VITL - Energizer's Auto Care Unit Aids Amid Battery Unit Hurdles | Benzinga
Energizer Holdings Inc. (NYSE: ENR) is actively implementing strategic initiatives aimed at promoting sustainable growth and profitability. These initiatives span across various domains, including consumer engagement and pricing strategies, all designed to enhance brand loyalty and increase market share without compromising margins.
A pivotal element of these strategies is the Project Momentum initiative, which concentrates on cost-saving measures and operational efficiencies to support margin expansion and long-term value creation. To date, Project Momentum has surpassed its objectives, generating approximately $100 million in total savings, with $20 million achieved in the second quarter of fiscal 2024 alone.
These savings have been instrumental in facilitating margin expansion and earnings growth. Energizer anticipates total savings from this program between $160 million and $180 million over three years, with expected savings of $55-$65 million for fiscal 2024.
Image Source: Zacks Investment Research
The Auto Care segment has emerged as a significant growth driver for Energizer, with revenues increasing 2.3% year over year to $182.3 million in the second quarter of fiscal 2024. This segment experienced an impressive 600-basis-point expansion in segmental profit, driven by innovative product offerings, effective marketing strategies and strategic distribution channels.
In the second quarter of fiscal ...