Helen of Troy Limited, which acquired water bottle maker Hydro Flask in 2016, recently reported results for the three-month period ended November 30, 2016.
Executive Summary
- Helen of Troy saw consolidated net sales decline of 0.2%, which includes the negative impacts of approximately 1.6 percentage points from Venezuela re-measurement, 0.8 percentage points from foreign currency fluctuations and 2.4 percentage points from business rationalization
- Hydro Flask had net sales of $34.3 million and diluted EPS of $0.38
Julien R. Mininberg, Helen of Troy’s CEO, stated: “Our transformation strategy, combined with the ongoing benefits of our diversified business model, led to a strong quarter of profitability highlighted by a 270 basis point increase in gross profit margin and a 14.5% increase in adjusted EPS.
Speaking about Hydro Flask, he said, “We were pleased to achieve this performance on slightly lower consolidated net revenue, driven by the continued strength of our Hydro Flask business, our efforts to sweeten our core business sales mix and further operational efficiencies from our shared services platform. … Hydro Flask contributed $34.3 million of net sales to our Housewares segment and was accretive to the segment’s operating margin.”
In other Hydro Flask comments, Mininberg noted that that the company is making additional investments in Hydro Flask and other brands during the coming quarter.
He stated that the Hydro Flask acquisition benefited Helen of Troy’s gross profit margin and operating income, and that Hydro Flask had a 39.1% increase in net sales which helped push the parent company’s housewares division to 42% growth.
About Helen of Troy Limited:
Helen of Troy Limited (NASDAQ, NM: HELE) is a leading global consumer products company offering creative solutions for its customers through a strong portfolio of well-recognized and widely-trusted brands, including OXO®, OXO Tot®, Hydro Flask®, Vicks®, Braun®, Honeywell®, PUR®, Febreze®; Revlon®, Pro Beauty Tools®, Sure®, Pert®, Infusium23®, Brut®, Ammens®, Hot Tools®, Bed Head®, Dr. Sinatra®, Dr. David Williams®, and Dr. Whitaker®. All trademarks herein belong to Helen of Troy Limited (or its affiliates) and/or are used under license from their respective licensors. For more information about Helen of Troy, please visit www.hotus.com.
