus Estimate of $732 million.Interparfums, Inc. IPAR posted quarterly earnings of 95 cents per share in the second quarter of 2026, which decreased 4% from 99 cents reported in the prior-year period. The metric missed the Zacks Consensus Estimate of $1.04 per share.Consolidated net sales rose 2% to $341 million from $333.9 million in the year-ago quarter. Organic sales rose 1%. Excluding headwinds related to the war in the Middle East, second-quarter organic sales increased 4%.lululemon athletica inc. LULU reported adjusted EPS of $2.06 in the second quarter of fiscal 2026 (ended July 2026), which declined 33.5% year over year but surpassed the Zacks Consensus Estimate of $1.79 by 15.1%.The company’s revenues declined 4% from the year-ago period to $2.42 billion and 5% on a constant-dollar basis. Revenues missed the Zacks Consensus Estimate of $2.47 billion by 2.1%. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Cintas Corporation (CTAS) : Free Stock Analysis Report lululemon athletica inc. (LULU) : Free Stock Analysis Report Interparfums, Inc. (IPAR) : Free Stock Analysis Report Spectrum Brands Holdings Inc. (SPB) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research
Related articleQuarter not tagged2026-08-17Q2 Household Products Earnings: Spectrum Brands (NYSE:SPB) Earns Top Marks
StockStory
Q2 Household Products Earnings: Spectrum Brands (NYSE:SPB) Earns Top Marks
As the Q2 earnings season wraps, let’s dig into this quarter’s best and worst performers in the household products industry, including Spectrum Brands (NYSE:SPB) and its peers. Household products stocks are generally stable investments, as many of the industry's products are essential for a comfortable and functional living space. Recently, there's been a growing emphasis on eco-friendly and sustainable offerings, reflecting the evolving consumer preferences for environmentally conscious options. These trends can be double-edged swords that benefit companies who innovate quickly to take advantage of them and hurt companies that don't invest enough to meet consumers where they want to be with regards to trends. The 10 household products stocks we track reported a satisfactory Q2. As a group, revenues beat analysts’ consensus estimates by 2.1% while next quarter’s revenue guidance was 1.6% above. In light of this news, share prices of the companies have held steady as they are up 1.9% on average since the latest earnings results. A leader in multiple consumer product categories, Spectrum Brands (NYSE:SPB) is a diversified company with a portfolio of trusted brands spanning home appliances, garden care, personal care, and pet care. Spectrum Brands reported revenues of $753.3 million, up 7.7% year on year. This print exceeded analysts’ expectations by 2.4%. Overall, it was a stunning quarter for the company with a beat of analysts’ EPS estimates and an impressive beat of analysts’ gross margin estimates. The market was likely pricing in the results, and the stock is flat since reporting. It currently trades at $87.91. Is now the time to buy Spectrum Brands? Access our full analysis of the earnings results here, it’s free. Short for “Water Displacement perfected on the 40th try”, WD-40 (NASDAQ:WDFC) is a renowned American consumer goods company known for its iconic and versatile spray, WD-40 Multi-Use Product. WD-40 reported revenues of $195.1 million, up 24.3% year on year, outperforming analysts’ expectations by 12.9%. The business had an exceptional quarter with a beat of analysts’ EPS estimates and full-year revenue guidance exceeding analysts’ expectations. WD-40 pulled off the biggest analyst estimate beat and fastest revenue growth in the group. Although it had a fine quarter compared to its peers, the market seems unhappy with the results as the stock is…Read full documentShow less
As the Q2 earnings season wraps, let’s dig into this quarter’s best and worst performers in the household products industry, including Spectrum Brands (NYSE:SPB) and its peers. Household products stocks are generally stable investments, as many of the industry's products are essential for a comfortable and functional living space. Recently, there's been a growing emphasis on eco-friendly and sustainable offerings, reflecting the evolving consumer preferences for environmentally conscious options. These trends can be double-edged swords that benefit companies who innovate quickly to take advantage of them and hurt companies that don't invest enough to meet consumers where they want to be with regards to trends. The 10 household products stocks we track reported a satisfactory Q2. As a group, revenues beat analysts’ consensus estimates by 2.1% while next quarter’s revenue guidance was 1.6% above. In light of this news, share prices of the companies have held steady as they are up 1.9% on average since the latest earnings results. A leader in multiple consumer product categories, Spectrum Brands (NYSE:SPB) is a diversified company with a portfolio of trusted brands spanning home appliances, garden care, personal care, and pet care. Spectrum Brands reported revenues of $753.3 million, up 7.7% year on year. This print exceeded analysts’ expectations by 2.4%. Overall, it was a stunning quarter for the company with a beat of analysts’ EPS estimates and an impressive beat of analysts’ gross margin estimates. The market was likely pricing in the results, and the stock is flat since reporting. It currently trades at $87.91. Is now the time to buy Spectrum Brands? Access our full analysis of the earnings results here, it’s free. Short for “Water Displacement perfected on the 40th try”, WD-40 (NASDAQ:WDFC) is a renowned American consumer goods company known for its iconic and versatile spray, WD-40 Multi-Use Product. WD-40 reported revenues of $195.1 million, up 24.3% year on year, outperforming analysts’ expectations by 12.9%. The business had an exceptional quarter with a beat of analysts’ EPS estimates and full-year revenue guidance exceeding analysts’ expectations. WD-40 pulled off the biggest analyst estimate beat and fastest revenue growth in the group. Although it had a fine quarter compared to its peers, the market seems unhappy with the results as the stock is down 2.6% since reporting. It currently trades at $233.13. Is now the time to buy WD-40? Access our full analysis of the earnings results here, it’s free. Masterminds behind the viral Energizer Bunny mascot, Energizer (NYSE:ENR) is one of the world's largest manufacturers of batteries. Energizer reported revenues of $734.1 million, up 1.2% year on year, exceeding analysts’ expectations by 1.2%. Still, it was a slower quarter as it posted a significant miss of analysts’ EPS estimates and a miss of analysts’ EBITDA estimates. Interestingly, the stock is up 6% since the results and currently trades at $22.39. Read our full analysis of Energizer’s results here. Enhancing the lives of both pets and homeowners, Central Garden & Pet (NASDAQ:CENT) is a leading producer and distributor of essential products for pet care, lawn and garden maintenance, and pest control. Central Garden & Pet reported revenues of $882.4 million, down 8.2% year on year. This print topped analysts’ expectations by 0.6%. Taking a step back, it was a slower quarter as it produced a miss of analysts’ EBITDA estimates and full-year EPS guidance missing analysts’ expectations. Central Garden & Pet had the slowest revenue growth of the whole group. The stock is flat since reporting and currently trades at $44.07. Read our full, actionable report on Central Garden & Pet here, it’s free. Formed after the 1928 combination between toothpaste maker Colgate and soap maker Palmolive-Peet, Colgate-Palmolive (NYSE:CL) is a consumer products company that focuses on personal, household, and pet products. Colgate-Palmolive reported revenues of $5.36 billion, up 4.9% year on year. This result met analysts’ expectations. Zooming out, it was a mixed quarter as it also produced a decent beat of analysts’ gross margin estimates but organic revenue in line with analysts’ estimates. The stock is flat since reporting and currently trades at $92.41. Read our full, actionable report on Colgate-Palmolive here, it’s free. Over the past year, investors have been forced to repeatedly answer the same question: what is the market’s biggest risk? The answer has changed several times, and each shift has reshaped market leadership. Late in 2025 and early 2026, artificial intelligence became the market’s primary uncertainty. Investors questioned whether AI would erode software pricing power and weaken competitive moats as AI made it easier to replicate once-differentiated products. By the spring, technology took a back seat to geopolitics. The U.S. conflict with Iran briefly became the market’s dominant narrative, raising concerns about oil prices, inflation, and global growth. But as energy markets remained orderly and fears of a prolonged supply disruption faded, investors quickly turned their focus back to fundamentals. Want to invest in winners with rock-solid fundamentals? Check out our Hidden Gem Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.
