Whirlpool Q1 Highlights: 5.5% Sales Decline, Earnings Beat, On Track Cost Takeout Actions & More

Whirlpool Corporation WHR reported Q1 net sales of $4.65 billion, down 5.5% Y/Y, beating the consensus of $4.50 billion.
The revenue decreased Y/Y due to unfavorable product price/mix and demand slowdown.
Net Sales in Regions: North America fell 1.6% Y/Y to $2.75 billion, Europe, Middle East, and Africa declined 18.0% Y/Y to $889 million, Latin America slipped 0.4% Y/Y to $757 million, and Asia declined 10.2% Y/Y to $256 million.
The gross margin of 16.4% contracted by 90 basis points Y/Y.
Operating profit declined significantly to $43 million from $461 million last year.
The company stated cost-saving initiatives are on track, delivering 50 basis points of sequential margin expansion.
The company held $1.36 billion in cash and equivalents as of March 31, 2023. The cash used in operating activities totaled $(477) million at the end of Q1.
EPS of $2.66 (-49.9% Y/Y) beat the analyst consensus of $2.28.
"In Q1, we delivered significant sequential margin expansion, in particular in North America. These results demonstrate our progress against our operational priorities and put us on track to deliver a solid 2023. At the same time, we are continuing to advance our ongoing portfolio transformation of investing in higher growth and higher margin businesses and remain confident in our ability to drive value over the long-term," said Marc Bitzer, chairman and CEO.
Whirlpool's quarterly dividend of $1.75 per share on the company's common stock is payable on June 15, 2023, to stockholders of record on May 19, 2023.
Outlook: Whirlpool reaffirmed its outlook for FY23 Adjusted EPS at $16.00 - $18.00 (versus the consensus of $15.82) and sales at $19.40 billion ( down 1% to 2%; vs consensus of 19.03 billion).
Price Action: WHR shares closed higher by 3.55% at $145.71 after hours on Monday.

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