Spectrum Brands swung to a fiscal third-quarter loss, hurt by an impairment charge, but reported higher revenue as demand for its consumer products and home essentials remained solid.
The company on Friday posted a net loss of $26.8 million, or $1.16 a share, for its three months ended June 28. That compares with a profit of $19.9 million, or 80 cents a share, in last year's comparable quarter.
The recent quarter included a $104 million charge tied to the impairment of intangible assets, as well as slightly higher selling, general and administrative expenses.
Stripping out one-time items, earnings from continuing operations were $2.79 a share. Analysts polled by FactSet expected adjusted earnings from continuing operations of $1.46 a share.
Net sales climbed 7.7% to $753.3 million and topped Wall Street models for $732.2 million.
Sales across its global pet care business rose 3.3% to $263.7 million, while sales across its home and garden arm jumped 19% to $225.2 million. The company's home and personal care business reported sales of $264.4 million, up 3.6% from last year.
Chief Executive David Maura said all of the company's categories benefited from solid underlying demand, while its key brands continued to outperform the market.
For the year, Spectrum Brands continues to expect flat to low-single-digit growth in reported net sales.
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