Newell Brands Inc.NWL came out with robust second-quarter 2016 results, wherein normalized earnings of 78 cents a share surged 21.9% from the year-ago quarter and surpassed the Zacks Consensus Estimate of 73 cents.
For 2016, management still envisions normalized earnings per share in a band of $2.75-$2.90 per share.
Earnings Estimate Revision: The Zacks Consensus Estimate for 2016 has been nearly stable over the last 30 days. Further, if we look at Newell's performance in the trailing four quarters (including the quarter under review), the company has outperformed the Zacks Consensus Estimate by an average of 4.9%.
NEWELL BRANDS Price and EPS Surprise
Revenues: Newell generated net sales of $3,858.6 million that soared considerably by 147.2% year over year and cruised ahead of the Zacks Consensus Estimate of $3,752.2 million. The top-line growth was majorly backed by incorporation of Jarden's sales, which was acquired in Apr 2016, coupled with solid sales growth across various businesses like Writing, Baby, Food & Beverage, Yankee Candle and Appliances.
Core sales, excluding the impact from net contributions from acquisitions and divestitures and negative currency translations, grew 5%. The company continues to expect core sales growth for 2016 to range from 3%-4%.
Zacks Rank: Currently, Newell carries a Zacks Rank #3 (Hold) which is subject to change following the just released earnings results.
Check back later for our full write up on Newell's earnings report!
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