El Paso’s only publicly traded company posted strong results for the quarter that ended Aug. 31, its sales growing 28.2% year over year.
In its earnings report released Oct. 8, Helen of Troy also reported that its online sales grew 32% and sales of its top brands – Braun, Honeywell, PUR, Vicks, Hot Tools, OXO and Hydro Flask – grew 30%.
“We delivered outstanding results in the second quarter,” Julien Mininberg, CEO of Helen of Troy, said in the earnings report. “Our diversified brand portfolio provided trusted solutions to consumers amidst the global pandemic and the devastating wildfires in the western United States.”
“I am very proud of our associates around the world, who perform at an elevated level every day as the resilience of our business, organization and culture continues to be tested and confirmed.”
Helen of Troy had taken temporary measures to cut costs and preserve cash flow in response to the health and economic crisis caused by the coronavirus pandemic.
Some of those measures had included a reduction in pay for some Helen of Troy employees and top executives. But the company announced in its earnings report that it had restored full pay for those employees, including back-wages.
“Based on stronger than expected performance, the company reversed a number of these measures toward the end of the second quarter of fiscal 2021, including a restoration of all wages, salaries and director compensation to pre-COVID-19 levels,” the earnings report states.
Helen of Troy also provided an update on the upcoming divestiture of its personal care line, which includes liquid, powder and aerosol products under brands like Brut and Pert.
The company expects the asset divestiture to occur in its fiscal year 2021.
Last year, Helen of Troy acquired the Drybar product line, which accounted for $10.5 million in sales in the second quarter of its 2021 fiscal year.
The pandemic has helped drive sales of home products under Helen of Troy brands like OXO and Hydro Flask, according to the earnings report.
Houseware net sales revenue for the company grew by 20.3%, “primarily reflecting higher demand for OXO brand products as consumers spent more time at home cooking, cleaning, organizing and pantry loading in response to COVID-19, an increase in online sales for both OXO and Hydro Flask, higher sales in the club channel, growth in international sales, and new product introductions,” according to the earnings report.
The company also announced that Mininberg will continue as CEO of Helen of Troy through Feb. 29, 2024. He has been in the position since 2014.
Brian Grass, the company’s CFO, will retire on Nov. 1, 2021, after 15 years at Helen of Troy. He will assist in the transition process and search for a new CFO.
The earnings report did not include a fiscal outlook but said the company continues to see strong demand for its products.
“While we are highly encouraged by the resiliency and strength of our business, the unpredictability of the pandemic’s impact on consumer demand, its strain on our supply chain and distribution capacity, and its impact on the effectiveness of brand spending continue to cause a high degree of forecast variability that makes us unable to provide financial guidance for fiscal 2021 within a reasonable range at this time,” Mininberg said in the earnings report.
Email El Paso Inc. reporter Sara Sanchez at firstname.lastname@example.org or call (915) 534-4422.