Related articleQuarter not tagged2026-08-14Spectrum Brands (SPB) Q3 2026 Earnings Call Transcript
Motley Fool
Spectrum Brands (SPB) Q3 2026 Earnings Call Transcript
Image source: The Motley Fool. Friday, Aug. 7, 2026 at 9:00 a.m. ET Division Vice President, FP&A and Investor Relations - Jennifer Schultz Chairman and Chief Executive Officer - David Maura Chief Financial Officer - Faisal Qadir Operator: Good day, and thank you for standing by. Welcome to Q3 2026 Spectrum Brands Holdings, Inc. Earnings Conference Call. [Operator Instructions] Please be advised that today's conference is being recorded. I would now like to hand the conference over to your first speaker, Ms. Jen Schultz, DVP, FP&A and Investor Relations. Please go ahead. Jennifer Schultz: Thank you, and welcome to Spectrum Brands Holdings Q3 2026 Earnings Conference Call and Webcast. I'm Jen Schultz, Division Vice President of FP&A and Investor Relations, and I will moderate today's call. To help you follow our comments, we have placed a slide presentation on the Event Calendar page in the Investor Relations section of our website at www.spectrumbrands.com. This document will remain there following our call. Starting with Slide 2 of the presentation. Our call will be led by David Maura, our Chairman and Chief Executive Officer; and Faisal Qadir, our Chief Financial Officer. After opening remarks, we will conduct the Q&A. Turning to Slides 3 and 4. Our comments today include forward-looking statements, which are based upon management's current expectations, projections and assumptions and are, by nature, uncertain. Actual results may differ materially. Due to that risk, Spectrum Brands encourages you to review the risk factors and cautionary statements outlined in our press release dated August 7, 2026, our most recent SEC filings and Spectrum Brands Holdings' most recent annual report on Form 10-K and quarterly reports on Form 10-Q. We assume no obligation to update any forward-looking statements. Also, please note that we will discuss certain non-GAAP financial measures in this call. Reconciliations on a GAAP basis for these measures are included in today's press release and slide presentation, which are both available on our website in the Investor Relations section. Now I'll turn the call over to David Maura. David? David Maura: Thank you, Jen, and good morning, everybody, and welcome to Spectrum Brands' third quarter earnings update. I appreciate everybody joining us for today's call. As usual, I'll start the call with an update on the operating environm…Read full documentShow less
Image source: The Motley Fool. Friday, Aug. 7, 2026 at 9:00 a.m. ET Division Vice President, FP&A and Investor Relations - Jennifer Schultz Chairman and Chief Executive Officer - David Maura Chief Financial Officer - Faisal Qadir Operator: Good day, and thank you for standing by. Welcome to Q3 2026 Spectrum Brands Holdings, Inc. Earnings Conference Call. [Operator Instructions] Please be advised that today's conference is being recorded. I would now like to hand the conference over to your first speaker, Ms. Jen Schultz, DVP, FP&A and Investor Relations. Please go ahead. Jennifer Schultz: Thank you, and welcome to Spectrum Brands Holdings Q3 2026 Earnings Conference Call and Webcast. I'm Jen Schultz, Division Vice President of FP&A and Investor Relations, and I will moderate today's call. To help you follow our comments, we have placed a slide presentation on the Event Calendar page in the Investor Relations section of our website at www.spectrumbrands.com. This document will remain there following our call. Starting with Slide 2 of the presentation. Our call will be led by David Maura, our Chairman and Chief Executive Officer; and Faisal Qadir, our Chief Financial Officer. After opening remarks, we will conduct the Q&A. Turning to Slides 3 and 4. Our comments today include forward-looking statements, which are based upon management's current expectations, projections and assumptions and are, by nature, uncertain. Actual results may differ materially. Due to that risk, Spectrum Brands encourages you to review the risk factors and cautionary statements outlined in our press release dated August 7, 2026, our most recent SEC filings and Spectrum Brands Holdings' most recent annual report on Form 10-K and quarterly reports on Form 10-Q. We assume no obligation to update any forward-looking statements. Also, please note that we will discuss certain non-GAAP financial measures in this call. Reconciliations on a GAAP basis for these measures are included in today's press release and slide presentation, which are both available on our website in the Investor Relations section. Now I'll turn the call over to David Maura. David? David Maura: Thank you, Jen, and good morning, everybody, and welcome to Spectrum Brands' third quarter earnings update. I appreciate everybody joining us for today's call. As usual, I'll start the call with an update on the operating environment, then our operating performance, and I'll finally turn our attention to our strategic initiatives at the end. Faisal will then come on and provide more detailed financial and operational updates, including a discussion on the specific business unit results. If I could have you turn to Slide 6. Let me start by sharing some of the significant accomplishments since our last quarterly earnings call. This quarter was marked by meaningful milestones, and I believe it reflects the strength of what this team is capable of, and we are focused on executing with discipline. I'm incredibly proud of what the global team has delivered, not just this quarter, but consistently over the past year in the face of a dynamic and changing macroeconomic environment. The results speak for themselves, and they reinforce my conviction that we do have the right people, the right strategy and the right priorities in place to drive both our near-term performance and long-term value creation for our stakeholders. With that context in mind, let me walk you through a few of the highlights. First, our quarterly results once again outperformed expectations on both the top and the bottom lines. This is a trend we have sustained throughout the fiscal year. Net sales increased 7.7% versus the prior year with all 3 business units delivering growth. In fact, in our Home & Garden business, we delivered a record-setting quarter with net sales of $225 million, surpassing even the elevated demand levels we experienced during the COVID-19 pandemic. Second, on a year-to-date basis, our company has returned to organic growth, a meaningful achievement against the challenging macroeconomic backdrop. While geopolitical tensions persist and volatile trade environments continue to create uncertainty and weigh on consumer sentiment, we've been encouraged by the resilience that consumers have demonstrated across most of the categories we serve. Our Global Pet Care and Home & Garden businesses benefited from solid underlying demand. And while we are seeing some expected softness in the Home and Personal Care unit, the trends are consistent with our expectations. Third, on the cost and tariff front, we continue to experience modest inflationary pressure, particularly across commodities and freight. And the tariff landscape continues to evolve with the recent expiration of the Section 122 tariffs and the announcement of new Section 301 tariffs. That said, the proactive approach we took last year positions us well to navigate these pressures in the near term, and we do not view this as a significant headwind for the balance of this year. On the [ IEEPA ] refund front, we've made significant progress. While some refunds were collected within the quarter, a more substantial cash collection occurred subsequent to the quarter close. We have now collected substantially all refunds associated with Phase 1, and we filed over 95% of our Phase 2 claims. In the quarter, we did recognize a receivable for those refunds on our balance sheet, which reflects our confidence in the collection process and the progress we've made to date. Fourth, if we turn to our balance sheet, we ended the quarter with almost $260 million of cash. We have 0 drawn on the revolver, and we have a net leverage ratio of about 1x. This is well below the long-term target we've set for the company of 2 to 2.5 turns of leverage. We also repurchased approximately 200,000 shares during the quarter for about $15.8 million and with over $300 million of additional Board authorization still remaining. We will continue to be opportunistic in share repurchases to ensure flexibility as we look to capitalize on market opportunities and dislocations. Fifth, on the operational front, in July, we completed our first S/4HANA deployment into the Home and Personal Care business here in North America, while also finalizing implementation across the remaining Global Pet Care and Home & Garden entities. With these completions, 100% of our Global Pet Care and Home & Garden businesses and all but the EMEA region in Home and Personal Care are now operating on a single unified ERP platform. This is a significant milestone in our multiyear transformation. If I could now turn your attention to Slide 7, and here, I'll give an update on our strategic priorities for the balance of fiscal '26. These priorities are serving us as a clear guide in our decision-making and our progress against each one of them reinforces the effectiveness of our strategy. First, with respect to financial stewardship, our core objective is delivering growth while maintaining a very healthy balance sheet and strong margin structures. Our quarterly results demonstrate how deeply the team has embraced this philosophy. Year-to-date, we've delivered $136 million of adjusted free cash flow through disciplined working capital and CapEx management, including approximately $3 million from tariff refunds. Operationally, our S&OP process continues to perform at a high level. In fact, we once again maintained fill rates above 95% across all 3 business units this quarter on a leaner inventory base. This reinforces the fact that we can deliver for our customers without sacrificing working capital discipline. Second, if I move to operational excellence, I'd like to build upon what I shared earlier as it relates to the S/4HANA ERP transformation. As I mentioned, we're now in the final stages of this multiyear project with only the HPC EMEA region deployment remaining later this year. I want to take a moment on this call to sincerely thank each one of our global team members who have driven this implementation. This has been a long, hard process and their dedication, patience and perseverance over the course of this journey has been remarkable. And reaching this point is a really significant milestone that should not be understated. That said, completing this implementation is not our finish line. It's simply the foundation. The real opportunity for our company lies in what comes next, leveraging this new platform to further standardize our processes, drive efficiency improvements and ultimately unlock the full potential of what a unified global ERP system can deliver for our business and our stakeholders. We do have meaningful work still ahead of us, but I'm confident that this -- that we have the right team in place to capture that value over time. Now this brings me to our third key priority, which is investing in our people. At the start of the fiscal year, we set a clear intention to raise the bar on both talent and leadership, recognizing that building the right team is foundational to executing the strategy and long-term sustainable growth we desire for our company. This isn't something that happens overnight. But as I reflect on where we stand today, I'm genuinely proud of the progress we've made. Over the past year, we've made meaningful leadership changes within the Global Pet Care business, bringing in experienced CPG talent with a very strong focus on consumer-led insights and data-driven decision-making. These additions have already begun to strengthen our commercial capabilities and sharpen our go-to-market approach. Our fourth priority for fiscal '26 is strategic transformation. Our key brands in both the Global Pet Care and Home & Garden businesses continue to deliver above-market growth, driven by consumer-led insights and bolder new product development. M&A remains a meaningful priority for us, and we are active in the market, evaluating opportunities across both our Pet and Home & Garden businesses. That said, we will remain disciplined in our approach, and we will only act when the right opportunity presents itself at the right value. Our balance sheet strength gives us tremendous flexibility to move decisively when the time is right. Lastly, on the HPC front, our partnership with Oaktree is progressing well, and we are excited about what lies ahead. The foundation has been laid, and we are beginning to chart the path forward together. There are a number of potential exciting opportunities to create the right structure to maximize value at HPC. We look forward to sharing more progress with you as this relationship matures. If everybody could turn now to Slide 8, and I'll cover the high-level fiscal '26 earnings framework. We continue to expect our net sales to be flat to up low