Spectrum Brands Holdings (SPB) shares plummeted 5.65% in pre-market trading on Thursday following the release of its fiscal 2025 second-quarter results, which fell short of analysts' expectations. The consumer products company reported quarterly earnings of $0.68 per share, significantly missing the consensus estimate of $1.41 and marking a 58.02% decrease from the same period last year. Revenue also disappointed, coming in at $675.70 million, below the estimated $697.39 million and representing a 5.96% year-over-year decline.
The company's performance was challenged by macroeconomic and tariff pressures, as noted by CEO David Maura. Spectrum Brands reported an operating income of $19.5 million, far below the expected $56.1 million. The adjusted EBITDA from continuing operations stood at $71.3 million, while gross profit reached $253.4 million for the quarter.
Adding to investors' concerns, Spectrum Brands announced the suspension of its fiscal 2025 earnings framework, citing insufficient visibility due to uncertainty caused by global trade conditions and tariffs. However, the company stated it is well-positioned to navigate and capitalize on the current uncertainty, highlighting the relatively quick transition of supply for the U.S. market out of China for its Home & Garden and Global Pet Care businesses.