Overview

* Kenvue ( KVUE ) Q3 net sales fell 3.5%, missing analyst expectations

* Adjusted EPS for Q3 remained at $0.28, unchanged from prior year

* Company affirms FY 2025 outlook, despite sales decline

Outlook

* Company affirms full-year 2025 outlook with net sales down low-single-digits

* Adjusted diluted EPS for 2025 expected between $1.00 and $1.05

* Adjusted operating income margin expected to decline year-over-year

Result Drivers

* VOLUME DECLINE - 4.0% volume decrease driven by shipment timing changes in China, trade inventory reductions, and global category slowdown

* GROSS MARGIN EXPANSION - Gross profit margin increased due to productivity gains from supply chain optimization

* FOREIGN CURRENCY BENEFIT - 1.0% foreign currency benefit partially offset sales decline

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Sales Miss $3.76 $3.83

bln bln (11

Analysts

)

Q3 $0.28

Adjusted

EPS

Q3 EPS $0.21

Q3 Net $398 mln

Income

Q3 Gross $2.22

Profit bln

Q3 $629 mln

Operatin

g Income

Q3 $526 mln

Pretax

Profit

Analyst Coverage

* The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 5 "strong buy" or "buy", 12 "hold" and 1 "sell" or "strong sell"

* The average consensus recommendation for the personal products peer group is "buy."

* Wall Street's median 12-month price target for Kenvue Inc ( KVUE ) is $19.00, about 24.4% above its October 31 closing price of $14.37

* The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 18 three months ago

Press Release:

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)