Core Insights - Edgewell Personal Care Company reported a solid start to fiscal Q1 2026, with performance exceeding expectations for organic net sales, adjusted EPS, and adjusted EBITDA [1][2] - The company successfully completed the divestiture of its Feminine Care business for $340 million, which is expected to enhance portfolio focus and strengthen the balance sheet [1][2] - The full-year outlook for continuing operations remains consistent with prior expectations, despite the divestiture [2] Financial Performance - Net sales for Q1 2026 were $422.8 million, a 1.9% increase year-over-year, with organic net sales decreasing by 0.5% [4][5] - Adjusted EPS for the quarter was $0.03, down from $0.07 in the prior year, while GAAP diluted EPS was $(0.63), compared to $(0.21) in the previous year [5][15] - Gross profit was $161.0 million, with a gross margin of 38.1%, reflecting a decrease of 350 basis points from the prior year [7] Segment Performance - The Wet Shave segment saw a net sales decrease of $3.2 million, or 1.1%, with organic net sales down 3.9% [19] - The Sun and Skin Care segment experienced a net sales increase of $10.9 million, or 9.0%, driven by a 19.5% growth in Sun Care [20] Cost Management - Advertising and sales promotion expenses were $45.6 million, or 10.8% of net sales, a slight decrease from the prior year [8] - Selling, general and administrative expenses increased to $102.4 million, or 24.2% of net sales, primarily due to higher personnel costs [9] Cash Flow and Capital Allocation - Net cash used for operating activities was $125.9 million for the quarter, compared to $115.6 million in the prior year [16] - The company declared a quarterly cash dividend of $0.15 per common share, payable on April 8, 2026 [17] Full Year Outlook - The company expects net sales to increase by approximately 0.5% to 3.5%, with organic net sales projected to range from a 1.0% decrease to a 2% increase [21] - Adjusted EBITDA is anticipated to be in the range of $245 to $265 million, reflecting a reduction due to the divestiture of the Feminine Care business [21]

Core Viewpoint - Edgewell Personal Care Company has completed the sale of its feminine care business to Essity for $340 million, aiming to strengthen its balance sheet and invest in core business growth [1] Group 1: Transaction Details - The sale was finalized for a total of $340 million [1] - Edgewell plans to use the net proceeds from the sale, after taxes and transaction costs, primarily to pay down the balance of its U.S. revolving credit facility [1] - A Transition Services Agreement has been established between Edgewell and Essity to provide support services for at least one year post-transaction [1] Group 2: Strategic Intent - The company intends to work closely with Essity to ensure a smooth transition for employees, customers, and consumers of the Feminine Care business [1] - The focus remains on long-term growth investments in Edgewell's core businesses following the sale [1]

Group 1 - Essity has completed the acquisition of Edgewell Personal Care's feminine care business for USD 340 million (approximately SEK 3 billion) on a cash and debt-free basis, enhancing its focus on high-margin categories and market positions in the US [1][2] - The acquisition includes a diverse product portfolio of liners, pads, and tampons under well-known brands in North America, as well as a production facility in Dover, Delaware, which will be consolidated into Essity's accounts as of February 2, 2026 [2] - The CEO of Essity, Ulrika Kolsrud, expressed optimism about accelerating the growth of the acquired brands, reinforcing the company's personal care business in North America and its ambition to expand in high-yielding categories and key geographies [3] Group 2 - Essity is recognized as a fast-growing player in the feminine care category, with a strong portfolio of regional brands such as Libresse, Bodyform, Nana, Saba, Libra, Nosotras, Knix, and Modibodi, offering a wide range of products including pads, liners, tampons, intimate soaps, intimate wipes, leakproof apparel, and menstrual cups [4]

Core Insights - Edgewell Personal Care Company has completed the sale of its feminine care business to Essity for $340 million, aiming to strengthen its balance sheet and focus on core businesses [1][2] Financial Impact - The net proceeds from the sale will primarily be used to pay down the balance of the U.S. revolving credit facility and to invest in long-term growth initiatives [1][2] - Edgewell plans to provide unaudited condensed consolidated financial information reflecting the sale as a discontinued operation, expected to be available by February 6, 2026 [3] Strategic Focus - The sale is part of Edgewell's strategy to simplify its portfolio and concentrate resources on shave, sun and skin care, and grooming, enhancing its agility and durability as a personal care company [2] - A Transition Services Agreement has been established with Essity to support a smooth transition for employees and customers for at least one year post-transaction [2] Company Overview - Edgewell is a leading consumer products company with a diversified portfolio, including brands like Schick, Wilkinson Sword, and Banana Boat, operating in over 50 markets globally with approximately 6,700 employees [5]

