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Dec 29, 2024

Kenvue Q4 2024 Earnings Report

Kenvue's Q4 2024 results were announced, showing a slight decrease in net sales but growth in organic sales.

Key Takeaways

Kenvue reported a slight decrease in net sales for Q4 2024, but organic sales grew. The company delivered on its 2024 profit commitments despite headwinds and is focused on accelerating growth and delivering long-term value creation.

Net sales decreased 0.1% to $3.7 billion; organic sales grew 1.7%.

Diluted EPS was $0.15; adjusted diluted EPS was $0.26.

Gross profit margin expanded 80 basis points to 56.5%.

Operating income margin was 13.2%.

Total Revenue
$3.66B
Previous year: $3.67B
-0.1%
EPS
$0.26
Previous year: $0.31
-16.1%
Organic Revenue Growth
1.7%
Previous year: -2.4%
-170.8%
Organic Price/Mix Growth
1%
Previous year: 5.8%
-82.8%
Organic Volume Growth
0.7%
Previous year: -8.2%
-108.5%
Gross Profit
$2.07B
Previous year: $2.04B
+1.3%
Cash and Equivalents
$1.1B
Previous year: $1.4B
-21.4%

Kenvue

Kenvue

Kenvue Revenue by Segment

Forward Guidance

Kenvue expects to accelerate performance throughout the year, while navigating the dynamic external environment. The company expects to drive further productivity and operational efficiency gains, which will fund planned increases in brand investments, positioning the company to grow adjusted operating margin for the year.

Positive Outlook

  • Net sales change of -1% to +1% year-over-year.
  • Organic sales growth of +2% to +4%.
  • Adjusted operating income margin improvement year-over-year.
  • Flat to +2% year-over-year Adjusted diluted earnings per share growth.
  • Drive further productivity and operational efficiency gains

Challenges Ahead

  • A ~3% headwind from foreign currency translation.
  • Mid-single-digit unfavorable impact from foreign currency.
  • This outlook does not include any potential impacts from tariffs introduced in 2025.
  • Unpredictability of the timing and amounts of discrete items such as foreign exchange, acquisitions, or divestitures.
  • Navigating the dynamic external environment

Revenue & Expenses

Visualization of income flow from segment revenue to net income