EDGEWELL PERSONAL CARE CO (NYSE:EPC) reported its third-quarter fiscal 2025 earnings, missing analyst expectations on both revenue and earnings per share (EPS). The company’s stock reacted negatively in pre-market trading, dropping approximately 9.4%, reflecting investor disappointment with the results.
Key Financial Results vs. Estimates
Revenue Miss: Reported net sales of $627.2 million, down 3.2% year-over-year, fell short of the consensus estimate of $663 million. Organic net sales declined by 4.2%, indicating underlying weakness in demand.
EPS Below Expectations: Adjusted EPS came in at $0.92, 7.5% below the $1.02 analysts had projected. GAAP EPS was $0.62, reflecting additional pressures from restructuring or one-time costs.
Full-Year Outlook Update: The company revised its full-year guidance, though specific figures were not detailed in the press release. Analysts currently expect full-year revenue of $2.27 billion and EPS of $2.95, which may now be in question given the Q3 shortfall.
Market Reaction
The immediate pre-market sell-off suggests investors were anticipating stronger performance, particularly after mixed recent performance in the stock. Over the past month, shares had been relatively flat (+2%), but the sharp decline post-earnings indicates that the revenue and profit miss were not priced in. The reaction aligns with broader market trends where consumer staples companies facing declining sales face heightened scrutiny.
Press Release Highlights
Segment Performance: No detailed breakdown was provided, but Edgewell operates in Wet Shave, Sun and Skin Care, and Feminine Care—categories that may be experiencing competitive or macroeconomic pressures.
Cost Management: The adjusted EPS, while below estimates, still suggests some resilience in profitability despite lower sales, likely due to cost controls.
Guidance Uncertainty: The lack of specific numbers in the updated outlook leaves room for speculation, contributing to the negative sentiment.
Looking Ahead
Analysts estimate Q4 revenue at $540.9 million and EPS at $1.00. Whether Edgewell can meet these targets will depend on holiday season performance and potential improvements in organic sales trends.
For more detailed earnings estimates and historical performance, visit Edgewell’s earnings page.
Disclaimer: This article is not investment advice. Investors should conduct their own research or consult a financial advisor before making decisions.