Newell Brands Ups Sales Outlook Amid Turnaround Efforts

Newell Brands has elevated its projection for full-year sales growth, now anticipating it to be flat to up 2%. This revised forecast comes after the company disclosed a decline in first-quarter sales. The company's strategy for a turnaround appears to be gaining traction, with expectations that it will soon lead to renewed topline expansion.

During the first quarter, Newell Brands reported a net loss of $33 million, or 8 cents per share, an improvement from the prior year's $37 million loss. On an adjusted basis, the loss was 5 cents per share, exceeding the consensus estimate of 9 cents per share. Net sales decreased by 1.1% to $1.55 billion, surpassing Wall Street's expectations of $1.51 billion.

Looking ahead, the company forecasts second-quarter net sales to range from flat to up 2%, with adjusted earnings projected between 16 cents and 19 cents per share. Chief Executive Chris Peterson expressed optimism, noting higher-than-expected consumer demand driven by investments in innovation and advertising. He also highlighted better underlying category dynamics, even amidst a challenging macroeconomic environment.