Energizer Announces First-Quarter 2004 Results

January 26, 2004 by Jeff Shepard

Energizer Holdings Inc. (St. Louis, MO) announced results of its first quarter ended December 31, 2003. Net earnings for the quarter were $115 million, or $1.32 per diluted share, versus net earnings of $86.4 million, or $0.95 per share in the first fiscal quarter of 2003.

North America battery net sales for the first quarter of $369.9 million increased $22.4 million, or 6%, over the same period last year due to higher volume, favorable pricing and product mix, and favorable currency translation of $4.4 million related to Canadian operations. Volumes increased in non-alkaline product lines, while alkaline volume was essentially flat despite fewer bonus packs. Overall pricing was favorable in the quarter as lower list prices for key alkaline products were more than offset by reductions in promotional spending and list price increases on other products.

International battery net sales for the quarter were $238.8 million, an increase of $13.9 million, or 6%, on favorable currency impacts of $19.7 million, partially offset by lower volumes and unfavorable local currency pricing in Europe. Segment profit increased $9.4 million, including a $12.7 benefit from currency valuations. Absent the impact of currencies, segment profit declined $3.3 million, or 8%, on European sales declines and higher product costs, partially offset by improved results in the Asia Pacific and Latin American regions.