American razor schick9/25/2023 ![]() ![]() But his lingering health problems caught up with him, and he died in 1937. Especially when prices dropped as competitors like Remington, Sunbeam, Philips, Zenith and even Gillette got in on the market. And when you factor in the cost of blades, shaving cream and other appurtenances needed for a wet shave, fans didn't think it seemed so expensive after all. About 3,000 moved the first year, and sales increased until 1.5 million were in users' hands by 1937.ĭespite early claims, they didn't shave closer than a wet steel blade, but the shavers were convenient. They sold for $25 each (that's about $360 in today's money). The new model went on sale in New York City on March 18, 1931. Schick set up a factory in Stamford, Connecticut. An electric appliance cord supplied power to the motor, which had to be kick-started by a turn-wheel switch on the unit. The entire apparatus was encased in sleek, black bakelite and fit comfortably in your hand. He got rid of the flexible cable and put a small electric motor inside the same unit as the shaving head. But Schick figured out how to make his product a success by making it handy. The design was still a clumsy contraption with a heavy motor connected by a metal cable to the reciprocating shaving head.īusiness was so bad that the Schicks had to mortgage their home to get money to keep the company going. ![]() With exquisite timing, he put his first electric shavers on the market in 1929, just in time for the stock market collapse and ensuing Great Depression. “There’s real wage pressure.He sold that business off to return to the electric shaver. It’s getting healthier, but still I would say the overall labor remains tight,” Sullivan said. “We’re seeing turnover rates that are still elevated from pre-Covid. The company’s gross margin as a percentage of net sales was 40.4% at the end of its most recent quarter, compared with 46.5% during the quarter ended March 31, 2020. Like many of its peers, the maker of Playtex feminine-care products is still trying to get its margins back to pre-pandemic levels. About 80% of the company’s debt is fixed rate, with a floating-rate revolver making up the remainder. It also bought men’s grooming products maker Cremo Co. Edgewell saw a jump in its debt following the purchase of Billie. The company reported net debt of $1.28 billion as of March 31, largely unchanged from $1.22 billion a year ago. Net income was $19 million in the quarter, versus $23.2 million during the prior year, due in part to changes in foreign currencies. Net sales rose 9% in the period from a year earlier, helped by both higher prices and volumes sold. “If we see something super interesting, obviously, we’ll engage, but right now I think the prioritization is elsewhere.”Įdgewell, which is taking steps to simplify its business and improve efficiency in its manufacturing and supply chain, last week reported quarterly results that surpassed analysts’ expectations. “The bar is really high, and likely will remain high for the next 10 to 12 months,” he said. Valuations for potential add-ons remain elevated, despite the rising cost of capital, Sullivan said, noting that paying down debt and investing in internal growth will provide the company with better returns. Household-products companies such as Edgewell usually aim for a ratio of net debt to ebitda of around two times, according to Bloomberg Intelligence analyst Deborah Aitken.Įdgewell, which in November 2021 spent $310 million on razor brand Billie Inc., continues to scout for bolt-on acquisition targets, but deems the current environment not helpful for deal making. The company expects that to decline to 3.5 times as of the end of September, the end of its fiscal year. ![]() The ratio of Edgewell’s net debt to earnings before interest, tax, depreciation and amortization stood at 3.8 times as of March 31. The company’s interest expense is expected to come in at $79 million this fiscal year, an increase from $71.4 million the prior year. “This is a pretty high cost environment right now,” Sullivan said. The Banana Boat sunscreen owner plans to use a “meaningful” portion of the $150 million in cash it expects to generate during the remainder of its current fiscal year to whittle down debt. (Bloomberg) - Edgewell Personal Care Co., the maker of Schick razors, is looking to reduce its debt as cost pressures weigh on the business.īringing down debt is taking priority over pursuing acquisitions, Chief Financial Officer Dan Sullivan said in an interview. ![]()
0 Comments
Leave a Reply.AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |