Andrea Teixeira

Management praised GOJO's above-plan performance but did not quantify the reported quarter's organic sales growth.

Linda confirmed high confidence in GOJO. Closed April 1, management retained, strong early results. Luc detailed Q4 and ongoing impact: $200M Q4 revenue (+10% for quarter), EBITDA neutral year 1, 50bps ongoing GM dilution + 150bps Q4 one-time inventory step-up. SG&A ~1pt higher, advertising ~1pt lower. Interest expense +$30M Q4, +$110M FY27. $50M+ run rate synergies by year 2-3.

Linda: Categories 0-1% through Q3 as expected. March slightly above 1% due to tax refunds, declining as gas prices rise. Most categories positive this quarter. Litter up mid-single digits, Food down mid-single digits. RGM already live and in action, Glad 80-count price reduction drove significant share gains. More tests going to market in coming weeks. Built into Q4 and FY27 plans.

Linda confirmed sequential improvement, exit rate stronger than entry. Categories about flat (Q1 flat, Q2 down 0.1pp). Share improved sequentially, not yet where wanted. Competitive environment largely as expected, back to pre-COVID levels. Litter and Glad more intense. Back half expects 0-1% categories with stronger share from innovation.

Linda reiterated exit rate improvement continued into January. Some January pickup due to weather. Category expectation unchanged at 0-1% for back half. Would not project from one-week data but share results picked up in most recent week.

Linda said environment largely rational in aggregate. Trash and Cat Litter still more competitive with deep discounting. Some promotional prices turning permanent. Price-pack architecture embedded in all innovation launches to capture full consumer spectrum. Food/salad dressing declining low-single-digits, adjusting with large/small sizes.

Luc said total cost inflation now ~$70M (vs $90M initially) = $20M favorable. Tariff still $40M. Total $110M headwinds ($20M better). Offsets: ERP ramp-up incremental expenses + increased trade/advertising for back-half innovation. Net: lower end of GM range but robust expansion expected in Q3/Q4.

Linda explained asymmetry is just math of different bases between years. Luc provided detailed ERP bridge: retailers ordered 2 weeks (vs 1-1.5 expected), equivalent to 3.5-4% annual growth in FY25 reversing in FY26. Q1 FY26 impact -14 to -15%, Q4 FY26 lapping impact. Non-ERP destocking was in line with expectations, not structural.

Linda said strong in mass and club where consumers are moving. Used Cleaning as example: premium (wipes, ToiletWand) and value (dilutables, bleach) both growing share. Clorox brand penetration up 2+ points last 52 weeks. Not overly exposed to declining drugstore channel.

Linda confirmed share of distribution up vs year ago, consistent with Q1. Fully restored cyber losses. No timing impact from ERP on normal innovation cycle or shelf transitions.

Linda confirmed categories at 0-1% as expected. Value-seeking behavior with larger/smaller sizes, promotion-driven purchases. Private label not gaining share.

Rick recalled roughly 11-12% TDP growth versus 5-6% industry, guessed laundry was high single digits, and said those gains help into next year.

Q1 2025 inventory pullback created ~2% tailwind for Q1 2026. Underlying business grew ~3% plus 2% lapping = 5% organic. Not a pull-forward from Q2. Reiterated: no pricing planned for $25-30M headwind; productivity is the answer.

Management confirmed purposeful approach to international expansion, not rushing. UK is logical given BATISTE presence but timing not specified. Line extensions expected this year.

CEO decomposed negative price/mix: vitamin promo actions, BATISTE value fixes, and consumer trade-up to larger sizes. CFO noted FX could be small tailwind for international.

CEO framed value tier growth as macro consumer trend rather than competitive response. Expects trend to continue regardless of individual competitor actions.

CEO confirmed targeted pricing only where tariff impacts can't be offset through other means. Not across the portfolio, specific to hardest-hit areas.

CEO noted innovation contributes ~1.2-1.3% to organic growth (slightly below 1.5% target in tough environment). Value portfolio doing well - orange box litter growing ~4%, ARM & HAMMER laundry gaining share.

CEO explained HERO's 13% growth is strong but over-indexed to retailers with foot traffic issues. Still sees TDP and shelf expansion ahead.

Dierker reframed marketing investment as share-driven rather than percentage-targeted, noting 10.5-11.5% has historically worked. On M&A, noted the company only buys what is available and has invested hundreds of hours in due diligence, often walking away on category dynamics or claim risks.

