Newell Brands Inc (NWL.O): NWL Returns to Topline Growth in Q2 For the First Time in Four Years

Research evidence excerpt

Newell Brands Inc (NWL.O): NWL Returns to Topline Growth in Q2 For the First Time in Four Years

120M expectation at 1Q26 earnings and is ~$12M higher than what was

experienced in 2025. On phasing, the impact from tariffs was $48M in 1Q26,

$35M in 2Q with $24M expected in 3Q and $20M expected in 4Q. On the refund

side, NWL recorded a receivable for nearly $100M of recoveries related to IEEPA

tariffs expensed in 2025, contributing ~$0.17 to 2Q26 EPS. NWL stated this

benefit is non-recurring and should not be extrapolated into 2027. Additionally,

$26M of recoveries related to IEEPA tariffs incurred in 1Q26 before they were

nullified were also recorded in 2Q26, which contributed ~$0.04 to 2Q26 EPS.

The company noted that cash collection of the first portion of the tariff refund

began in July, with the remainder expected to be received substantially by year-

end, though timing remains subject to the government's process. The in-year

2026 portion of the IEEPA refund is being deployed alongside productivity

savings and cost control efforts to offset inflationary pressures, rather than

passed through as incremental profit. The company stated that even inclusive of

all tariff refunds, NWL's total input cost picture for 2026 remains a net

headwind, as inflation more than offsets tariff relief.

n Pricing Update: NWL reiterated that its pricing philosophy remains selective and

targeted rather than broad-based. Outside of the resin-specific price increases

on <10% slice of the portfolio taken in 2Q, NWL has not enacted widespread list

price increases, and does not believe it is competitively out of step with the

market. The company noted that some competitors have taken pricing in

categories where NWL has held firm, attributing this competitive flexibility to its