A month has gone by since the last earnings report for Hain Celestial (HAIN). Shares have lost about 7.3% in that time frame, underperforming the S&P 500.

Will the recent negative trend continue leading up to its next earnings release, or is Hain Celestial due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important drivers.

Hain Celestial Q4 Earnings Top, Hain Reimagined Strategy Yields

The Hain Celestial Group posted fourth-quarter fiscal 2024 results, with the top line declining year over year but surpassing the Zacks Consensus Estimate. The bottom line rose year over year and beat the consensus mark.

More on Hain Celestial’s Q4 Financial Results

HAIN posted adjusted earnings of 13 cents per share, outpacing the Zacks Consensus Estimate of 8 cents. The bottom line increased from adjusted earnings of 11 cents per share in the year-ago quarter.

Net sales of $419 million beat the consensus estimate of $418.2 million. The top line declined 6% year over year. Organic sales fell 4% from the year-ago quarter’s reported figure.

The adjusted gross profit of almost $98 million fell 3.7% from the year-ago quarter’s figure. In comparison, the adjusted gross margin expanded 70 basis points (bps) from the year-ago quarter’s figure to 23.4%. 

SG&A expenses were $72.3 million, up from $66.9 million in the year-ago quarter.

Adjusted EBITDA stood at $40 million, down from $44 million in the year-ago quarter’s reported figure. The adjusted EBITDA margin contracted 30 bps to 9.4%.

HAIN Provides Q4 Revenue & Profit Insights by Segment

Net sales in the North America segment tumbled 8% from the year-ago quarter’s reported figure to $260 million. Segmental organic net sales fell 5% year over year, mainly due to reduced personal care sales, partly owing to portfolio simplification and a decline in infant formula sales within the baby and kids category. This drop was partially offset by growth in the snacks segment. 

The segment’s adjusted EBITDA amounted to $21 million, down from $27 million in the year-ago quarter. Adjusted EBITDA margin in the quarter dropped to 8% from 9.6% in the year-ago quarter.

The International segment’s net sales fell 4% from the year-ago quarter’s figure to $159 million. Segmental organic net sales also fell 4% year over year, primarily due to lower sales in plant-based meat alternatives within the meal prep category and a decline in snacks. The downside was partially offset by growth in the beverages segment. 

The segment’s adjusted EBITDA was $27 million, flat year over year. Adjusted EBITDA margin in the quarter expanded 40 bps to 17%.