Church & Dwight said net sales for the quarter ended June 30, 2025 were $1,506.3, a decrease of $4.9 or 0.3% compared to the same period in the prior year, and gross margin declined 410 basis points. The company cited costs associated with exiting the Flawless, Spinbrush and Waterpik showerheads businesses of 200 basis points and tariff refunds in the prior year of 180 basis points as factors in the decline.

1. 01

   Church & Dwight said net sales for the quarter ended June 30, 2025 were $1,506.3, a decrease of $4.9 or 0.3% compared to the same period in the prior year, and gross margin declined 410 basis points. The company cited costs associated with exiting the Flawless, Spinbrush and Waterpik showerheads businesses of 200 basis points and tariff refunds in the prior year of 180 basis points as factors in the decline.

2. 02

   Church & Dwight said it intends to complete its exit from the Flawless, Spinbrush and Waterpik showerhead businesses by early 2026, announced on May 1, 2025. These businesses generated approximately $170.0 in annual net sales in 2024. The company recorded a pre-tax charge of $51.0 in Q2, of which $30.4 was recorded in cost of sales and $20.6 was recorded in SG&A.

3. 03

   Church & Dwight completed the acquisition of Touchland on July 16, 2025 for a purchase price of $700.0. Contingent upon the achievement of certain 2025 net sales thresholds, the acquisition may require payment of additional earnout consideration up to a maximum of $180.0 in cash in Q2 2026. The company also entered into a Credit Agreement on July 17 with aggregate commitments of $2,000.0, which replaced its prior $1,500.0 unsecured revolving credit facility.

4. 04

   Church & Dwight said net cash provided by operating activities for the first six months of 2025 was $416.5, a decrease of $83.4 compared to $499.9 in the same period in the prior year. Net cash used in financing activities was $426.8, which included share repurchases of $300.0 and cash dividend payments of $145.0. In May 2025, the company entered into an accelerated share repurchase contract and paid $300.0, receiving an initial delivery of 2.8 million shares.

Key figures

Quarter ended June 30, 2025

Revenue

$1.5B

Operating income

$262M

Net income

$191M

EPS

$0.78

Gross profit

$647M

Analysis scope · Management's discussion (MD&A)We analyzed the Management's Discussion and Analysis (MD&A) section. Other sections of the report, such as the notes to the financial statements and risk factors, were not reviewed.

AI summarized the filing and translated the summary into English; it may differ from the original. For reference only, not investment advice. AI translated the published Korean report into English. Figures are copied as filed, not recalculated.

Original filing

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