Newell Brands Reports Q2 2025 Earnings and Updates Outlook

Newell Brands Inc. ( (NWL) ) has released its Q2 earnings. Here is a breakdown of the information Newell Brands Inc. presented to its investors.

Newell Brands Inc., a prominent global consumer goods company, is known for its diverse portfolio of brands, including Rubbermaid, Sharpie, and Yankee Candle, operating primarily in the consumer products sector.

In its second quarter 2025 earnings report, Newell Brands announced its eighth consecutive quarter of gross margin expansion, achieving the highest gross margin rate in four years. Despite a challenging macroeconomic environment, the company maintained its financial metrics within the guidance ranges provided last quarter and updated its full-year 2025 outlook.

Key financial highlights for the quarter include a net sales decline of 4.8% to $1.9 billion, with core sales down 4.4%. Gross margin improved to 35.4%, marking a 100 basis point increase year-over-year. Operating margin also saw an improvement, reaching 8.8%. However, normalized net income decreased to $101 million from $148 million in the previous year, and normalized diluted EPS fell to $0.24 from $0.35. The company successfully refinanced $1.25 billion of debt, enhancing financial flexibility.

Segment-wise, the Home & Commercial Solutions segment saw a decline in net sales to $892 million, while the Learning & Development and Outdoor & Recreation segments experienced mixed results. The company updated its full-year 2025 outlook, anticipating net sales and core sales to decline by 3% to 2%, with normalized EPS expected to range from $0.66 to $0.70.

Looking forward, Newell Brands remains focused on improving core sales growth, driving margin improvement, and generating strong cash flow, despite the anticipated impact of increased tariff costs on inventory. The company’s strategic initiatives and financial flexibility position it to navigate ongoing economic challenges effectively.