Kenvue (NYSE:KVUE) reported second-quarter revenue and adjusted earnings that topped expectations Thursday in the consumer health company’s first quarterly report since it spun out from Johnson & Johnson two months ago.
The company, formerly J&J’s consumer health division, also issued an upbeat sales outlook for 2023.
Kenvue’s beat was driven by resilient demand for its wealth of widely known brands such as Band-Aid, Tylenol, Listerine, Neutrogena and Aveeno.
“This quarter was yet another proof point, showcasing the power of our portfolio,” Kenvue CEO Thibaut Mongon said during an earnings call Thursday.
But J&J still owns a 90% stake in Kenvue, meaning it can generally control the direction of the spinoff’s business for now. J&J will reduce its stake in Kenvue later this year.
J&J reported its own second-quarter earnings on Thursday, which included Kenvue’s results.
Earnings per share proved to be 32 cents adjusted, vs. 30 cents expected
Revenue came in at $4.01 billion, vs. $3.96 billion expected
After a strong debut on the public market in May, the stock has struggled as investors question how much growth the company can deliver with its iconic brands as consumers pull back on spending.
Kenvue’s stock has shed more than 7% since it debuted on the public market, dragging its market value down to roughly $47.9 billion.
KVUE shares plunged $1.80, or 7.2%, to $23.20.
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