Fortune Brands Delivers Solid Sales and Strong Margin Results in the Second Quarter; Updates Full Year Guidance

Q2 2024 sales were $1.2 billion, an increase of 7 percent versus Q2 2023. Organic sales were $1.1 billion, a decrease of 3 percent versus Q2 2023

Q2 2024 earnings per share (EPS) were $1.06, an increase of 33 percent versus a year ago; EPS before charges / gains were $1.16, an increase of 8 percent versus Q2 2023

Company announced a number of key milestones in its digital products strategy

Company updates full-year 2024 guidance, reflecting a revised macro-economic outlook and strength in key businesses while maintaining prior mid-point of EPS before charges / gains range

Fortune Brands Innovations, Inc. (“Fortune Brands” or the “Company”), an industry-leading innovation company focused on creating smarter, safer and more beautiful homes and improving lives, today announced second quarter 2024 results.

“Our teams continued to execute at a high level in a dynamic market. We delivered solid second quarter sales as our core U.S. products outperformed the market and we saw acceleration in our digital products,” said Fortune Brands Chief Executive Officer Nicholas Fink. “We also delivered strong operating margins, which are a tangible result of our organizational realignment and the other transformational actions we have taken over the past few years.”

Fink continued, “Finally, we announced several significant accelerants to our digital strategy, including with major insurance providers, municipalities and technology partners. I am proud of the continued investments and progress we have made, particularly in an uneven and dynamic external environment.”

Balance Sheet and Cash Flow

The Company exited the quarter with a strong balance sheet, and generated $262 million of operating cash flow and $223 million of free cash flow in the quarter. In accordance with its opportunistic, returns-based share repurchase program, the Company repurchased $55 million of shares in the quarter, and as of July 25, 2024, has repurchased $190 million of shares year to date.

Updated 2024 Market and Financial Guidance

“Amidst a dynamic market, we are now updating our full-year guidance to reflect our expectations for continued out-performance driven by our core businesses, with particular strength in our Outdoors segment and our Moen North America business, and our accelerating digital sales, which are offset by weaker China sales. Importantly, we are narrowing the range around our prior EPS before charges / gains mid-point due to expected growth in our core and digital businesses and strong margin performance,” said Fortune Brands Chief Financial Officer David Barry. “As we position Fortune Brands for long-term shareholder value creation, we will continue to prioritize above-market sales growth opportunities, margin expansion and cash generation, while continuing to effectively manage costs and invest in a strategic set of key priorities.”

To view the full second quarter results, click here.

About Fortune Brands Innovations

Fortune Brands Innovations, Inc. (NYSE: FBIN), headquartered in Deerfield, Ill., is a brand, innovation and channel leader focused on exciting, supercharged categories in the home products, security and commercial building markets. The Company’s growing portfolio of brands includes Moen, Flo, House of Rohl, Aqualisa, Emtek, Therma-Tru, Larson, Fiberon, Master Lock, SentrySafe, Yale residential and August. To learn more about FBIN, its brands and environmental, social and governance (ESG) commitments, visit www.FBIN.com.

Contact:

Leigh Avsec – Media Contact – Investor.Questions@fbhs.com – (847) 484-4211

Source: Fortune Brands Innovations, Inc.