single digits versus the prior year, and that's driven by growth in Global Pet Care and Home & Garden, which are more than offsetting an anticipated decline in our Home & Personal Care unit. In light of our year-to-date performance, however, we are updating and increasing our EBITDA expectations. Excluding the impact from tariff refunds, we now expect adjusted EBITDA to increase mid-single digits versus the prior year, reflecting the underlying strength of our core businesses and our continued discipline around expense management. And consistent with our prior framework, excluding tariff refunds, we continue to expect adjusted free cash flow to be approximately 50% of our adjusted EBITDA. Before I turn the call over to Faisal, I'd like to sincerely thank each member of the Spectrum Brands team. Your commitment, your execution are reflected in these results. And as we enter the final stretch of the year, I'm confident we'll finish strong and we'll continue delivering value for our shareholders. Now you'll hear more from Faisal on the financials, and he'll give you some more business unit insights. Over to you, Faisal. Faisal Qadir: Thank you, David. Let's turn to Slide 10 and review our third quarter financials, starting with net sales. Net sales increased 7.7%. Excluding the impact of $7.5 million of favorable foreign exchange, organic net sales increased 6.6%. All 3 businesses delivered growth in the quarter, led by our Home & Garden business, where favorable weather conditions drove point-of-sale consumption with our key brands continuing to outperform the market. Gross profit increased $106.3 million and gross margin of 49.2% increased 11.4 percentage points, including a onetime tariff refund of $60.6 million. Excluding this benefit, gross profit increased $45.7 million and gross margin of 41.1% increased 330 basis points, driven by higher sales volume, pricing, lower trade spend, favorable mix and cost improvement actions, partially offset by higher tariff costs. Operating expenses of $354.5 million increased by 52.3%, including an impairment charge recognized in the current quarter for the HPC business related to the recent transaction with Oaktree. Excluding this impairment charge, operating expenses increased $25.5 million or 11.3%, largely attributable to increased investment spend. Operating income of $15.9 million decreased by $15.4 million, driven by the higher operating expenses, partially offset by the gross profit increase I mentioned. GAAP net income and diluted earnings per share both decreased, primarily driven by the lower operating income and higher income tax expense. Diluted earnings per share benefited from a lower share count. Adjusted EBITDA was $158.3 million, an increase of $81.7 million. Excluding tariff refunds, adjusted EBITDA was $97.7 million, an increase of $21.1 million or 27.5% driven by the improved gross margin and increased volume, partially offset by the higher investment spend. Adjusted diluted EPS increased to $2.79, driven by the higher adjusted EBITDA and a reduction in share outstanding, including $1.90 per share benefit from tariff refunds. Excluding this benefit, adjusted EPS decreased to $0.89. Turning to Slide 11. Our Q3 interest expense from continuing operations of $8.2 million decreased $200,000. Cash taxes during the quarter resulted in a net refund of $1.3 million, a decrease of $15.3 million from the prior year. Depreciation and amortization of $24.8 million decreased $300,000 from last year. And separately, share-based compensation increased to $6 million from $4.8 million in the prior year. Capital expenditures were $9.8 million in the quarter, which is $200,000 lower than the prior year. Cash payments towards strategic transactions, restructuring-related projects and other unusual nonrecurring investments were $7.4 million versus $8.6 million last year. Moving to the balance sheet. We had a quarter end balance -- cash balance of $258.9 million and $494.8 million available on our $500 million cash flow revolver. Total debt outstanding was approximately $633 million, consisting of $496.1 million of senior unsecured notes, $76.9 million of finance leases and $60 million of HPC term loan. We ended the quarter with $374.1 million of net debt. Now let's get into the review of each business unit, and I'll provide you more details on the underlying performance drivers of our operational results. I'll start the business reviews with the Global Pet Care business, which is Slide 12. Reported net sales increased 3.3% and excluding favorable foreign exchange, organic net sales increased 2.9%. Reported net sales in companion animal increased mid-single digits, while sales in aquatics decreased mid-single digits. In North America, sales increased high single digits led by strength in companion animal with modest category growth and continued market share gains across our key brands. Our top brands across chews, stain & odor, and grooming, all maintained or gained market share in the quarter. Sales also benefited from a softer prior year comparison stemming from the temporary suspension of shipments to key retail partners during pricing negotiations, which deferred orders from Q3 to Q4 of last year. Results were also partially offset by an approximately $3 million headwind from e-commerce orders shipped early into the prior quarter. Organic net sales in EMEA decreased in the mid-single digits, including an approximately $6 million headwind driven by retail partners accelerating orders into the prior quarter ahead of our March 30 S/4HANA go-live, impacting both companion animal and aquatics. Excluding this timing impact, underlying performance across both companion animal and aquatics was strong. In companion animal, Good Boy continues to outperform the competition, driven by distribution gains across Continental Europe and expanded market leadership in the U.K. In Aquatics, we gained market share within a declining category, where the e-commerce channel delivered strong year-over-year gains. Our commercial and go-to-market strategy remains rooted in consumer-led innovation, supported by targeted marketing and advertising that speaks directly to today's pet owner. A key pillar of this strategy is our evolving digital approach as we work to build a social-first marketing machine that meets consumers where they are. Most notably, we recently launched TikTok Shops for both our Good 'n' Fun and DreamBone brands, a first for our GPC portfolio, creating a direct and engaging path to purchase in one of the fastest-growing social commerce platforms. Complementing our digital efforts, we are executing numerous media campaigns focused on driving increased brand awareness and engagement. And lastly, on the revenue growth management front, you may recall last quarter, we shared that we were in the process of refining our price pack architecture across much of North American business. With the initiative now fully executed, we are actively supporting our portfolio value proposition and remain focused on reinvesting appropriately behind our brands and innovation pipeline. Turning to EBITDA. Excluding tariff refunds, this quarter's adjusted EBITDA for the business was $51.9 million, an increase of $7.9 million versus the prior year, with adjusted EBITDA margin expanding 250 basis points to 19.7%. The improvement was primarily driven by pricing, favorable mix and cost improvement actions, partially offset by higher tariff costs and investment spend. As we look forward to the fourth quarter and conclusion of the fiscal year, we continue to expect to deliver top line growth for fiscal '26 in the GPC business, reflecting the underlying momentum across our key brands and markets. Our year-to-date performance has been strong, and we are confident in our brand's ability to continue gaining share in the marketplace. In the fourth quarter, however, we anticipate sales will be down versus the prior year, driven by tougher comparisons related to both the stop shipment dynamic discussed earlier and Eukanuba order timing as retailers pulled purchases forward in the fourth quarter of prior year in support of a refreshed portfolio launch. We expect investment spend to remain elevated relative to the first half as we reinvest margin gains from our pricing decisions back into the brands in support of long-term growth. Now let's move to our Home & Garden business, which is on Slide 13. We delivered a record quarter with reported net sales of $225 million, an increase of 19% versus the prior year, surpassing even the elevated demand levels we experienced during the COVID-19 pandemic. Growth was broad-based with double-digit gains across all pest controls and herbicide categories. Favorable weather conditions across key regions in April drove strong retail point-of-sale activity and higher replenishment orders early in the quarter. While weather turned unfavorable in May with pockets of severe weather and excessive heat across the Eastern U.S., our April momentum and the underlying strength of our brands enabled us to deliver a record quarter despite these challenges. Notably, most of our key brands once again outperformed the market, including Spectracide, Hot Shot and Repel. The strength of our sales is a direct reflection of our continued investment in innovation, consumer-relevant marketing and strong retail execution. Spectracide's nonselective lineup of fast-acting ready-to-use formulas to address unwanted weeds and grasses is winning in the marketplace with enhanced efficacy claims that are resonating with consumers at a superior value. In addition, the innovations brought to market last year continue to drive growth through expanded distribution. The Spectracide Wasp, Hornet and Yellowjacket Trap, along with the Hot Shot Flying Insect Traps are outpacing the market through significant footprint expansion supported by strong media campaigns. Off-shelf displays continue to be a core part of our strategy, and we secured numerous promotional end cap and aisle displays with many of our retail partners. In our cleaning category, we recently launched the Rejuvenate PowerMax Multi-Surface Mop, a 3-in-1 sweet mop scrub floor care solution built around consumer convenience and superior value. While distribution is in its early stages across select online and brick-and-mortar retail partners, we have additional placements already confirmed with rollouts underway. Turning to EBITDA. Excluding tariff refunds, adjusted EBITDA was $48.4 million, an increase of $9.8 million versus the prior year, and adjusted EBITDA margin of 21.5%, representing 110 basis points improvement year-over-year. The increase in adjusted EBITDA was primarily driven by the higher sales volume and productivity improvement, partially offset by higher trade spend and inflation. The additional cost of tariffs was largely mitigated through a variety of actions, including pricing. Looking ahead to the balance of the fiscal year, while our Home & Garden business delivered a record-setting quarter, the demand variability we experienced within the quarter tied to shifting weather patterns is a reminder that weather plays an important yet unpredictable factor in our overall performance. The unfavorable weather conditions experienced in late June continued into July with more widespread and persistent heat impacting much of the country. These conditions have also left certain retailers carrying elevated inventory levels, which we expect will temper replenishment orders and weigh on fourth quarter results. Latest weather projections for August and September indicate warmer-than-average conditions for a majority of the country with an increased chance of precipitation along the East Coast. We will continue to partner closely with our customers to ensure we can appropriately supply the products to meet consumer demand and drive further expansion of the Fall Call Program. We remain focused on driving consumer-led innovation, and we will continue to strategically invest in our brands through the balance of the year. We are on track to deliver net sales growth with modest EBITDA margin expansion in fiscal '26 for the Home & Garden business. Let's finally turn to our Home & Personal Care business, which is Slide 14. Reported net sales in this business increased 3.6%. Excluding favorable foreign exchange, organic net sales increased 1.1%. Reported net sales in the Personal Care category increased in the mid-teens this quarter, while sales in home appliances were down mid-single digits. Organic net sales in EMEA increased mid-single digits with growth in both home appliances and personal care. Sales across both categories benefited from a one-time reduction in trade spend in our e-commerce and DTC channels, offset by an increase in operating expenses. Underlying performance in both categories continue to be impacted by increased competition, particularly in the e-commerce channel. That said, U.K. performance for the quarter was strong with double-digit improvements to POS across Personal Care and home appliances. This was driven in part by expanded distribution at key retailers and the continued success of our growing direct-to-consumer business. Further expansion of our DTC capability across Europe and beyond remains a key priority for our team. North American sales decreased in the