Newell Brands has reported strong growth during Q2 in their Writing Division after good Back to School sales. Newell, whose brands include Sharpie, Paper Mate, uni-ball and Parker has seen a 15.8% year on year increase of $574.4 million.
The introduction of the new Paper Mate Inkjoy™ gel pen, which dries three times faster than regular gel pen has proved to be a very popular product. Increased advertising, promotions and competitive pricing has also helped sales in this busy Back to School season. Writing core sales have increased by 11.3%. Reported operating income has increased from $132.5 million last year to $154.1 million this year.
Newell Brands Jarden Acquisition Reaps Rewards
Back in December 2015 we reported on Newell’s acquisition of the Jarden Corporation in our article Newell Rubbermaid to Merge with Jarden. The merger has enabled Newell to add 120 brands to its range of popular consumer goods. It has also enabled the company to improve its position in European markets, doubling its footprint in Germany, France and the UK.
“We are pleased to report a very good quarter, our first as Newell Brands. Our results benefited from the combination with Jarden and strong top line growth in a number of key businesses, including Writing, Baby, Food & Beverage, Yankee Candle and Appliances,” said Newell Brands CEO Michael Polk.
The recent Brexit decision in the UK is not expected to cause any major impact to Newell Brands.
“In the next year there might be some forex-related issues that we have to deal with … It is not a major disruption and does not have a major impact this year,” Polk said.