Key Takeaways

• Newell Brands said its turnaround plan is on track as the maker of consumer products announced it had reduced its losses.

• CEO Chris Peterson said the company's "business transformation is well underway."

• The news sent shares of Newell Brands into positive territory for the year.

Newell Brands (NWL) shares soared nearly 25% Friday afternoon as the maker of consumer products said its turnaround plan is "on track."

The owner of brands such as Rubbermaid, Graco, and Coleman reported it cut its year-over-year third-quarter net loss by $20 million to $198 million. The $0.48 loss per share was down from $0.53. Normalized diluted earnings per share (EPS) came in at $0.16, in line with consensus estimates of analysts polled by Visible Alpha, while revenue fell 5% to $1.95 billion, just short of forecasts.

Sales at the company's Learning & Development division rose 3% to $717 million. They were down 7% to $1.05 billion at the Home & Commercial Solutions segment, and were off 21% to $183 million at the Outdoor & Recreation unit.

CEO Says 'Business Transformation Is Well Underway'

Chief Executive Officer (CEO) Chris Peterson said that after five full quarters since the company launched its new corporate strategy, "it is clear that Newell Brand’s business transformation is well underway." Peterson added that while the "the macroeconomic backdrop is still uncertain, we are confident that the actions we are taking and the capabilities we are building are laying a solid foundation for the company's future."

The news lifted shares of Newell Brands into positive territory for 2024.

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