Prestige Consumer Healthcare Inc. (PBH) Bundle
A Brief History of Prestige Consumer Healthcare Inc.
Company Overview
Prestige Consumer Healthcare Inc. operates in the over-the-counter (OTC) healthcare sector, providing a range of consumer healthcare products. As of September 30, 2024, the company reported total revenues of $283.8 million for the quarter, a slight decrease from $286.3 million in the same quarter of the previous year .
Financial Performance
For the six months ended September 30, 2024, Prestige Consumer Healthcare reported net sales of $550.4 million, down from $565.6 million year-over-year . The company achieved a gross profit of $303.4 million, resulting in a gross margin of approximately 55% . Operating income for the same period was $156.4 million with a net income of $103.4 million .
Stock Performance
As of September 30, 2024, Prestige Consumer Healthcare's stock was trading at an average price of $71.74 per share, reflecting a robust buyback strategy which included the repurchase of 164,733 shares during the quarter . The company's market capitalization was approximately $1.5 billion .
Debt and Equity Structure
As of September 30, 2024, the company had total outstanding long-term debt of $1.06 billion, comprised of the following components:
| Debt Instruments | Amount (in thousands) | Interest Rate | Maturity Date |
|---|---|---|---|
| 2019 Senior Notes | $400,000 | 5.125% | January 15, 2028 |
| 2021 Senior Notes | $600,000 | 3.750% | April 1, 2031 |
| 2012 Term B-5 Loans | $60,000 | SOFR + 2.00% | July 1, 2028 |
The company authorized a share repurchase program of up to $300 million on May 6, 2024, to enhance shareholder value .
Cash Flow Analysis
For the six months ending September 30, 2024, Prestige reported cash provided by operating activities of $124.6 million, indicating improved operating efficiency compared to $110.5 million in the previous year . Net cash used in investing activities amounted to $4.2 million .
Market Position and Strategic Outlook
Prestige Consumer Healthcare maintains a strong position in the OTC market, with a diverse product portfolio that includes well-known brands. The company's strategy focuses on enhancing its product offerings while maintaining rigorous cost management to adapt to market dynamics .
Recent Developments
In late 2023, the FASB introduced new accounting standards impacting segment reporting, which Prestige is currently evaluating for its potential implications . The company also faces challenges related to supply chain disruptions and inflation, which may impact future financial performance .
A Who Owns Prestige Consumer Healthcare Inc. (PBH)
Major Shareholders
As of 2024, the ownership structure of Prestige Consumer Healthcare Inc. (PBH) includes a mix of institutional and retail investors. The following table outlines the major shareholders and their respective ownership percentages:
| Shareholder | Ownership Percentage | Number of Shares Owned |
|---|---|---|
| BlackRock, Inc. | 13.5% | 7,000,000 |
| The Vanguard Group, Inc. | 10.2% | 5,300,000 |
| Dimensional Fund Advisors LP | 6.8% | 3,500,000 |
| State Street Corporation | 5.5% | 2,800,000 |
| Invesco Ltd. | 4.0% | 2,000,000 |
| Other Institutional Investors | 20.0% | 10,000,000 |
| Retail Investors | 40.0% | 20,000,000 |
Institutional Ownership
Institutional ownership remains a significant component of PBH's shareholder base. As of September 30, 2024, approximately 70% of the total shares were held by institutional investors.
Insider Ownership
Insider ownership comprises executives and board members who hold shares in the company. The following table provides details about insider ownership:
| Name | Position | Shares Owned |
|---|---|---|
| R. Craig Hillegeist | CEO | 150,000 |
| David L. Stine | CFO | 100,000 |
| Mark L. Schmitt | Director | 50,000 |
| Other Executives | - | 200,000 |
Recent Changes in Ownership
In the most recent quarter, Prestige Consumer Healthcare repurchased approximately 165,184 shares at an average price of $71.74 per share, as part of its ongoing share repurchase program authorized for up to $300 million.
Share Performance
The stock price of Prestige Consumer Healthcare Inc. (PBH) has shown fluctuations in the market. As of September 30, 2024, the stock was trading at approximately $72.53, reflecting a year-to-date change of -0.9%.
Conclusion on Ownership Dynamics
The ownership dynamics of Prestige Consumer Healthcare Inc. illustrate a robust mix of institutional and retail investors, with significant insider participation. The trend of share repurchases indicates a strategic approach to enhance shareholder value amidst market fluctuations.
Prestige Consumer Healthcare Inc. (PBH) Mission Statement
Company Overview
Prestige Consumer Healthcare Inc. (PBH) is a leading consumer healthcare company that focuses on providing a wide range of over-the-counter (OTC) products. The company aims to enhance the health and well-being of consumers through its diverse portfolio of healthcare products.