Group 1 - Edgewell Personal Care Company will report its financial results for the first quarter of fiscal year 2026 on February 9, 2026, before the market opens [1] - The results will be discussed during an investor conference call that will be webcast starting at 8:00 a.m. Eastern Time on the same day [1] - The call will be hosted by President and CEO Rod Little and CFO Francesca Weissman [1] Group 2 - Edgewell is a leading pure-play consumer products company with a diversified portfolio of established brand names, including Schick, Wilkinson Sword, Billie, Edge, Skintimate, Playtex, Stayfree, Carefree, o.b., Banana Boat, Hawaiian Tropic, Bulldog, Jack Black, Cremo, and Wet Ones [2] - The company operates in over 50 markets globally, including the U.S., Canada, Mexico, Germany, Japan, the U.K., and Australia, employing approximately 6,700 people worldwide [2]

Group 1 - Morgan Stanley's household products and beverage analyst, Dara Mohsenian, is leading the presentation [1] - Edgewell is participating in Morgan Stanley's Global Consumer and Retail Conference, represented by President and CEO Rod Little and CFO Fran Weissman [2]

Edgewell Personal Care Company (NYSE:EPC) 2025 Conference Summary Company Overview - **Company**: Edgewell Personal Care Company - **Event**: 2025 Conference - **Date**: December 02, 2025 Key Points Organizational Changes and Strategy - Significant organizational changes have been made, including new leadership in North America and a shift to a regional hub model globally [4][5] - The recent divestiture of the FemCare business is seen as a strategic move to focus on core categories such as shave, grooming, sun, and skincare [17][19] - North America has been identified as an area needing a commercial reset, with a new leadership team in place to drive growth [7][8] Financial Performance and Growth - International growth accounts for 40% of the portfolio, with mid-single-digit growth expected to continue into fiscal 2026 [5][37] - The company has achieved consistent cost productivity improvements of 200-300 basis points year-on-year [6][26] - The divestiture of FemCare was completed for $340 million, providing financial flexibility and operational focus [18][20] Market Environment - The overall growth rate in the consumer packaged goods (CPG) categories is around 2%, with similar trends observed in the U.S. market [13][14] - The promotional environment in the U.S. has become more competitive, particularly in women's shave and FemCare categories [14][12] Capital Allocation and Investment - Post-divestiture, the focus will be on strengthening the balance sheet and paying down debt, with 80% of the FemCare proceeds expected to convert into cash [20][21] - Increased advertising and promotion (A&P) spending is planned for fiscal 2026, rising from 10% to 12% of sales, aimed at driving top-line growth [29][32] Product Categories and Innovation - The grooming category, including brands like Jack Black and Bulldog, is expected to grow at mid to high single-digit rates [45] - The wet shave category is less competitive than in previous years, with Edgewell positioned as a key player alongside Gillette [48][49] - New product innovations and campaigns are being launched to enhance market presence, particularly in the U.S. [30][31] Future Outlook - The company is optimistic about stabilizing organic sales growth in the U.S., with expectations of low single-digit growth in the back half of 2026 [41][42] - Internationally, growth is anticipated to be driven by the sun and grooming categories, with significant potential in markets like Europe and Asia [39][40] Key Risks and Considerations - The company acknowledges challenges in the lower middle-income consumer demographics, which may impact overall category performance [13][14] - There is a focus on managing stranded costs post-FemCare divestiture, with expectations of a $35-$45 million headwind in the short term [22][23] Conclusion - Edgewell Personal Care Company is at a pivotal moment with strategic changes aimed at enhancing growth and operational efficiency. The focus on core categories, coupled with increased investment in marketing and innovation, positions the company for potential recovery and growth in the coming years [51][52]

Core Insights - Edgewell Personal Care Company will participate in a fireside chat at the Morgan Stanley Global Consumer and Retail Conference on December 2, 2025, at 10:15 A.M. ET, with presentations by the CEO Rod Little and CFO Francesca Weissman [1][2] Company Overview - Edgewell is a leading pure-play consumer products company with a diversified portfolio that includes established brands such as Schick®, Wilkinson Sword®, Billie®, Edge®, Skintimate®, Playtex®, Stayfree®, Carefree®, o.b.®, Banana Boat®, Hawaiian Tropic®, Bulldog®, Jack Black®, Cremo®, and Wet Ones® [2] - The company operates in over 50 markets globally, including the U.S., Canada, Mexico, Germany, Japan, the U.K., and Australia, employing approximately 6,700 people worldwide [2] Recent Developments - Edgewell announced the sale of its feminine care business to Essity for $340 million [4]