mid-single digits, driven by lower sales in home appliances, reflecting softness across certain brands and the exit of our U.S. DRTV business. Despite this, Black & Decker continued to perform well, particularly in Coffeemakers and Fabric Care, where we saw positive POS and market share gains. In Personal Care, sales increased double digits though results benefited from a soft prior year comparison due to the tariff-related pricing disruptions we've previously discussed. The Hair Care segment is showing signs of stabilization with sequential improvement in both the overall category and Remington performance. Recently, the hair care category returned to growth and Remington gained share within it, with particularly strong performance in the Curling Iron segment. In our Latin American region, organic sales increased in the high single digits, primarily driven by double-digit growth in Personal Care following new product launches across Mexico, Colombia and Central America earlier in the year. These launches continue to gain traction from brand-focused investments and partnerships with key retailers sustaining double-digit sell-out growth. Organic sales in home appliances also increased driven by incremental volume in Colombia and Mexico under our Black & Decker brand. Our continued investment behind our brands is translating into tangible commercial wins across channels and markets, and I'd like to highlight a few examples. First, building on the success of our DTC expansion in the U.K., we're actively extending this approach to new markets. During the quarter, we launched a TikTok shop in the U.S. featuring our Remington brand with the Gloss collection as our debut assortment. We are encouraged by the early response and are continuing to build capabilities to support further expansion across other brands, categories and markets. Second, we successfully reactivated our partnership with a key retailer in Australia across both our Russell Hobbs and Remington brands, following a period in which the retailer had shifted towards private label. We are pleased to once again bring our trusted market-leading brands back to Australian consumers through this important channel. And third, we recently entered a partnership with America's Test Kitchen, showing the Black & Decker brand featuring the VacuSteam and Perfect Pint Ice Cream Maker through an integrated multichannel media campaign designed to increase awareness and drive meaningful consumer engagement. Turning to profitability. Adjusted EBITDA, excluding tariff refunds was $14.4 million. an increase of $7.4 million versus the prior year, with adjusted EBITDA margin expanding 270 basis points to 5.4%. The increase was primarily driven by pricing, cost improvement initiatives and favorable foreign exchange, partially offset by lower volumes and higher tariff costs. Looking ahead to the remainder of the year, while softness in global consumer demand and a reduced U.S. product portfolio will continue to weigh on net sales, we expect the rate of decline to moderate relative to the first half, consistent with the underlying trends we experienced in Q3. Our focus remains on improving profitability with plans in place to deliver full year adjusted EBITDA growth versus prior year despite a projected decline in net sales for the full year. Turning to Slide 15 and our expectations for fiscal '26. We continue to expect net sales to be flat to up low single digits compared to the prior year, driven by growth in our Global Pet Care and Home & Garden business, more than offsetting an anticipated sales decline in our Home & Personal Care business. Our year-to-date results support this view, though we anticipate some moderation in Q4 as Global Pet Care faces tough prior year comparisons and Home & Garden navigates unfavorable weather conditions late in the season. In light of year-to-date performance, we are updating our expectation for full year adjusted EBITDA. Excluding the impact of tariff refunds, we now expect adjusted EBITDA to grow mid-single digits. The improvement versus the prior year continues to be driven by the expected sales growth in our Global Pet Care and Home & Garden businesses, continuous improvement initiatives and FX favorability offsetting the anticipated lower volume in Home & Personal Care. Tariffs and inflation are expected to be largely offset through the various mitigation actions, which we've taken, including pricing. And lastly, excluding tariff refunds, we continue to expect adjusted free cash flow as a percentage of adjusted EBITDA to be around 50%. Now turning to Slide 16. Depreciation and amortization is expected to be between $115 million and $125 million, including stock-based compensation of approximately $20 million to $25 million. Cash payment towards restructuring optimization and the strategic transaction costs are expected to be between $25 million and $35 million. Capital expenditures are expected to be between $50 million and $60 million. Cash taxes are expected to be between $40 million and $50 million. For adjusted EPS, we use an effective tax rate of 32.8%, including discrete items and state taxes. The higher rate incorporates the impact of HPC transaction announced in May. To end my section, I want to echo David and thank all of our global employees for their hard work and commitment. The results we've delivered year-to-date are a direct reflection of that effort, and I'm confident we have the focus and the team to finish the year strong. Back to you, David. David Maura: Thank you, Faisal. Once again, I just want to thank everybody for joining us on the call today. I'll take a few moments like I normally do, just to recap some of the takeaways. The key takeaways will be on your Slide 18, I believe. Look, we're pleased with our third quarter and our year-to-date results, and they're marked by a number of significant meaningful milestones that I mentioned earlier. And these things reinforce the effectiveness of our strategy. All 3 businesses delivered top line growth in the quarter, and we did this despite the continued volatility in the broader macroeconomic environment, including the geopolitical tensions that persist, and evolving trade environment and uneven consumer demand across certain categories and regions. In Global Pet Care and Home & Garden, our brands continue to perform well in the market with consistent share gains across much of our portfolio. And in Home & Personal Care, we're seeing signs of stabilization in the North American market, along with continued brand strength across Latin America. As for profitability, all 3 businesses expanded adjusted EBITDA margins in the quarter, excluding tariff refunds, a direct reflection of the cost discipline we continue to exercise across our organization. If I look forward to the balance of the year, we're focused on finishing strong, executing against our strategic priorities and continuing to invest in our brands and delivering on the updated framework we just gave you today. Our fiscal fourth quarter will not be without its challenges. Unfavorable weather conditions are weighing on Home & Garden's final season. The Global Pet Care business faces tougher prior year comparisons as we've talked about. And the consumer and inflationary pressures remain. That said, we are pleased with the underlying performance of our brands, and we remain confident in this team and our ability to close out fiscal '26 strong with the same discipline and determination that has defined our performance throughout the year. Lastly, I believe the future for our company and Spectrum Brands is bright. We will continue to build and look for attractive opportunities in the M&A market, but we are looking for the right complementary assets to build upon the strength of our Global Pet Care and Home & Garden portfolios. And we will remain disciplined. We will only act when the right opportunity presents itself to us. On the HPC front, our partnership with Oaktree is progressing well. We're excited about what lies ahead. There are a number of potential exciting opportunities to create the right structure to maximize value at HPC, and we're looking forward to sharing more progress with you guys as that relationship matures. Before I turn the call over, I want to take this last moment to thank every member of the Spectrum Brands team around the world. The results we delivered this quarter reflect your grit, your determination, your focus and your commitment. I'm confident that together, we'll finish this year strong. Now I'll turn the call back to Jen, and we're happy to take any questions. Jennifer Schultz: Thank you, David. Operator: [Operator Instructions] And I show our first question comes from the line of Bob Labick from CJS Securities. Bob Labick: Congratulations on strong performance, particularly the 6.5%, 7% organic growth. So, kind of 2-part question involving that growth. Can you talk a little bit about the kind of price volume dynamic that you had and how much the timing of pricing, how much more that will benefit you right now? But the bigger question, too, though, is you've been talking about for a while leaning into innovation. Is there any way to give maybe kind of a vitality index or sales from new products and give us a sense of like is that fully up to speed? Do we have more new pipeline behind? Is that what's driving the growth? Or give us a sense of that as well? David Maura: Yes. I think I'll zoom out, I'll hit the bigger points, and then I'll have Faisal and Jen kind of fill in whatever I miss detail-wise. But look, I think we've taken a very long-term approach to managing the company over the last couple of years. We wanted to get the first fundamental building blocks in place. And you saw us deleverage the balance sheet very, very aggressively over the last 3 years. And so, we have this tremendously strong balance sheet. We then turned our attention to operations. We were not very good working capital managers. We didn't have a very robust S&OP process. And so, we've got, I think, pretty strong operational excellence. So, balance sheet is very healthy. The operational cadence and rhythm of this company, I would tell you, is light years ahead where it was, and I'm satisfied with it. There's always more to do, but we're in good shape. And what I think you've heard me talk about -- and if you're at any of my internal meetings, it's my soul -- it's the main goal now is commercial health. How do we really build -- if we have an outstanding balance sheet and we have outstanding operations, how do we get an outstanding commercial operation? And it's exactly the point you're talking about, Bob. We have got to continue doing fewer, bigger, better, bolder innovation around here. I do believe that Home & Garden, which, as you just saw, had an outstanding quarter, right? I mean they grew almost 20%, phenomenal third quarter at Home & Garden. Javier, who leads that team has spent 3 years rebuilding that culture, building real R&D and innovation capacity there and recently adding real marketing muscle. And again, I don't know if we share specifics on vitality. But I can tell you, yes, a lot of that growth is new innovative product. I think Faisal in his remarks may have talked about our Wasp and Hornet Traps. We have other small insect traps. These are highly efficient, very high-efficacy products that address consumer-led insight need, and they're priced appropriately. And so, in some of these cases, you have a business that was 0 and got to $5 million, now it's doing $10 million, should do $20 million. When you can move the needle $10 million or $20 million on one SKU on a $550 million, $600 million base business, it actually moves the needle on the whole company. And if you can get a couple of those SKUs working for you, you've got what you're talking about, which is vitality and you're hitting the consumer on a need that they've been asking for. So, it's white space, it's fresh, it's addressing consumer need and you're first to market. And he's got a number of those, we can always do better. In fact, we just hired new R&D talent for Javier. I would say Pet is a few years behind that. We just hired Ori. We've staffed some new senior leadership positions there. I mentioned them in my earlier remarks. But again, my focus, and it will be part of our AOP planning for '27 is how do I continue -- how do we continue to reduce some of the marketing spend that's getting lower yields and how do we reinvest that? Look, we need to address the younger consumer. We need to be more engaging. We need to be more exciting. We need to be crisper in our marketing and our storytelling. I'm in Middleton today in Wisconsin. This is the old headquarter buildings with Rayovac and our appliance business is still here and our shared services. We had the Board meeting here, and we toured some of the innovation in appliances. We actually have pretty amazing innovation. We need to do a much better job telling the consumer about it. And so, I've got a lot of work streams here. Sorry for this long-winded answer, but I'm very excited about what we can do with matching this innovation with really crisp, punchy, exciting, engaging digital marketing. And look, a lot of that does require additional talent because not -- you've got to upgrade human talent that