Spectrum Brands Reports FY2023 Q4 Earnings Results on November 17

🌥️Earnings Overview

On November 17 2023, SPECTRUM BRANDS ($NYSE:SPB) announced its Q4 FY2023 earnings results, concluding on September 30 2023. The company reported total revenues of USD 740.7 million, representing a 1.2% decrease from the same quarter in the previous year. Net income for the period was USD 16.8 million, which was a 13.5% increase compared to the same time the year before.

Share Price

On Friday, November 17, SPECTRUM BRANDS released its fiscal year ended 2023 fourth quarter earnings results. Upon their release, the company’s stock opened at $75.6 before closing at $67.8, a plunge of 11.8% from its previous closing price of 76.9. This substantial drop in stock price was due to the company’s failure to meet the market’s expectations for its earnings results. These disappointing results were attributed to lower sales of its core products and a weak economic environment.

Despite the weak earnings results, SPECTRUM BRANDS announced plans to increase its investments in research and development and to launch new products to capitalize on changing customer demands. The company also plans to pursue strategic acquisitions to enhance its portfolio and drive growth. Going forward, SPECTRUM BRANDS aims to return to its long-term growth strategy and continue to provide value for its shareholders. Live Quote…

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for Spectrum Brands. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for Spectrum Brands. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for Spectrum Brands. More…

Key Ratios Snapshot

Some of the financial key ratios for Spectrum Brands are shown below. More…

Analysis

At GoodWhale, we have conducted a thorough analysis of SPECTRUM BRANDS‘ fundamentals and concluded that the company has a high health score of 8/10, largely due to its strong cashflows and debt capabilities. According to our Star Chart, SPECTRUM BRANDS is strong in terms of assets and dividends, while it is medium in terms of profitability and weak in terms of growth. As a result, we classify SPECTRUM BRANDS as a ‘cow’, meaning it has a track record of paying out consistent and sustainable dividends. Investors interested in this type of company would benefit from a long-term approach to capital gains. A dividend-based strategy could be beneficial, as SPECTRUM BRANDS has the potential to offer higher yields than the rest of the market while staying relatively safe in terms of risk. Additionally, investors may want to consider investing in SPECTRUM BRANDS for its stability and growth potential. More…

Peers

Despite the intense competition, Spectrum Brands Holdings Inc has been able to remain a top player in the industry by focusing on innovation, customer service, and providing high-quality products at competitive prices.

– Godrej Consumer Products Ltd ($BSE:532424)

Godrej Consumer Products Ltd is a leading Indian fast-moving consumer goods company, headquartered in Mumbai. It manufactures and markets a wide range of products across food, personal care, and home care segments. The company has a market cap of 937.97B as of 2023, which is indicative of its strong performance in the market. Its Return on Equity (ROE), which is an indicator of how effectively the company uses its shareholders’ equity to generate profits, is 10.44%. This high ROE reflects the company’s ability to generate profits for its shareholders.

– Ontex Group NV ($OTCPK:ONXYY)

Ontex Group NV is a leading global hygiene company with over 20 years of experience in the hygiene and personal care market. It is headquartered in Belgium and serves markets in Europe, Africa, Latin America, the Middle East, and Asia Pacific. The company’s market cap as of 2023 stands at 593.34M, indicating a strong financial standing in the market. Its Return on Equity (ROE) is -7.25%, which is a measure of how efficient the company utilizes its assets to generate profits. Ontex Group NV is engaged in the production, distribution and marketing of products such as baby diapers, adult incontinence products, feminine care products, and wet wipes.

– Henkel AG & Co KGaA ($OTCPK:HENOY)

Henkel AG & Co KGaA is a multinational consumer goods company based in Düsseldorf, Germany. It specializes in the production of laundry detergents, beauty care products, and adhesives, among other products. As of 2023, the company’s market capitalization was 28.76 billion euros. This figure reflects the company’s success in increasing shareholder value over the past year. Henkel’s return on equity (ROE) was 4.84%, which indicates that the company is efficiently utilizing its assets to generate a return. Henkel’s strong financial performance is testament to its business model and commitment to innovation.

Summary

Spectrum Brands reported their fiscal year 2023 Q4 earnings results on November 17 2023, showing a 1.2% decline in total revenue compared to the same quarter the previous year. Net income however, was up 13.5% from the same period the year prior at USD 16.8 million. While the news seemed initially promising, investors reacted negatively with a drop in the stock price.

Generally, investors should consider whether Spectrum Brands’ positive financial performance can continue or if the company may be facing headwinds going forward. It is important to analyze their market position, competitive landscape, and future outlook to make an informed decision when investing in Spectrum Brands.