Business Strategy and Growth - The company plans to sell its Feminine Care segment for $340 million, subject to purchase price adjustments upon closing [38]. - The company expects to drive growth in its Sun and Skin Care business through product innovation, increased distribution, and geographic expansion [35]. - The Bulldog skincare products have expanded sales geographically since acquisition, with continued resource commitment for growth [37]. - The company has a diverse portfolio of personal care brands acquired over the years, enhancing its market position [30]. - Customer orders for Sun Care products are highly seasonal, leading to increased sales during late winter through mid-summer months [48]. Market Position and Competition - The company holds the number two global market share position in wet shaving, with significant presence in the U.S., Canada, Japan, Germany, France, and the U.K. [32]. - The company is one of the top three manufacturers of feminine care products in North America, leveraging competitive product technologies [38]. - The company faces competition from major players like Procter & Gamble and Kimberly Clark in the feminine care market [44]. - The global men's skincare market is expected to continue growing, with the company competing through its Bulldog and Jack Black brands [43]. Financial Performance and Risks - Walmart accounted for approximately 17.4% of the company's net sales in fiscal 2025, with Target Corporation representing about 9.2% for the Sun and Skin Care segment and 10.1% for the Feminine Care segment [46]. - The company maintains a cash flow hedging program related to foreign currency risk, with unrealized pre-tax gains of $1.4 million and $2.4 million at September 30, 2025, and 2024, respectively [287]. - The company is exposed to significant currency rate risks, particularly with the euro, Japanese yen, British pound, Canadian dollar, and Australian dollar, which can impact reported earnings [284]. - Outstanding variable-rate debt instruments amounted to $140.0 million, primarily related to the Revolving Credit Facility and international notes payable [293]. - A one percent increase in applicable interest rates would increase annual interest expense by approximately $1.7 million [293]. Innovation and Intellectual Property - As of September 30, 2025, the company owned 271 unexpired U.S. patents and 1,321 foreign patents, with expiration dates ranging from October 2025 to June 2050 [52]. - The company actively pursues foreign patent protection and routinely prepares additional patent applications, indicating a strong focus on innovation and intellectual property [52]. Sustainability and Compliance - The company aims to achieve operational carbon neutrality across its global operations and reduce greenhouse gas emissions as part of its Sustainable Care 2030 strategy [63]. - The company is subject to various environmental regulations, including those from the U.S. FDA and EPA, which govern the manufacture and distribution of its products [54]. - The company is committed to compliance with discrimination laws and fostering an inclusive work environment [70]. Employee Wellbeing and Culture - The company has approximately 6,700 employees, with around 2,000 based in the United States, fostering a culture centered around the guiding purpose of Making Useful Things Joyful [67]. - The company emphasizes employee wellbeing through various programs, including onsite biometric screening and mental health support, aiming to foster a culture of wellbeing by 2025 [69]. - Employee experience survey results show increased confidence in the company's future and a sense of belonging, with improvements noted year over year [72]. - The company’s human resources policies and wellbeing programs are designed to attract and retain key personnel, contributing to positive employee retention rates [69]. Operational Management - The company utilizes a direct sales force supplemented by strategic distributors and wholesalers, with dedicated commercial organizations in key markets [45]. - The principal raw materials include steel, plastic resins, and organic chemicals, which are sourced regionally or globally and are subject to price and availability fluctuations [49]. - The company has established e-commerce operations across several business lines, including partnerships with T-Mall in China to accelerate e-commerce sales [45]. - The company has a strong focus on safety culture, revitalizing its "Alive and Well" program across manufacturing sites [71]. - The company’s executive team includes experienced leaders, with the Chief Executive Officer having served since March 1, 2019, and the Chief Financial Officer since December 1, 2024 [76][84].

Core Insights - Edgewell Personal Care Company (NYSE:EPC) is recognized as one of the 15 Best 52-Week Low Dividend Stocks to Invest in [1] - RBC Capital has reduced its price target for Edgewell from $26 to $23 while maintaining an Outperform rating, citing a slight revenue beat in Q4 but disappointing profitability and FY26 outlook [2] - The planned divestiture of the Fem Care division is expected to enhance Edgewell's growth and margins over time, although significant improvements are not anticipated in the short term [3] Financial Performance - For fiscal Q4 2025, Edgewell reported revenue of $537.2 million, reflecting a 3.8% increase year-over-year and exceeding analysts' estimates by $4.38 million [5] - The company ended the quarter with $225.7 million in cash and returned $119.5 million to shareholders through $90.2 million in buybacks and $29.3 million in dividends [5] Strategic Moves - Edgewell announced a definitive agreement to sell its feminine care division to Essity for $340 million, with the deal expected to close in Q1 2026, pending regulatory approvals [4] - The company plans to utilize most of the after-tax proceeds from the sale to strengthen its balance sheet and continue investing in long-term growth across its core brands [4]