understands what good looks like, what great marketing looks like and how to really communicate effectively to that consumer base. And if we can turn our share of voice up there, we can have something really exciting going on here at Spectrum Brands for the years ahead. So, for specifics, I'll let Faisal and Jen come in here. Faisal Qadir: Yes. Maybe I'll just quickly add just on the price volume question. So obviously, we have positive pricing in all 3 businesses. We do have volume growth now, not a lot, but we have volume growth in our GPC business. Obviously, in our H&G business, we have a lot of volume growth versus last year, but we're comping to what I would call a challenging quarter last year. But as I look forward to the year, I think for the full year, we will end up having both positive volume growth and pricing growth in GPC and H&G businesses. our HPC business will remain challenged on volume. And that's where we -- as we referenced earlier, we kind of have to think about how we price appropriately and promote to drive volume. And I'll just add one last thing. Our formula has been, from an innovation perspective, launching products, making it successful. And then the second year, typically, they get a lot more distribution. That's what we're seeing now in H&G. The Wasp and Hornet as an example, and Flying Insect were launches last year, very successful, and now we're just counting on a much more broader distribution that's driving the volume for that. Bob Labick: Okay. That's wonderful. And then if I can, just one quick question. Obviously, you outperformed meaningfully, excluding tariffs. But with tariff refunds coming, what are the expected uses of tariff refunds as they come in? David Maura: Yes, I want to hit this hard because I see all my competitors' press releases and every people look at this as some type of windfall or lottery ticket, and it drives me crazy. We had to restructure division. We had -- if you remember a year ago, I was talking about a tariff torpedo. And I was looking at hundreds of millions of dollars of COGS challenging our business. And we had to take very tough decisions here, painful decisions. We had to lay off coworkers. We had to curtail investments. We had to pull back marketing. We suffered real losses because of the tariff environment. So, I'm very strict with my staff. I mean, this money is just -- it's like you have a divot playing golf and you got to fill the hole back in. So, look, we want to rehire people. We want to invest in commercial activity. So that's where this is going. But this is just recouping some of the money that we lost last year. So that's -- I hope our press release is clear on that. I don't like the way other people are stating it. This is no windfall. I've read some of the sell-side pieces. Please don't say that about this. This is a recovery of prior losses. And that's how we're looking at it. And we don't want to include this in any ongoing numbers. This is one time in nature. It does not reflect organic earnings, and that's how we're treating it. Operator: Our next question comes from the line of Brian McNamara from Canaccord Genuity. Brian McNamara: First one on Pet Care. I'm curious if you could kind of speak about the channel dynamics there. A large online pet retailer gave some cautious remarks there starting in May on the market in general, but you and some of your competitors have kind of reported better sales for the last few quarters now after a tough few years. So, is that just a function of mass and pet specialty doing better? Any comments there would be helpful. David Maura: Look, I think you're right. Look, I think in general, pet in general has been in a tough spot since the COVID boom. And I think you're right. I mean, look, a lot of the specialty channels have had a lot of foot traffic problems. Pet continues to gravitate toward online purchases. And there's a lot of volatility in pet. Look, I'll be blunt. I think we've hired better talent in pet. I think we are making better investments in R&D in pet. I think we're doing a little bit better in market. We're nowhere near where I want to be. And we're doing a great job driving e-commerce. But just in my response to Bob, it's the same thing here. Faisal talked about it. We're just being more strategic. Again, we're not where I want to be, but we're much more strategic with our pet portfolio and the price pack architecture that Ori and his team did, we started -- we brought some consultants in last fall. It's more of a good, better, best strategy. I think it's helping our retailers have more clarity in a brick-and-mortar, if you go to a shelf, it's easier to shop the shelf and you can more clearly see our products in terms of good, better, best and priced appropriately. And it's just helping us. So, I'm not trying to say we're doing everything great or perfect. We have lots of room for additional improvement. But I would say we have moved the needle from where we were a year ago, and some of this growth is unique to us. Brian McNamara: Great. And then you guys had a great quarter in H&G, but it sounds like you'll give some of that back in Q4 where some retailers a bit heavy on inventories. Ideal weather for controls is a warm weather with moisture, right? So, like would it make sense to eventually diversify your weather exposures through M&A, a competitor with clearly different end markets and weather exposure spoke about a rough weather in May. So, any thoughts there would be helpful. David Maura: Yes. No, I mean, strategically, we totally get that. And we've been trying to focus on that through M&A. We've just released a new 3.0 Rejuvenate Mop. It's cleaning and is less seasonal. And it's early days. So, I can't tell you, I'm excited about it. I think it's a much better product than what was acquired years ago. I just think it's night and day compared to what we had, but it's -- we just got that placed. It's just rolling out to retailers. Without any support, it is doing a lot better than the old product. So early indications are positive there. But I need a quarter or 2 to see any sort of trend there or be bullish like I want to be in external communications. But no, I totally understand the point, but we have a great Home & Garden business, and that team has done a good job investing in innovation and gotten better at marketing. And yes, listen, I think if we could get a couple of sunny weekends here to finish out the year, that would help build retail confidence and get POS up and create some additional replenishment orders from our side, factory shipments from our side. But we're just trying to be transparent and open about, hey, listen, the last couple of weeks, weather has been difficult in that space. Operator: And I show our next question comes from the line of Chris Carey from Wells Fargo Securities. Christopher Carey: I wanted to pick up on the Home & Garden piece, very strong quarter. And -- but Faisal, you were mentioning just the volatility in consumption through the quarter and the excess inventory that you want to work down in fiscal Q4. Can you give us a sense of, number one, just what did that volatility look like intra-quarter? And more importantly, can you frame the inventory levels that you're looking at going into fiscal Q4? I mean most of this is really about understanding your potential to end the year with healthy inventory levels as you go into fiscal '27? Faisal Qadir: Yes. Look, I think one of the things -- great things about this year is that we started the year with really good inventory levels at our retailers. So ideally, that's where we want to end up again. And just to go back to your question about what was the volatility within the quarter from a weather perspective, we had really strong POS growth in April, double digits, right? And then we had a softer May. June was slightly better, but still softer. So, net-net, the quarter was still positive from a POS perspective. But the retailers ordered and took inventory based on a very strong April. So, a lot of our retailer partners now have inventory positions higher there than what they would expect because of the softer POS in May and June and then continued softer POS in July. So that's why we're a little bit more guarded in where I think our Q4 goes for Home & Garden. But still, even with that, I think we'll have a positive -- a pretty good positive growth here for Home & Garden. We're still continuing to take shares in all of our brands. And I think those are the positive things that we want to focus on. We would like to end the year at a good healthy inventory level, and our projections right now kind of are tracking to that. That's kind of what we're embedding in our framework right now as we talk about it. Christopher Carey: Great. And just as we go into fiscal '27, I think you mentioned confidence in growing top line volume and pricing and in Pet and Garden, correct me if I heard that wrong. What embeds that confidence? Is that early plans that you have, early discussions on shelf space going into next year? And then just give us a little bit of a sense of the inflation backdrop as we head into next year. It certainly feels like it's getting a bit better, but any way you can dimensionalize it. Faisal Qadir: Yes. So, look, it's really early to talk about next year outside of just our product portfolio, our pipeline and our brand performance. And the basis for my confidence comes from all of those things. This is a very weather-dependent business. We don't know what the weather is like. It's actually even too early to even know what the retailers' outlook would be like for next year. But all the things that are in our control are pointing in the right direction, and that's what gives us confidence. Christopher Carey: And on the inflation dynamic? Faisal Qadir: Yes. Again, same thing. We haven't really experienced a lot of inflation that we've not been able to offset this year. Early days. There are clearly signs that we're seeing continuing inflation. Our business has not really felt it yet. I don't think I can with confidence tell you what '27 inflation looks like. But I'll point to the fact that we have successfully dealt with and offset all the inflation pressures we felt over the last few years. So, I remain confident in our management team's ability to offset that inflation as it comes. But it's too early for me to kind of forecast what that looks like for next year. Operator: And I show our next question comes from the line of Stephen Powers from Deutsche Bank. Stephen Robert Powers: On the tariff refund front, can you just clarify a little bit on -- is there a way to quantify a bit more detail how much cash has been received to date associated with the refunds contemplated? And then as you look ahead, just any kind of magnitude on any additional earnings potential and subsequent cash benefit of refunds still in process? Faisal Qadir: Yes. Look, at the end of the quarter, we had actually booked all of our refunds, but received very little in cash. I can tell you since then, and our refund is kind of 2 phases, Phase 1 and Phase 2, and it was filed at different timing. all of which was booked on our P&L in the third quarter. At this point, we've received -- sitting here today, I can tell you we've received all of the Phase 1, and we've started to receive Phase 2. So, the total impact, I expect most of it will be received within the year by -- within the fiscal year. And definitely, by the end of the calendar year, we'll receive all of the cash. But I'd say about half of it is already in, and I expect most of it to still hit the fiscal year from a cash perspective. Stephen Robert Powers: Yes. That's great. And then, David, on HPC and the strategic alternatives that are being contemplated, I guess, as you work through it, are there specific operational or financial milestones that you need to clear before those alternatives become more actionable? I guess just how you're viewing that contemplated path over the next series of months and quarters? David Maura: No, there's nothing we need to clear. I mean at the end of the day, what you can control is your organic growth. And so that's always priority one. And so, you would -- if you look at the business from my eyes, we were basically battening down the hatches and trying to protect ourselves from a tremendous amount of tariff inflation that was destroying the P&L of the company a year ago. We play defense basically. And that's okay. Sometimes you got to play defense to see the next day. But with Oaktree's injection of capital, we really want to pivot to offense. And in fact, I had a town hall meeting here yesterday, and that was my message. We're underwriting 3 new growth pillars with our new partners at Oaktree. And again, I think Faisal is doing his best, but we can't look into '27 yet. We've just started the AOP process internally. But at the end of the day, I think we have tremendous opportunity organically on those commercial levers that we talked about for the other businesses, which is we've got some decent innovation. How do we get some better storytelling? How do we become more relevant? How do we crank up share of voice on digital and really target younger consumers? So that's kind of some of what the growth pillars will be as we roll them out internally organically. But in terms of M&A, we're wide open right now, and we're looking at a bunch of stuff. And we think with the lowest levered balance sheet and an amazing partner that we have in Oaktree, we should be the consolidation platform of choice, and we think there's a lot of money to be made in the space. And as we see the relationship mature with Oaktree, we hope to share that detail with you. But we're wide open. Operator: And I show this concludes our Q&A session at this time. I'd like to turn the call over to Ms. Jen Schultz, DVP, FP&A and Investor Relations for closing remarks. Jennifer Schultz: Thank you. And with that, we've reached the top of the hour, so we will conclude today's conference call. Thank you to both David and Faisal. And on behalf of Spectrum Brands, thank you for your participation this morning. Operator: Thank you. This concludes today's conference call. Thank you for participating. You may now disconnect. Before you buy stock in Spectrum Brands, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Spectrum Brands wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $421,943!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,382,819!* Now, it’s worth noting Stock Advisor’s total average return is 983% — a market-crushing outperformance compared to 216% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. See the 10 stocks » *Stock Advisor returns as of August 14, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has positions in and recommends Spectrum Brands. The Motley Fool has a disclosure policy. Spectrum Brands (SPB) Q3 2026 Earnings Call Transcript was originally published by The Motley Fool