Schulten differentiated baby care price-point intervention, club channel corrections and Tide product-value investment, and tied guidance uncertainty to oil and the consumer rather than execution.

Andre said U.S. volume share gains are broad-based from a combination of innovation launches, base-period effects from prior port strikes in Family Care, and selective value interventions on a SKU-by-SKU basis.

Andre committed to exit-year share growth goal; said productivity reinvestment continues as long as programs show conviction on user and household growth.

Andre cited Cascade formula upgrades across tiers, Baby Dry mid-tier restage, Olay Super Serum and Jars refresh as tier-wide innovation examples.

Andre confirmed midpoint reflects net tariff exposure and back-half savings; Jon reiterated Personal Health Care remains strategic for organic + opportunistic M&A.

Andre confirmed annualized pre-tax figure, ~3% of COGS, 140-180bps margin; mitigated via productivity, sourcing, innovation, pricing.

Andre pointed to lower end; no TMS outage impact quarter-over-quarter; backlog fully cleared.

Andre reiterated the 3-5% range is viable across scenarios and declined to commit to a specific sequential path.

Noel acknowledged select price gaps versus competitors in certain retailers and categories and committed to address them prudently.

Noel acknowledged competitive couponing from rivals, but expects sequential improvement from late-quarter innovation execution. Toothbrush business performing well; more aggressive stance on Home Care and Personal Care innovation.

Wallace noted LatAm strategies proving out with terrific volume growth. Total headwinds to lap in 2026. Pricing still achievable on fats/oils inflation. Innovation across multiple price points planned.

Sutula noted FX moving favorable with Q4 better than Q3, especially Europe and LatAm. Wallace highlighted positive pricing across all divisions as indicator of brand strength.

Sutula said program executes over 2-3 years with no material 2025 impact. Wallace noted Europe slightly softer on volume with food inflation crowding out non-food spending.

Wallace confirmed February step-down with retailer destocking. Competitive environment constructive with no unusual promotion rates. Innovation, not promotion, will drive recovery.

Wallace detailed LatAm and Africa pricing to offset FX, Europe pursuing value-oriented innovation-driven pricing. Volume expected broadly across Asia, Africa, LatAm, and North America.

Addressed volume and the 2-year run rate but did not break out the away-from-home versus at-home mix question.

Henrique confirmed March was most impacted by conflict but quarterly volume still grew; also confirmed fair life Webster capacity starting to come online in Q2.

James said SNAP impact manageable at U.S. and global level. Focus on giving consumers the right brand, pack size and price point. Henrique detailed Mexico tax strategy leveraging 2014 learnings and World Cup activation.

James confirmed 30% capacity uplift from New York factory. Santa Clara in Mexico grew 13% volume in Q3. New Mexico sugar tax for Jan 2026 will require adaptation similar to 2014.

James confirmed US cane sugar Coke launching this fall. Already uses cane sugar across lemonades, teas, coffee, vitamin water. Focused on trying things and understanding long franchise-building timelines.

John called it prudent not to flow FX through at this stage. James noted Europe volume in line with prior quarters with bright spots in Coke Zero and Fuze Tea.

James disclosed half of NA pricing was mix, expects moderation in 2025. Fairlife growth will moderate pending New York factory. Mexico playbook praised for breadth.

Schmitt and Laguarta stressed urgency and a region-by-region mix of solutions but gave no success metrics, savings figures or timeline.

Schmitt declined precise quarterly guidance but framed Q3: strong international, ~1pt EPS tariff-refund benefit offsetting commodity inflation, higher YoY tax rate, more productivity weighted to Q4.

Ramon described a holistic commercial strategy with multiple drivers including value, space, brand restages, innovation, and away-from-home growth, positioning the volume recovery as sustainable.

Ramon framed article as showing the maximum; investments are surgical by brand/channel/consumer. Double-digit space gains starting March-April resets. Steve said EPS balanced first half/second half.

Jamie explained SKU cuts create operational efficiency and better service with minimal volume loss due to overlap. On pricing, described permissible and mainstream take-home as separate priorities with continued refinement.

Ramon broadened the permissibility lens beyond ingredients to include portion control (60%+ of US food volume in smaller formats), cooking methods, and calories per serving, arguing occasions will grow with on-the-go lifestyles.

Ramon explained consumers prioritize absolute dollar outlay; behavior differs beginning vs end of month. Convenience store traffic decline is impacting single-serve; meal deals help offset.