Helen of Troy tumbles on slashing 2023 sales, profit forecasts

Helen of Troy

05/10/2022 13:30

** Shares of home and beauty products maker Helen of Troy
Ltd  HELE.O  down ~15% at $87.50 premarket; set to open at near
4-1/2 year low 
    ** Company cuts full-year 2023 sales and profit forecasts as
consumers adjust their spending patterns due to rising inflation
and face the impact of higher interest rates
    ** HELE now expects 2023 net sales between $2 bln-$2.05 bln,
down from prior forecast of $2.15 bln-$2.20 bln
    ** Sees 2023 adjusted EPS of $9-$9.40/shr vs. previous
expectation of $9.85-$10.35
    ** CEO Julien Mininberg says retailers continue to adjust
their inventories to better align with their updated sales
forecasts and get rid of excess stock
    ** However, HELE beat Q2 sales and profit estimates 
    ** Up to Tuesday's close, stock had fallen ~58% this year
 (Reporting by Ananya Mariam Rajesh in Bengaluru)
 ((AnanyaMariam.Rajesh@thomsonreuters.com ; Twitter: https://twitter.com/AnanyaMariam))