The following is a summary of the Newell Brands Inc. (NWL) Q1 2024 Earnings Call Transcript:

Financial Performance:

• Newell Brands reported a Q1 core sales decline of 4.7% but it shows a 50% improvement compared to a 9% decline in H2 2023.

• Pricing increases in international markets contributed significantly to the core sales performance.

• Their normalized gross margin and operating margin expanded 410 and 220 basis points respectively.

• Despite increased overhead spending and wage inflation, the company improved its operating cash flow considerably.

• The net interest expense was around $70 million.

• Cash flow improved significantly, turning from negative $77 million in Q1 2023 to a positive $32 million in Q1 2024, largely due to working capital reduction and income growth.

• The company's leverage ratio reduced to 5.4x.

Business Progress:

• Newell showed progress in its five priority areas for 2024, which include operationalizing the new operating model and improving top-line performance.

• The new product launches (Sharpie Creative Markers and Paper Mate InkJoy Gel Bright Pens) and distribution gains through new and existing customers contributed to their top-line growth.

• The successful completion of the Sistema SAP integration was a significant accomplishment.

• The company maintains a careful outlook for the full year due to continued consumer pressure on discretionary spending.

• The company projects a core sales decline of 3% to 6% for 2024, but expects a normalized operating margin of 7.8% to 8.2%.

• Through strategic organizational investments, Newell anticipates improvement in overhead expenses as a percentage of sales.

• The company expects to manage anticipated low single-digit inflation with productivity and mix benefits, without any major pricing actions.

More details: Newell Brands IR

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