Related articleQuarter not tagged2026-08-09Spectrum Brands Q3 Earnings Call Highlights
MarketBeat
Spectrum Brands Q3 Earnings Call Highlights
Interested in Spectrum Brands Holdings Inc.? Here are five stocks we like better. Spectrum Brands reported broad-based growth: Fiscal Q3 sales rose 7.7% year over year, with all three business units growing and Home & Garden posting record sales. Excluding tariff refunds, adjusted EBITDA increased 27.5% to $97.7 million. Tariff refunds significantly boosted reported results: A one-time $60.6 million refund lifted adjusted EPS by $1.90 and gross margin to 49.2%; management said the recovered funds will support commercial investment and rehiring. The company raised its outlook for profitability: Fiscal 2026 sales are still expected to be flat to up low-single digits, while adjusted EBITDA excluding tariff refunds is now projected to grow at a mid-single-digit rate. Fourth-quarter performance may face pressure from weather, inventories and tougher comparisons in Pet Care. 52-Week Lows? No Problem for 3 Stocks With Big Upside Potential Spectrum Brands (NYSE:SPB) reported third-quarter fiscal 2026 sales growth across all three of its business units, led by a record quarter in Home & Garden, while raising its outlook for adjusted EBITDA growth excluding tariff refunds. Net sales rose 7.7% from a year earlier, or 6.6% organically excluding $7.5 million of favorable foreign exchange. Chairman and Chief Executive Officer David Maura said the company’s Global Pet Care, Home & Garden and Home & Personal Care businesses each generated growth during the quarter. → Sandisk Just Delivered a Blowout Quarter—Here's Why the Stock Is Falling Motorola Approaches Buy Point As Analysts Boost Price Targets “Our quarterly results once again outperformed expectations on both the top and the bottom lines,” Maura said, adding that the company had returned to organic growth on a year-to-date basis despite geopolitical uncertainty, changing trade conditions and uneven consumer demand in some categories. Third-quarter gross profit increased $106.3 million and gross margin rose 11.4 percentage points to 49.2%, including a one-time $60.6 million tariff refund. Excluding the refund, gross profit increased $45.7 million and gross margin was 41.1%, up 330 basis points from the prior year. → No Hangover: Revisiting Microsoft One Week After Earnings Spectrum Brands Digesting Gains From Its One-Day Gain Of 17.79% Chief Financial Officer Faisal Qadir said the underlying margin improvement reflect…Read full documentShow less
Interested in Spectrum Brands Holdings Inc.? Here are five stocks we like better. Spectrum Brands reported broad-based growth: Fiscal Q3 sales rose 7.7% year over year, with all three business units growing and Home & Garden posting record sales. Excluding tariff refunds, adjusted EBITDA increased 27.5% to $97.7 million. Tariff refunds significantly boosted reported results: A one-time $60.6 million refund lifted adjusted EPS by $1.90 and gross margin to 49.2%; management said the recovered funds will support commercial investment and rehiring. The company raised its outlook for profitability: Fiscal 2026 sales are still expected to be flat to up low-single digits, while adjusted EBITDA excluding tariff refunds is now projected to grow at a mid-single-digit rate. Fourth-quarter performance may face pressure from weather, inventories and tougher comparisons in Pet Care. 52-Week Lows? No Problem for 3 Stocks With Big Upside Potential Spectrum Brands (NYSE:SPB) reported third-quarter fiscal 2026 sales growth across all three of its business units, led by a record quarter in Home & Garden, while raising its outlook for adjusted EBITDA growth excluding tariff refunds. Net sales rose 7.7% from a year earlier, or 6.6% organically excluding $7.5 million of favorable foreign exchange. Chairman and Chief Executive Officer David Maura said the company’s Global Pet Care, Home & Garden and Home & Personal Care businesses each generated growth during the quarter. → Sandisk Just Delivered a Blowout Quarter—Here's Why the Stock Is Falling Motorola Approaches Buy Point As Analysts Boost Price Targets “Our quarterly results once again outperformed expectations on both the top and the bottom lines,” Maura said, adding that the company had returned to organic growth on a year-to-date basis despite geopolitical uncertainty, changing trade conditions and uneven consumer demand in some categories. Third-quarter gross profit increased $106.3 million and gross margin rose 11.4 percentage points to 49.2%, including a one-time $60.6 million tariff refund. Excluding the refund, gross profit increased $45.7 million and gross margin was 41.1%, up 330 basis points from the prior year. → No Hangover: Revisiting Microsoft One Week After Earnings Spectrum Brands Digesting Gains From Its One-Day Gain Of 17.79% Chief Financial Officer Faisal Qadir said the underlying margin improvement reflected higher volume, pricing, lower trade spending, favorable product mix and cost-improvement actions, partly offset by higher tariff costs. Adjusted EBITDA totaled $158.3 million, up $81.7 million year over year. Excluding tariff refunds, adjusted EBITDA was $97.7 million, an increase of $21.1 million, or 27.5%. Adjusted diluted earnings per share reached $2.79, including a $1.90-per-share benefit from tariff refunds. Excluding that benefit, adjusted EPS was $0.89. → MarketBeat Week in Review – 08/03 - 08/07 Operating expenses increased 52.3% to $354.5 million, including an impairment charge related to the Home & Personal Care business and the company’s recent transaction with Oaktree. Excluding the impairment, operating expenses rose $25.5 million, or 11.3%, primarily due to increased investment spending. Maura characterized the refunds as a recovery of prior costs rather than a windfall. He said the company had previously cut investments and reduced its workforce while addressing tariff-related inflation, and it intends to use recovered funds to support commercial activity and rehiring. The company recognized receivables for the refunds during the quarter. Maura said Spectrum Brands had collected substantially all phase-one refunds and filed more than 95% of phase-two claims. Qadir said about half of the total expected cash refund had been received as of the call, with most of the balance expected during the fiscal year and all cash expected by the end of the calendar year. Home & Garden reported net sales of $225 million, up 19% from the prior year and above the demand levels the company experienced during the COVID-19 pandemic, according to management. The growth included double-digit gains across pest-control and herbicide categories. Favorable weather in April helped drive retail point-of-sale activity and replenishment orders, although severe weather and excessive heat in May created later-quarter pressure. Brands including Spectracide, Hot Shot and Repel outperformed their markets, Qadir said. Excluding tariff refunds, Home & Garden adjusted EBITDA rose $9.8 million to $48.4 million. Its adjusted EBITDA margin expanded 110 basis points to 21.5%, supported by higher volume and productivity gains, partly offset by higher trade spending and inflation. The company expects unfavorable weather and elevated retail inventories to constrain fourth-quarter replenishment orders. Management said it still expects Home & Garden to produce sales growth and modest EBITDA-margin expansion for fiscal 2026. Global Pet Care sales increased 3.3%, or 2.9% organically excluding foreign exchange. North American sales grew in the high single digits, led by companion-animal products, while European, Middle East and Africa organic sales declined in the mid-single digits because of roughly $6 million in orders that had been accelerated into the preceding quarter ahead of an SAP S/4HANA system launch. Management said that excluding the timing effect, underlying performance in companion animal and aquatics was strong. Good Boy gained distribution in Continental Europe and expanded its market leadership in the United Kingdom, while the aquatics business gained share in a declining category. Global Pet Care adjusted EBITDA, excluding tariff refunds, increased $7.9 million to $51.9 million, with margin expanding 250 basis points to 19.7%. The company cited pricing, favorable mix and cost actions, partly offset by tariffs and investment spending. Spectrum Brands expects Global Pet Care to grow for the full fiscal year, but expects fourth-quarter sales to decline from a year earlier because of tougher comparisons tied to previously delayed shipments and retailer timing related to a refreshed Eukanuba portfolio. Home & Personal Care reported sales growth of 3.6%, or 1.1% organically excluding foreign exchange. Personal care sales rose in the mid-teens, while home-appliance sales declined in the mid-single digits. In North America, home-appliance sales fell amid softness in certain brands and the exit of the U.S. direct-response television business. Black & Decker performed well in coffee makers and fabric care, while Remington gained share in curling irons as the haircare category showed sequential improvement. In Latin America, organic sales increased in the high single digits, driven by personal-care product launches and Black & Decker appliance volume in Colombia and Mexico. The company also launched a U.S. TikTok Shop for Remington and reactivated a retail partnership in Australia for Russell Hobbs and Remington. Home & Personal Care adjusted EBITDA, excluding tariff refunds, rose $7.4 million to $14.4 million. Margin expanded 270 basis points to 5.4%, aided by pricing, cost actions and favorable foreign exchange. The company expects full-year EBITDA growth in the segment despite an anticipated full-year sales decline. Spectrum Brands maintained its fiscal 2026 forecast for net sales to be flat to up low single digits from the prior year. Growth in Global Pet Care and Home & Garden is expected to more than offset declining sales in Home & Personal Care. The company raised its adjusted EBITDA outlook, excluding tariff refunds, and now expects mid-single-digit growth for the fiscal year. It continues to expect adjusted free cash flow, excluding tariff refunds, to equal approximately 50% of adjusted EBITDA. Spectrum Brands ended the quarter with $258.9 million in cash, $494.8 million available under its $500 million revolver and approximately $374.1 million in net debt. Maura said the company repurchased about 200,000 shares for roughly $15.8 million during the quarter and had more than $300 million remaining under its board authorization. The company also completed the North American SAP S/4HANA deployment for Home & Personal Care and finalized implementation across remaining Global Pet Care and Home & Garden entities. Only the Home & Personal Care EMEIA deployment remains, which management expects to complete later this year. Spectrum Brands Holdings, Inc is a global consumer products company that develops and markets a diverse portfolio of branded household and personal care products. Organized into four principal business segments—Hardware & Home Improvement, Home & Garden, Pet, and Appliances & Personal Care—the company offers a broad range of items including security and plumbing solutions, small electric appliances, grooming tools, and pet care accessories. Its hardware division features well-known brands such as Kwikset, Baldwin and Pfister, while the home appliance segment is anchored by names like Russell Hobbs and Remington. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Spectrum Brands Q3 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.
