We are on track to realize $140 million to $160 million of pretax savings this year and $220 million to $250 million on an annualized basis.įourth, we are moving at pace with the simplification and SKU count reduction work across the organization and are on track to end the year with less than 25,000 SKUs, down from about 28,000 last year and over 100,000 at the end of 2018. Third, we've completed the Project Phoenix organization design changes with all markets moving to the One Newell approach. We continue to expect record productivity savings in 2023 with year-over-year gross margin improvement continuing into the fourth quarter. Second, during the third quarter, gross margin reached an inflection point, expanding 170 basis points year-over-year with the fuel productivity program along with pricing serving as the driving force. The stronger-than-anticipated performance thus far has given us confidence to raise our outlook on cash flow for the full year. First, year-to-date, we delivered excellent results on operating cash flow, which improved more than $1.2 billion versus last year, largely due to significant progress on inventory reduction. Let me take these each in turn, starting with the 5 priorities we laid out at the start of the year. At the same time, we were disappointed, core sales declined 9.2% during the quarter. We made significant progress delivering against the 5 major priorities we established at the start of the year as well as deploying and actioning the new integrated corporate strategy. We had mixed results in the third quarter. Good morning, everyone, and welcome to our third quarter call. Thank you, and now I'll turn the call over to Chris. Explanations of these non-GAAP measures and available reconciliations between GAAP and non-GAAP measures can be found in today's earnings release and tables that were furnished to the SEC. We believe these non-GAAP measures are useful to investors, although they should not be considered superior to the measures presented in accordance with GAAP. Please also recognize that today's remarks will refer to certain non-GAAP financial measures, including those we refer to as normalized measures. I refer you to the cautionary language and risk factors available in our earnings release, our Form 10-K, Form 10-Q and other SEC filings available on our Investor Relations website for further discussion of the factors affecting forward-looking statements. Actual results and outcomes may differ materially, and we undertake no obligation to update forward-looking statements. Before we begin, I'd like to inform you that during the course of today's call, we will be making forward-looking statements, which involve risks and uncertainties. On the call with me today are Chris Peterson, our President and CEO and Mark Erceg, our CFO. Welcome to Newell Brands' Third Quarter Earnings Call. I will now turn the call over to Sofya Tsinis, Vice President of Investor Relations. A live webcast of this call is available at ir. (Operator Instructions) Today's conference call is being recorded. Good morning, and welcome to Newell Brands' Third Quarter 2023 Earnings Conference Call. William Bates Chappell MD Truist Securities, Inc., Research Division Presentation Grom Director of Equity Research & Analyst UBS Investment Bank, Research Division Olivia Tong Cheang MD & Research Analyst Raymond James & Associates, Inc., Research Division Lauren Rae Lieberman MD & Senior Research Analyst Barclays Bank PLC, Research Division Brian Christopher McNamara MD & Analyst Canaccord Genuity Corp., Research DivisionĬhristopher Michael Carey Senior Equity Analyst Wells Fargo Securities, LLC, Research Divisionįilippo Falorni VP Citigroup Inc., Research Division
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |