• Q3 net sales up 3.4% to $725.3m
• Organic net sales growth 0.1%
• Adjusted gross margin increased 330bps to 44.8%
• Adjusted EPS up 43% YoY to $1.13
• Full-year net sales growth 1%-3%
• Adjusted EPS range $3.55-$3.65
• Adjusted EBITDA expected to increase
• 7%-10% adjusted EPS growth in FY25
• Strong earnings growth expected in FY26
Energizer Holdings Inc. reported its fiscal Q3 net sales of $725.3 million, up 3.4% year-over-year, surpassing analysts' expectations of $692.9 million. The company's adjusted EPS for the quarter climbed 43% year-over-year to $1.13, also beating the consensus estimate of $0.62 [2].
The results were driven by a combination of factors, including $112.4 million in production credits related to battery production in U.S. facilities and Project Momentum initiatives that delivered savings of approximately $12 million, contributing to a gross margin improvement [2].
Energizer's adjusted gross margin increased by 330 basis points to 44.8%, reflecting the company's efficiency and cost-saving measures. The company expects its full-year net sales to grow by 1% to 3% and raised its adjusted EPS guidance for FY25 to $3.55 to $3.65, compared to its previous outlook of $3.40 to $3.50 [2].
For Q4, Energizer anticipates net sales growth of 2% to 4% and adjusted EPS of $1.05 to $1.15, indicating strong earnings growth expected in FY26. The stock recently traded at 6 times the next 12-month earnings, compared to a P/E of 7 three months ago, reflecting the market's positive sentiment towards the company's performance [2].
The company's distribution expansion in the Battery & Lights segment contributed to a 1.7% volume growth, further bolstering its financial performance [2].
Analysts remain cautiously optimistic, with the current average rating on the shares being "hold," and the median 12-month price target for the electrical components & equipment peer group being "buy" [2].
References:
[1] https://www.cnbc.com/2025/07/31/apple-aapl-q3-earnings-report-2025.html
[2] https://www.tradingview.com/news/reuters.com,2025:newsml_PLXC6F9B3:0-energizer-beats-q3-net-sales-estimates-raises-outlook/
[3] https://investors.johnsoncontrols.com/news-and-events/press-releases/johnson-controls-international-plc/2025/07-29-2025-115521382
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