Related articleQuarter not tagged2026-08-07Spectrum: Fiscal Q3 Earnings Snapshot
Associated Press
Spectrum: Fiscal Q3 Earnings Snapshot
MIDDLETON, Wis. (AP) — MIDDLETON, Wis. (AP) — Spectrum Brands Holdings, Inc. (SPB) on Friday reported a loss of $26.8 million in its fiscal third quarter. The Middleton, Wisconsin-based company said it had a loss of $1.16 per share. Earnings, adjusted for non-recurring costs and to account for discontinued operations, came to $2.79 per share. The results exceeded Wall Street expectations. The average estimate of four analysts surveyed by Zacks Investment Research was for earnings of $1.49 per share. The holding company posted revenue of $753.3 million in the period, which also beat Street forecasts. Four analysts surveyed by Zacks expected $732.4 million. _____ This story was generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on SPB at https://www.zacks.com/ap/SPB
Related articleQuarter not tagged2026-08-07Spectrum Brands Posts Strong Earnings Beat and Raises EBITDA Outlook
InvestorsHub
Spectrum Brands Posts Strong Earnings Beat and Raises EBITDA Outlook
Spectrum Brands Holdings, Inc. (NYSE:SPB) delivered better-than-expected fiscal third-quarter results, with earnings comfortably surpassing Wall Street forecasts as revenue and profitability improved across all business segments. The company also raised its full-year EBITDA outlook, although the shares were little changed in pre-market trading. Spectrum Brands reported adjusted earnings of $2.79 per share for the third quarter of fiscal 2026, beating analysts’ consensus estimate of $1.47 by a wide margin. Net sales increased 7.7% year over year to $753.3 million, exceeding both last year’s $699.6 million and the market forecast of $735.05 million. The stronger performance reflected broad-based growth across the company’s operating divisions. Adjusted EBITDA rose to $158.3 million, an increase of $81.7 million from the prior-year period. Excluding $60.6 million in refunds related to International Emergency Economic Powers Act (IEEPA) tariffs, adjusted EBITDA totalled $97.7 million, representing a 27.5% year-over-year increase. Chairman and Chief Executive Officer David Maura said, “We are pleased with our results this quarter, with all three businesses delivering top-line growth, highlighted by a record-setting quarter in our Home & Garden business.” He added, “Our focus on profitability is reflected in our results, with each segment delivering adjusted EBITDA growth.” Despite the strong operating performance, Spectrum Brands reported a net loss from continuing operations of $20.3 million. The loss primarily reflected a one-time, non-cash impairment charge of $104 million relating to the HPC business. In the comparable quarter last year, the company recorded net income from continuing operations of $20.5 million. Organic net sales, excluding favourable foreign exchange movements, increased 6.6% during the quarter. Management increased its fiscal 2026 adjusted EBITDA outlook and now expects mid-single-digit growth, excluding the benefit of tariff refunds. The company maintained its expectation for net sales growth of between flat and low single digits for the full year. Spectrum Brands also reaffirmed its target of converting approximately 50% of adjusted EBITDA into adjusted free cash flow, excluding favourable tariff refunds. At the end of the quarter, the company reported net debt leverage of just 1.02 times adjusted EBITDA and total available liquidity of…Read full documentShow less
Spectrum Brands Holdings, Inc. (NYSE:SPB) delivered better-than-expected fiscal third-quarter results, with earnings comfortably surpassing Wall Street forecasts as revenue and profitability improved across all business segments. The company also raised its full-year EBITDA outlook, although the shares were little changed in pre-market trading. Spectrum Brands reported adjusted earnings of $2.79 per share for the third quarter of fiscal 2026, beating analysts’ consensus estimate of $1.47 by a wide margin. Net sales increased 7.7% year over year to $753.3 million, exceeding both last year’s $699.6 million and the market forecast of $735.05 million. The stronger performance reflected broad-based growth across the company’s operating divisions. Adjusted EBITDA rose to $158.3 million, an increase of $81.7 million from the prior-year period. Excluding $60.6 million in refunds related to International Emergency Economic Powers Act (IEEPA) tariffs, adjusted EBITDA totalled $97.7 million, representing a 27.5% year-over-year increase. Chairman and Chief Executive Officer David Maura said, “We are pleased with our results this quarter, with all three businesses delivering top-line growth, highlighted by a record-setting quarter in our Home & Garden business.” He added, “Our focus on profitability is reflected in our results, with each segment delivering adjusted EBITDA growth.” Despite the strong operating performance, Spectrum Brands reported a net loss from continuing operations of $20.3 million. The loss primarily reflected a one-time, non-cash impairment charge of $104 million relating to the HPC business. In the comparable quarter last year, the company recorded net income from continuing operations of $20.5 million. Organic net sales, excluding favourable foreign exchange movements, increased 6.6% during the quarter. Management increased its fiscal 2026 adjusted EBITDA outlook and now expects mid-single-digit growth, excluding the benefit of tariff refunds. The company maintained its expectation for net sales growth of between flat and low single digits for the full year. Spectrum Brands also reaffirmed its target of converting approximately 50% of adjusted EBITDA into adjusted free cash flow, excluding favourable tariff refunds. At the end of the quarter, the company reported net debt leverage of just 1.02 times adjusted EBITDA and total available liquidity of $753.7 million. The combination of stronger profitability, solid cash generation and a healthy balance sheet positions Spectrum Brands to continue executing its operational strategy through the remainder of fiscal 2026. Spectrum Brands Holdings stock price
Related articleQuarter not tagged2026-08-07Spectrum Brands' Fiscal Q3 Adjusted Earnings, Net Sales Rise
MT Newswires
Spectrum Brands' Fiscal Q3 Adjusted Earnings, Net Sales Rise
Spectrum Brands (SPB) reported fiscal Q3 adjusted earnings from continuing operations Friday of $2.7
Related articleQuarter not tagged2026-08-07Spectrum (SPB) Q3 Earnings: Taking a Look at Key Metrics Versus Estimates
Zacks
Spectrum (SPB) Q3 Earnings: Taking a Look at Key Metrics Versus Estimates
Spectrum Brands (SPB) reported $753.3 million in revenue for the quarter ended June 2026, representing a year-over-year increase of 7.7%. EPS of $2.79 for the same period compares to $1.24 a year ago. The reported revenue represents a surprise of +2.85% over the Zacks Consensus Estimate of $732.44 million. With the consensus EPS estimate being $1.49, the EPS surprise was +87.25%. While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance. Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance. Here is how Spectrum performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Net Sales- Home & Personal Care (HPC): $264.4 million versus the two-analyst average estimate of $252.65 million. The reported number represents a year-over-year change of +3.6%. Net Sales- Home & Garden (H&G): $225.2 million versus $211.45 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +19% change. Net Sales- Global Pet Care (GPC): $263.7 million compared to the $266.05 million average estimate based on two analysts. The reported number represents a change of +3.3% year over year. View all Key Company Metrics for Spectrum here>>> Shares of Spectrum have returned +5% over the past month versus the Zacks S&P 500 composite's +2.3% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Spectrum Brands Holdings Inc. (SPB) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research
Related articleQuarter not tagged2026-08-07Spectrum Brands (SPB) Tops Q3 Earnings and Revenue Estimates
Zacks
Spectrum Brands (SPB) Tops Q3 Earnings and Revenue Estimates
Spectrum Brands (SPB) came out with quarterly earnings of $2.79 per share, beating the Zacks Consensus Estimate of $1.49 per share. This compares to earnings of $1.24 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +87.25%. A quarter ago, it was expected that this holding company would post earnings of $1.04 per share when it actually produced earnings of $1.25, delivering a surprise of +20.19%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Spectrum, which belongs to the Zacks Consumer Products - Discretionary industry, posted revenues of $753.3 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 2.85%. This compares to year-ago revenues of $699.6 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Spectrum shares have added about 49.4% since the beginning of the year versus the S&P 500's gain of 12.6%. While Spectrum has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Spectrum was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (St…Read full documentShow less
Spectrum Brands (SPB) came out with quarterly earnings of $2.79 per share, beating the Zacks Consensus Estimate of $1.49 per share. This compares to earnings of $1.24 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +87.25%. A quarter ago, it was expected that this holding company would post earnings of $1.04 per share when it actually produced earnings of $1.25, delivering a surprise of +20.19%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Spectrum, which belongs to the Zacks Consumer Products - Discretionary industry, posted revenues of $753.3 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 2.85%. This compares to year-ago revenues of $699.6 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Spectrum shares have added about 49.4% since the beginning of the year versus the S&P 500's gain of 12.6%. While Spectrum has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Spectrum was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.16 on $738.49 million in revenues for the coming quarter and $5.32 on $2.86 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Consumer Products - Discretionary is currently in the bottom 23% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. LiveOne (LVO), another stock in the broader Zacks Consumer Discretionary sector, has yet to report results for the quarter ended June 2026. The results are expected to be released on August 12. This company is expected to post quarterly loss of $0.24 per share in its upcoming report, which represents a year-over-year change of +40%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. LiveOne's revenues are expected to be $21.71 million, up 13% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Spectrum Brands Holdings Inc. (SPB) : Free Stock Analysis Report LiveOne, Inc. (LVO) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research