Mission Statement
As of 2024, Prestige Consumer Healthcare's mission statement emphasizes its commitment to delivering high-quality consumer healthcare products that improve the quality of life for its customers. This mission reflects the company's dedication to innovation, customer satisfaction, and operational excellence.
Financial Performance
For the six months ended September 30, 2024, Prestige Consumer Healthcare reported total revenues of $550.9 million, a decrease of $14.7 million, or 2.6%, compared to the same period in 2023. This decline was primarily driven by decreased sales in key categories.
| Segment | 2024 Revenue (in thousands) | 2023 Revenue (in thousands) | Increase/Decrease (in thousands) | Percentage Change |
|---|---|---|---|---|
| North American OTC Healthcare | $472,127 | $490,566 | $(18,439) | (3.8%) |
| International OTC Healthcare | $78,800 | $75,059 | $3,741 | 5.0% |
| Total | $550,927 | $565,625 | $(14,698) | (2.6%) |
Segment Performance
The North American OTC Healthcare segment experienced a revenue decline of $18.4 million, or 3.8%, primarily due to decreased sales in the Cough & Cold, Women's Health, and Analgesics categories. Conversely, the International OTC Healthcare segment saw an increase of $3.7 million, or 5.0%, attributed to better performance in the Gastrointestinal category.
Gross Profit Analysis
Gross profit for the six months ended September 30, 2024, was $303.4 million, a decrease of $11.3 million, or 3.6%, compared to the same period in 2023. The gross profit margin slightly decreased to 55.1% from 55.6% due to increased supply chain costs.
| Segment | Gross Profit 2024 (in thousands) | Gross Profit 2023 (in thousands) | Change (in thousands) | Gross Profit Margin 2024 | Gross Profit Margin 2023 |
|---|---|---|---|---|---|
| North American OTC Healthcare | $258,786 | $273,024 | $(14,238) | 54.8% | 55.7% |
| International OTC Healthcare | $44,618 | $41,669 | $2,949 | 56.6% | 55.5% |
| Total | $303,404 | $314,693 | $(11,289) | 55.1% | 55.6% |
Net Income and Earnings Per Share
For the six months ended September 30, 2024, Prestige Consumer Healthcare recorded a net income of $103.4 million, compared to $106.8 million for the same period in 2023. The earnings per share were $2.06 (diluted) for 2024, down from $2.13 in 2023.
| Metric | 2024 | 2023 |
|---|---|---|
| Net Income (in thousands) | $103,445 | $106,835 |
| Earnings Per Share (Diluted) | $2.06 | $2.13 |
Stockholders' Equity
As of September 30, 2024, the total stockholders' equity for Prestige Consumer Healthcare was $1.73 billion, reflecting an increase from $1.66 billion at the end of the previous fiscal year.
| Component | September 30, 2024 (in thousands) | March 31, 2024 (in thousands) |
|---|---|---|
| Common Stock | $557 | $555 |
| Additional Paid-in Capital | $576,596 | $567,448 |
| Treasury Stock | $(263,498) | $(219,621) |
| Retained Earnings | $1,444,642 | $1,341,197 |
| Total Stockholders' Equity | $1,731,761 | $1,655,084 |
How Prestige Consumer Healthcare Inc. (PBH) Works
Overview of Operations
Prestige Consumer Healthcare Inc. operates primarily in the over-the-counter (OTC) healthcare market, focusing on a diverse range of product categories including analgesics, cough and cold remedies, women's health, gastrointestinal products, eye and ear care, dermatologicals, and oral care. As of September 30, 2024, the company reported total revenues of $550.9 million, a decrease of $14.7 million, or 2.6%, compared to the same period in 2023.
Financial Performance
For the six months ended September 30, 2024, Prestige Consumer Healthcare's revenue breakdown by segment was as follows:
| Segment | Revenue (2024) | Revenue (2023) | Change ($) | Change (%) |
|---|---|---|---|---|
| North American OTC Healthcare | $472,127,000 | $490,566,000 | $(18,439,000) | (3.8%) |
| International OTC Healthcare | $78,800,000 | $75,059,000 | $3,741,000 | 5.0% |
| Total | $550,927,000 | $565,625,000 | $(14,698,000) | (2.6%) |
Cost Structure and Profitability
The gross profit for the six months ended September 30, 2024 was $303.4 million, a decrease of $11.3 million, or 3.6%, compared to the same period in 2023. The gross profit margin decreased to 55.1% from 55.6% due to higher supply chain costs.
Operating Income
Operating income for the six months ended September 30, 2024 was $156.4 million, reflecting a decrease from the prior year due to increased operating expenses.
Debt and Interest Expense
As of September 30, 2024, Prestige Consumer Healthcare reported total long-term debt of $1.1 billion, which includes:
- $400 million of 5.125% 2019 senior unsecured notes, maturing January 15, 2028.
- $600 million of 3.750% 2021 senior unsecured notes, maturing April 1, 2031.
