Energizer Holdings (NYSE: ENR) reported Q2 EPS of $0.77, $0.18 better than the analyst estimate of $0.59. Revenue for the quarter came in at $685.1 million versus the consensus estimate of $618.39 million.

"Building on the momentum of our first quarter, we delivered strong performance across all categories and geographies resulting in 12.7% organic sales growth for the second quarter," said Mark LaVigne, Chief Executive Officer. "We now expect 5% to 7% topline growth for fiscal 2021. The combination of the strong demand for our brands and products with our improving cost control raises our full fiscal year outlook for Adjusted earnings per share to $3.30 to $3.50 and Adjusted EBITDA to $620 to $640 million."

GUIDANCE:

Energizer Holdings sees FY2021 EPS of $3.30-$3.50, versus the consensus of $3.35.

Financial Outlook and Assumptions for Fiscal Year 2021(1)

As a result of our continued strong organic growth in the second quarter, we are updating our full year fiscal 2021 outlook for the following key metrics:

• Net sales growth is now expected to be between 5% to 7%, attributed to distribution gains, elevated battery demand and favorable currency impacts;
• Adjusted gross margin rate is expected to be essentially flat on a year-over-year basis as synergies and the impacts of favorable currency are expected to offset inflationary cost pressures and mix shifts. This full-year rate is consistent with our previously provided outlook;
• Adjusted earnings per share is now expected to be in the range of $3.30 to $3.50;
• Adjusted EBITDA is now expected to be in the range of $620 to $640 million; and
• Adjusted free cash flow is now expected to be at the low end of our previously provided range of $325 to $350 million due to working capital requirements, primarily related to inventory, as we look to rebuild safety stock and meet increased demand.

We began lapping the COVID elevated demand levels for batteries late in the second quarter. With respect to auto care, the elevated demand occurred at the beginning of May. In the third and fourth quarter, we anticipate year-over-year declines as we approach more normalized levels for both categories. In addition, fiscal 2020 included COVID-related costs of $36 million, including interest expense, which were heavily weighted to the back half of the year.

For earnings history and earnings-related data on Energizer Holdings (ENR) click here.