Related articleQuarter not tagged2026-08-07Spectrum Brands' Q3 Earnings Beat, Home & Garden Unit Sales Up 19% Y/Y
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Spectrum Brands' Q3 Earnings Beat, Home & Garden Unit Sales Up 19% Y/Y
Spectrum Brands Holdings, Inc. SPB delivered strong third-quarter fiscal 2026 results, wherein the top and bottom lines beat the Zacks Consensus Estimate and improved year over year.SPB reported adjusted earnings from continuing operations of $2.79 per share, increasing 125% from $1.24 in the year-ago quarter and surpassing the Zacks Consensus Estimate of $1.49. The earnings improvement was primarily buoyed by lower outstanding shares and increased adjusted EBITDA.Net sales increased 7.7% year over year to $753.3 million and surpassed the Zacks Consensus Estimate of $732 million. Growth across all three businesses, led by Home & Garden, supported higher profitability, while adjusted EBITDA rose 106.7% to $158.3 million. Excluding $60.6 million of tariff refunds, adjusted EBITDA still grew 27.5% to $97.7 million, reflecting operational improvements.Following the earnings release, SPB’s shares jumped more than 8% during the trading session. In the past three months, the stock has gained 9% compared with the industry’s 16.8% growth. Spectrum Brands Holdings Inc. price-consensus-eps-surprise-chart | Spectrum Brands Holdings Inc. Quote Spectrum Brands’ net sales improved across all three businesses, with organic net sales excluding favorable foreign exchange increasing 6.6%. The company said growth was driven by market share gains, favorable weather conditions and stronger retailer ordering patterns.Gross profit increased 40.2% year over year to $370.4 million, while the gross margin expanded substantially to 49.2%. Higher sales volume, pricing, reduced trade spend, favorable mix and cost-improvement efforts contributed to the improvement, partly offset by higher tariff costs.The company’s adjusted EBITDA margin expanded substantially to 21% from 10.9% in the prior-year quarter. Excluding tariff refunds, adjusted EBITDA margin improved 200 basis points, reflecting stronger gross margins and higher volumes despite increased investment spending. Global Pet Care sales rose 3.3% year over year to $263.7 million, with organic net sales increasing 2.9%. The segment’s sales lagged the Zacks Consensus Estimate of $266 million.Companion Animal sales increased in the mid-single digits, while Aquatics sales declined in the mid-single digits. North American growth was supported by Companion Animal with modest category growth and market share gains across key brands. In EMEA,…Read full documentShow less
Spectrum Brands Holdings, Inc. SPB delivered strong third-quarter fiscal 2026 results, wherein the top and bottom lines beat the Zacks Consensus Estimate and improved year over year.SPB reported adjusted earnings from continuing operations of $2.79 per share, increasing 125% from $1.24 in the year-ago quarter and surpassing the Zacks Consensus Estimate of $1.49. The earnings improvement was primarily buoyed by lower outstanding shares and increased adjusted EBITDA.Net sales increased 7.7% year over year to $753.3 million and surpassed the Zacks Consensus Estimate of $732 million. Growth across all three businesses, led by Home & Garden, supported higher profitability, while adjusted EBITDA rose 106.7% to $158.3 million. Excluding $60.6 million of tariff refunds, adjusted EBITDA still grew 27.5% to $97.7 million, reflecting operational improvements.Following the earnings release, SPB’s shares jumped more than 8% during the trading session. In the past three months, the stock has gained 9% compared with the industry’s 16.8% growth. Spectrum Brands Holdings Inc. price-consensus-eps-surprise-chart | Spectrum Brands Holdings Inc. Quote Spectrum Brands’ net sales improved across all three businesses, with organic net sales excluding favorable foreign exchange increasing 6.6%. The company said growth was driven by market share gains, favorable weather conditions and stronger retailer ordering patterns.Gross profit increased 40.2% year over year to $370.4 million, while the gross margin expanded substantially to 49.2%. Higher sales volume, pricing, reduced trade spend, favorable mix and cost-improvement efforts contributed to the improvement, partly offset by higher tariff costs.The company’s adjusted EBITDA margin expanded substantially to 21% from 10.9% in the prior-year quarter. Excluding tariff refunds, adjusted EBITDA margin improved 200 basis points, reflecting stronger gross margins and higher volumes despite increased investment spending. Global Pet Care sales rose 3.3% year over year to $263.7 million, with organic net sales increasing 2.9%. The segment’s sales lagged the Zacks Consensus Estimate of $266 million.Companion Animal sales increased in the mid-single digits, while Aquatics sales declined in the mid-single digits. North American growth was supported by Companion Animal with modest category growth and market share gains across key brands. In EMEA, organic sales declined as retailers accelerated orders into the second quarter ahead of the SAP S/4HANA ERP implementation.Global Pet Care adjusted EBITDA increased 91.8% to $84.4 million, and adjusted EBITDA margin expanded substantially to 32% from 17.2%. Excluding tariff refunds, adjusted EBITDA was $51.9 million, up $7.9 million year over year, driven by pricing, favorable mix and cost-improvement efforts. Home & Garden generated the strongest top-line performance among SPB’s segments, with sales increasing 19% year over year to $225.2 million. Organic net sales rose 19.1%, supported by favorable weather conditions improving point-of-sale trends and retailer replenishment order patterns. The segment’s sales exceeded the Zacks Consensus Estimate of $211 million.The segment also benefited from above-market growth in key brands. Adjusted EBITDA increased 30.6% to $50.4 million, while the adjusted EBITDA margin expanded 200 basis points to 22.4%.Excluding tariff refunds, Home & Garden adjusted EBITDA increased to $48.4 million, up $9.8 million from the prior-year quarter. Higher sales and better productivity were key contributors, partially offset by higher trade spend and inflation. Home & Personal Care sales increased 3.6% year over year to $264.4 million, while organic net sales excluding foreign exchange rose 1.1%. Personal Care sales increased in the mid-teens, while Home Appliances sales declined in the mid-single digits. The segment’s sales exceeded the Zacks Consensus Estimate of $253 million.EMEA sales improved across both Home Appliances and Personal Care, helped by a one-time decline in trade spend, though competition continued to pressure performance. North American sales declined in the mid-single digits, primarily due to weakness in Home Appliances and the exit from the DRTV business.HPC adjusted EBITDA increased substantially to $40.6 million from $7.0 million in the prior-year quarter. Excluding tariff refunds, adjusted EBITDA rose to $14.4 million, supported by pricing, cost improvement and positive foreign exchange, partly offset by soft volumes and higher tariff costs. As of June 28, 2026, SPB had a cash balance of $258.9 million. It had an outstanding debt of $633 million, with no outstanding borrowings on the revolver, $496.1 million of senior unsecured notes and $60 million of a term loan within its HPC business. The company had a total liquidity of $753.7 million, comprising the undrawn capacity on its cash flow revolver of $494.8 million. This Zacks Rank #4 (Sell) company exited the quarter with a net long-term debt, net of current portion, of $603.6 million. The company maintained its fiscal 2026 net sales outlook for flat to low single-digit growth. Based on strong year-to-date performance, SPB increased its adjusted EBITDA expectation, excluding tariff refunds, to mid-single-digit growth. It continues to expect adjusted free cash flow of approximately 50% of adjusted EBITDA, excluding tariff refunds.Management also highlighted progress on its ERP transformation, completing the first SAP S/4 HANA deployment within Home & Personal Care and implementing the system across remaining Global Pet Care and Home & Garden entities. The company expects the remaining HPC EMEA implementation to be completed later in the year. Duluth Holdings Inc. DLTH sells casual wear, workwear, outdoor apparel, and accessories for men and women in the United States. At present, DLTH sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.The Zacks Consensus Estimate for current fiscal-year sales and earnings implies a decline of 9.6% and 267%, respectively, from the year-ago reported figures. DLTH delivered a trailing four-quarter earnings surprise of 107.5%, on average.Revolve Group, Inc. RVLV operates as an online fashion retailer for millennial and generation z consumers in the United States and internationally. It currently carries a Zacks Rank #2 (Buy).The Zacks Consensus Estimate for Revolve Group’s current fiscal-year sales implies growth of 10.6% from the year-ago figures. RVLV delivered a trailing four-quarter average earnings surprise of 52.1%.Vince Holding Corp. VNCE provides luxury apparel and accessories in the United States and internationally. It operates through Vince Wholesale and Vince Direct-to-Consumer segments. At present, VNCE carries a Zacks Rank of 2.The Zacks Consensus Estimate for current fiscal-year sales and earnings implies growth of 7.2% and 34.1%, respectively. VNCE has delivered a trailing four-quarter earnings surprise of 635.7%, on average. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Spectrum Brands Holdings Inc. (SPB) : Free Stock Analysis Report Vince Holding Corp. (VNCE) : Free Stock Analysis Report Duluth Holdings Inc. (DLTH) : Free Stock Analysis Report Revolve Group, Inc. (RVLV) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

