In 2024, Spectrum Brands net worth stands as a key indicator of its financial stability and growth.
Known for its presence in consumer goods, Spectrum Brands has maintained a strong foothold across its various segments, including Global Pet Care and Home & Garden.
In this article, we’ll break down Spectrum Brands’ financial performance in detail. From revenue to operating income, we’ll help you understand what drives the company’s success, powered by insights from Ando Money.
Quick Facts
| FACT | DETAIL |
|---|---|
| Name | Spectrum Brands Holdings, Inc. |
| Full Name | Spectrum Brands Holdings, Inc. |
| Website | www.spectrumbrands.com |
| Industry | Consumer Goods |
| Traded as | NYSE: SPB |
| ISIN | N/A |
| Founded | January 17, 1906 |
| Founders | N/A |
| Country/Territory | United States |
| Headquarters | Middleton, Wisconsin, USA |
| Chief Executive Officer | David Maura |
| Number of Employees | 12,000 |
| Market Cap | $2.56 billion |
| Total Assets | $3.76 billion |
| Total Equity | $2.09 billion |
| Revenue | $2.19 billion |
| Net Income | $96 million |
What is the Net Worth/Market Cap Of Spectrum Brands in 2024?
As of 2024, Spectrum Brands’ market cap is $2.56 billion, reflecting its strong position within the consumer goods industry. The company has maintained steady growth thanks to its diverse product segments and global reach.
This market cap places Spectrum Brands alongside several notable companies within its sector. Here are a few competitors and partners related to Spectrum Brands:
- Procter & Gamble
- Colgate-Palmolive
- Unilever
- Reckitt Benckiser
- Nestlé
- Henkel
- Church & Dwight
- SC Johnson
- Kimberly-Clark
For those interested in a deeper comparison between Spectrum Brands and other companies, you can explore more on the wealthiest companies in the market.
Spectrum Brands Financial Performance Overview
Spectrum Brands has reported consistent performance across its major business units in 2024.
The company’s revenue for the first three quarters reached $2.19 billion, which was a slight increase compared to the previous year.
Driving this revenue are multiple segments, including Global Pet Care and Home & Garden, which account for significant portions of the company’s financial strength.
Spectrum Brands has also demonstrated robust gross profit margins, improving by 14.9% year-over-year.
As a company primarily dealing with home essentials, maintaining a balanced portfolio across segments has been crucial for its sustained financial health.
Revenue Breakdown by Business Segment
The company divides its business into three core segments: Global Pet Care, Home & Garden, and Home & Personal Care. In 2024, Global Pet Care generated $849 million, while Home & Garden followed closely behind with $443.7 million.
Despite some seasonal challenges, the company’s e-commerce channels saw growth, particularly in its pet care division.
This growth underscores the company’s strategic investment in digital sales platforms, making e-commerce a significant contributor to overall revenue.
Sales Growth and Trends
Sales in 2024 grew by 6%, with a boost in organic net sales. The rise in e-commerce has been particularly impactful, contributing to a 20% increase in overall company sales.
The shift in consumer behavior towards online shopping has benefited Spectrum Brands, as digital channels now account for over 21% of total sales.
The Home & Garden segment has also performed well, aided by favorable weather conditions which spurred higher sales in outdoor products.
Cost Structure and Profit Margins
Spectrum Brands’ ability to maintain healthy profit margins has been a testament to its cost management strategies.
Gross profit for 2024 was $821.2 million, a notable increase compared to the previous fiscal year.
The improvement is largely due to reductions in inventory-related expenses and cost improvements across its manufacturing processes.
However, rising costs in advertising and marketing have led to slightly lower margins in some segments.
Key Investments and Capital Expenditure
In 2024, Spectrum Brands made strategic investments, focusing on innovations and brand enhancement initiatives.
These investments totaled over $23 million in Q3 alone, contributing to the company’s long-term growth prospects.
The company also repaid $1.174 billion in senior unsecured bonds, simplifying its capital structure, while issuing $350 million in exchangeable bonds.
Such financial decisions not only support operational improvements but also position the company for future success.
Operating Income and Adjusted EBITDA
The company’s operating income for the third quarter of 2024 was $47.7 million, a significant recovery compared to a loss in the same period last year.
Spectrum Brands also reported an Adjusted EBITDA of $106.3 million, which reflects the ongoing improvements in operational efficiency and cost management.
The company’s investments in marketing and product innovation, though increasing short-term costs, are anticipated to yield higher returns in the long term.
E-Commerce and Digital Sales Contribution
E-commerce has proven to be a key driver of growth for Spectrum Brands. In Q3 2024, digital sales grew by over 20%, with all business units reporting double-digit growth.
This growth was primarily driven by the Global Pet Care and Home & Garden segments.
The company’s focus on enhancing its online shopping experience has positioned it well to capture more market share in the rapidly growing e-commerce sector.
Debt Structure and Liquidity Position
At the close of Q3 2024, Spectrum Brands reported a net debt of $272 million, after repaying significant portions of its senior unsecured bonds.
The company’s liquidity position remains strong, with $797 million in total liquidity, including undrawn capacity.
This healthy liquidity ensures that Spectrum Brands can continue to invest in growth initiatives without risking financial instability.
Share Repurchase Program and Dividends
In 2024, Spectrum Brands approved a $500 million share repurchase authorization, demonstrating its commitment to returning value to shareholders.
By repurchasing 1.6 million shares in Q3 alone, the company reinforced its confidence in its financial health.
Furthermore, these share buybacks, along with dividend payments, help improve the overall equity position of the company.
Forecast and Future Financial Projections
Looking ahead, Spectrum Brands expects its Adjusted EBITDA to grow by 20%, signaling strong future performance.
The company’s strategic investments, especially in e-commerce, are expected to pay off, with revenue expected to remain stable in the near term.
Continued cost improvements, coupled with a focus on innovation, will further enhance profitability.
FAQs About Spectrum Brands
What segments contribute most to the company’s revenue?
Global Pet Care and Home & Garden are Spectrum Brands’ largest segments, contributing $849 million and $443.7 million respectively.
How did Spectrum Brands perform in e-commerce in 2024?
E-commerce sales grew by 20% in 2024, with digital channels now contributing over 21% of the company’s total sales.
What are Spectrum Brands’ major financial highlights for 2024?
Key highlights include $2.19 billion in revenue, $96 million in net income, and $2.56 billion in market cap as of October 2024.
How has Spectrum Brands managed its debt in 2024?
The company repaid $1.174 billion in senior unsecured bonds and issued $350 million in new bonds, improving its capital structure.
Conclusion
Spectrum Brands’ financial success in 2024 reflects its strong market presence and strategic investments.
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