Newell Doubles Inflation Estimate but Strikes Optimistic Note

Dow Jones
07/31

0946 ET - Newell Brands doubled its estimate for inflation costs this year. The consumer-goods company now expects inflation-related costs to be $200 million, up from the $100 million estimate it gave at the start of the year, executives tell analysts on a call. Newell still raised its outlook because it is earning more profit and anticipating a refund on tariffs. Executives also say they think inflation may be peaking, at least on some products such as resin. "We continue to believe that a meaningful portion of the inflation we are facing will roll over and normalize at some point," CFO Mark Erceg says. Newell rockets 25%.

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