Tupperware Brands Shares Plummet After Q3 Results, Registers 11% Decline In Sales

Tupperware Brands Corp TUP reported a third-quarter FY21 sales decline of 11% year-on-year, to $376.9 million. The company reported its beauty businesses as discontinued operations.
Sales in North America fell 11% Y/Y to $103.1 million, South America increased 6% to $69.6 million, Europe declined 19% to $91.3 million, and Asia Pacific sales dropped 13% to $112.9 million.
The gross profit fell 14.9% to $247.9 million, and the gross margin contracted by 290 basis points to 65.8%.
The operating margin was 15.1%, and operating income for the quarter rose 15.8% to $57.1 million.
The company held $123.8 million in cash and equivalents as of September 25, 2021. Net cash provided by operating activities for the nine months amounted to $3.6 million, versus $112.4 million last year.
Adjusted EBITDA was $68.9 million versus $99.5 million last year.
Adjusted EPS was $1.19 versus $1.12 last year, driven by a lower tax rate, partially offset by volume loss.
"Despite challenging year-over-year comparisons and the persisting negative effects of the global pandemic, we are proud of our ability to post solid results during our ongoing turnaround. We are as confident as ever in our business outlook, our strategy, and our ability to execute," said CEO Miguel Fernandez.
Price Action: TUP shares are trading lower by 9.29% at $21.28 in premarket on the last check Wednesday.