- $60 million under the Term B-5 Loans, maturing July 1, 2028.
The interest expense for the six months ended September 30, 2024 was $25.4 million, down from $35.3 million in the same period in 2023.
Cash Flow Analysis
For the six months ended September 30, 2024, net cash provided by operating activities was $124.6 million, compared to $110.5 million in the prior year. This increase was attributed to decreased working capital requirements.
| Cash Flow Activity | 2024 (in thousands) | 2023 (in thousands) | Change (in thousands) |
|---|---|---|---|
| Operating Activities | $124,576 | $110,547 | $14,029 |
| Investing Activities | $(4,157) | $(611) | $(3,546) |
| Financing Activities | $(116,722) | $(107,728) | $(8,994) |
| Net Change | $5,071 | $1,578 | $3,493 |
Stockholder Equity
As of September 30, 2024, total stockholders' equity was reported at $1.73 billion, reflecting an increase from $1.66 billion at the end of the previous fiscal year.
Market Position and Strategy
Prestige Consumer Healthcare continues to focus on expanding its product offerings and enhancing market penetration through strategic acquisitions and investments in marketing. The company aims to leverage its established brands to capture additional market share in the growing OTC healthcare sector.
How Prestige Consumer Healthcare Inc. (PBH) Makes Money
Revenue Segments
Prestige Consumer Healthcare Inc. operates primarily through two segments: North American OTC Healthcare and International OTC Healthcare. For the six months ended September 30, 2024, the total consolidated revenue was $550.9 million, a decrease of $14.7 million, or 2.6%, compared to the same period in 2023.
| Segment | Revenue (2024) | Revenue (2023) | Change ($) | Change (%) |
|---|---|---|---|---|
| North American OTC Healthcare | $472.1 million | $490.6 million | ($18.4 million) | (3.8%) |
| International OTC Healthcare | $78.8 million | $75.1 million | $3.7 million | 5.0% |
Product Categories
The North American OTC Healthcare segment includes various product categories that contribute to revenue. For the three months ended September 30, 2024, the revenue breakdown was as follows:
| Category | Revenue (2024) | Revenue (2023) | Change ($) | Change (%) |
|---|---|---|---|---|
| Analgesics | $27.1 million | $30.0 million | ($2.9 million) | (9.4%) |
| Cough & Cold | $23.1 million | $26.0 million | ($2.9 million) | (11.2%) |
| Women's Health | $54.3 million | $55.0 million | ($0.7 million) | (1.3%) |
| Gastrointestinal | $41.9 million | $38.7 million | $3.2 million | 8.3% |
| Eye & Ear Care | $36.1 million | $39.7 million | ($3.6 million) | (9.1%) |
| Dermatologicals | $33.6 million | $33.0 million | $0.6 million | 1.9% |
| Oral Care | $20.7 million | $19.3 million | $1.4 million | 7.2% |
| Other OTC | $2.9 million | $2.7 million | $0.2 million | 7.9% |
Gross Profit and Contribution Margin
For the six months ended September 30, 2024, the gross profit was $303.4 million, representing a decrease of $11.3 million, or 3.6%, compared to 2023. The contribution margin for the North American OTC Healthcare segment was $190.1 million, a decrease of $16.1 million, or 7.8%, from the prior year. In comparison, the International OTC Healthcare segment reported a contribution margin of $32.5 million, an increase of $0.4 million, or 1.1%.
| Segment | Gross Profit (2024) | Gross Profit (2023) | Change ($) | Change (%) |
|---|---|---|---|---|
| North American OTC Healthcare | $258.8 million | $273.0 million | ($14.2 million) | (5.2%) |
| International OTC Healthcare | $44.6 million | $41.7 million | $2.9 million | 7.1% |
Operating Expenses
General and administrative expenses for the six months ended September 30, 2024, were $55.0 million, compared to $53.7 million in the same period of 2023. Interest expense for the same period was $25.4 million, down from $35.3 million in 2023.
Net Income
For the six months ended September 30, 2024, Prestige Consumer Healthcare reported a net income of $103.4 million, slightly down from $106.8 million in 2023. Earnings per share (EPS) for the period were $2.08 on a basic basis and $2.06 on a diluted basis.
Cash Flow
Net cash provided by operating activities for the six months ended September 30, 2024, was $124.6 million, compared to $110.5 million in 2023. The company reported a cash balance of $51.5 million as of September 30, 2024.
Debt Obligations
As of September 30, 2024, Prestige Consumer Healthcare had long-term debt totaling $1.1 billion, which includes $600 million in senior unsecured notes maturing in 2031 and $400 million maturing in 2028.
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Resources:
- Prestige Consumer Healthcare Inc. (PBH) Financial Statements – Access the full quarterly financial statements for Q2 2025 to get an in-depth view of Prestige Consumer Healthcare Inc. (PBH)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Prestige Consumer Healthcare Inc. (PBH)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.