ENR - Energizer stock charges up on profit beat

2023-05-08 10:42:11 ET

Energizer ( NYSE: ENR ) stock surged higher on Monday after topping Q2 profit expectations.

For the second quarter, an adjusted EPS report of Q2 $0.64 came in $0.12 above analyst expectations. Meanwhile, a 0.2% drop in revenue year over year to $684.1M only narrowly missed the Street consensus. Gross margins expanded 300 basis points year over year on an adjusted basis, aided by pricing actions.

“We were pleased to deliver a strong second quarter, with organic growth and gross margin improvement across both of our Battery and Auto Care businesses. We continue to make significant progress on Project Momentum, and we are beginning to see the benefits to the organization and within our financial results,” CEO Mark LaVigne said. “Importantly, we improved adjusted gross margin by 300 basis points, grew adjusted earnings per share by 36%, and paid down over $100 million of debt in the quarter.  While the macro environment remains uncertain, our strategies and investments in the business position us to deliver growth and value creation, and we remain on track to deliver on our outlook for the full year.”

As such, the company reaffirmed its full year outlook for sales, EPS, and adjusted EBITDA. Adjusted earnings per share in the range of $3.00 to $3.30 were forecast for the full year, suggesting upside to the street consensus of $3.05.

Shares of Energizer ( ENR ) ripped 6.5% higher during Monday’s trading.

Read more on the details of the earnings results .

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