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Church & Dwight to Report Q1 Earnings: What Investors Should Expect

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Church & Dwight Co., Inc. (CHD - Free Report) is likely to register top-line growth when it reports first-quarter 2025 earnings on May 1. The Zacks Consensus Estimate for revenues is pegged at $1.51 billion, suggesting an increase of 0.5% from the prior-year quarter.

The consensus mark for first-quarter earnings has remained unchanged in the past 30 days at 89 cents per share, indicating a decline of 7.3% from the figure reported in the year-ago quarter. CHD has a trailing four-quarter earnings surprise of 9.6%, on average.

Church & Dwight Co., Inc. Price and EPS Surprise

Church & Dwight Co., Inc. Price and EPS Surprise

Church & Dwight Co., Inc. price-eps-surprise | Church & Dwight Co., Inc. Quote

Things to Know About CHD’s Q1 Earnings

Church & Dwight’s strong brand equity, bolstered by regular innovation and prudent acquisitions, helps it maintain its solid market position and drive growth. In its last earnings call, management highlighted that it expects reported sales growth of around 1% and organic sales growth of about 2% in the first quarter of 2025. Our model expects volume growth of 1.1% and pricing gains of 0.8% in the quarter to be reported.

Online sales have emerged as a critical growth area for Church & Dwight, accounting for 21.4% of global sales as of the fourth-quarter 2024 earnings release. The company’s focus on expanding its direct-to-consumer platforms and optimizing its omnichannel presence has been yielding positive results.

That being said, Church & Dwight is facing challenges related to consumer spending amid persistent inflation and high interest rates. In addition, the company has been experiencing rising marketing expenses aimed at creating brand awareness and supporting new products and acquisitions. Management highlighted that it anticipates marketing spending to exceed 11% of sales in 2025, with a front-loaded investment in the first half to support new product innovations.

For first-quarter 2025, Church & Dwight expects a flat year-over-year gross margin and a higher tax rate. Further, the company anticipates adjusted earnings per share (EPS) of 90 cents per share, representing a 6% decrease year over year in the to-be-reported quarter.

Earnings Whispers for CHD Stock

Our proven model predicts an earnings beat for Church & Dwight this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Church & Dwight currently carries a Zacks Rank #3 and has an Earnings ESP of +0.66%.

Other Stocks With the Favorable Combination

Here are some other companies worth considering, as our model shows that these also have the right combination of elements to beat on earnings this reporting cycle.

Ollie's Bargain Outlet Holdings, Inc. (OLLI - Free Report) currently has an Earnings ESP of +1.64% and a Zacks Rank of 3. The Zacks Consensus Estimate for first-quarter fiscal 2025 EPS is pegged at 70 cents, which implies a 4.1% decrease year over year. You can see the complete list of today’s Zacks #1 Rank stocks here.

The consensus mark for Ollie's Bargain’s quarterly revenues is pegged at $564.2 million, which indicates growth of 10.9% from the figure reported in the prior-year quarter. OLLI delivered a trailing four-quarter earnings surprise of 3.3%, on average.

The J. M. Smucker Company (SJM - Free Report) currently has an Earnings ESP of +4.52% and a Zacks Rank of 3. The consensus estimate for J. M. Smucker’s quarterly revenues is pegged at $2.2 billion, which indicates a decline of 0.9% from the figure reported in the prior-year quarter. SJM delivered a trailing four-quarter earnings surprise of 11.7%, on average.

The Zacks Consensus Estimate for fourth-quarter fiscal 2025 earnings per share (EPS) is pegged at $2.25, which implies a 15.4% decrease year over year.

The Estee Lauder Companies Inc. (EL - Free Report) currently has an Earnings ESP of +14.31% and a Zacks Rank of 3. The Zacks Consensus Estimate for third-quarter fiscal 2025 EPS is pegged at 30 cents, which implies a 69.1% decrease year over year.

The consensus estimate for Estee Lauder Companies’ quarterly revenues is pegged at $3.51 billion, which indicates a 10.9% decrease from the figure reported in the prior-year quarter. EL delivered a trailing four-quarter earnings surprise of 101.9%, on average.

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