Editor's Picks

Edgewell Personal Care Company’s Financial Performance and Strategic Moves

Edgewell Personal Care Company (NYSE: EPC) reported its Q1 fiscal 2026 earnings on February 9, 2026, with GAAP EPS of -$1.41 on a consolidated basis, reflecting impacts from the recent divestiture of its Feminine Care business. On a continuing operations basis, adjusted EPS was -$0.16, which outperformed the Zacks Consensus Estimate of a -$0.18 loss per share, delivering an earnings surprise of 11.11%. This compares to adjusted EPS of $0.07 in the prior-year quarter on a consolidated basis.
 
Revenue for the period was $422.8 million on a continuing operations basis, representing a 1.9% increase year-over-year but falling short of the Zacks Consensus Estimate of approximately $481.3 million (a 12.15% miss). On a consolidated basis, net sales were $486.8 million, up 1.8% from the prior year. Organic net sales decreased 0.5% on a continuing operations basis. Over the past four quarters, EPC has exceeded consensus revenue estimates only once, underscoring persistent challenges in aligning with market expectations.
 
A key strategic development was the completion of the divestiture of its Feminine Care business to Essity for $340 million on February 2, 2026. This move sharpens the company’s portfolio focus on core areas like shave, sun and skin care, and grooming, while strengthening its balance sheet through debt reduction. Rod Little, EPC’s President and CEO, highlighted the divestiture as a pivotal milestone in the company’s transformation journey, noting that it positions Edgewell as a more focused and agile organization.
 
Edgewell Personal Care Company (NYSE: EPC) operates in the competitive consumer products industry, with rivals including Procter & Gamble and Unilever. The company’s Q1 performance modestly exceeded its internal expectations for organic net sales, adjusted EPS, and adjusted EBITDA, despite the reported misses relative to analyst consensus.
 
EPC’s financial ratios provide insight into its position post-divestiture. The company has a negative trailing price-to-earnings (P/E) ratio of approximately -23.96, reflecting recent losses. The price-to-sales (P/S) ratio is 0.42, indicating the stock is valued at 42 cents per dollar of sales. With a debt-to-equity ratio of 1.05, EPC relies slightly more on debt than equity for financing, while a current ratio of 2.12 suggests solid short-term financial health.

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