Newell Rubbermaid's Net Soars in Q3
ATLANTA-Newell Rubbermaid, riding on the strength of its hardware business, reported a 78.5 percent increase in net income and a 2 percent increase in sales in the third quarter ending September 30.
Reported net income was $193.3 million, compared with $108.3 million in the year-ago period. Net sales were $1.49 billion, a 2.1 percent increase versus prior year results.
In the Home Solutions segment, net sales were $431.4 million, a 6.8 percent increase compared to prior year. Core sales increased 7.2 percent, the company said, reflecting strong customer programming on Rubbermaid, new Levolor product launches and increased distribution of Calphalon.
"Our third quarter results represent an important inflection point in our progress advancing the Growth Game Plan," said Michael Polk, president and CEO. "Core sales grew 3.3 percent. The sequential improvement in our growth rate versus our first half results was driven by core sales growth of over 4 percent in North America and 35 percent in Latin America. Successful new product launches, expanded distribution and stronger marketing initiatives delivered market share gains in Baby & Parenting, Home Solutions and Tools. Our growth was supported by increased advertising and promotion spending funded by Project Renewal savings and disciplined discretionary cost management. This is the power of the Growth Game Plan in action."