Tupperware Brands (TUPBQ) 23 Feb 222021 Q4 Earnings call transcript

Thank you, Operator. Good morning, and welcome to Tupperware Brands Fourth Quarter and Full Year 2021 Earnings Conference Call.

Joining me today are Miguel Fernandez, President and CEO; and Sandra Harris, CFO and COO.

We will all be available for Q&A following our prepared remarks. Earlier this morning, we issued a press release announcing our financial results for the fourth quarter of 2021, which is available on our Investor Relations website.

Relations press our have items prepared found our today's materials published can to on accompany to remarks, Investor addition release, also we supplemental be In website. and both

the differ Let me your reflect statements. materially forward-looking XXXX, from views management's statements. discussion XX, our of February may responses such questions today, following as and remind to and Actual that you include results may

impact a third application otherwise our references, Form reflects Additional on of rate exchange financial the foreign a is continuing morning. basis, references fluctuations. Page enabling operations period period information could today's foreign release. on of about with our the also being factors constant Please of X disclosure included all being in release to press current filings XX-Q excluding subsequent Please potentially for note and today the unless our any quarter that prior made comparisons, XXXX, exchange basis. in review SEC on noted, that Please rate filed note are results statements made which of results the impact currency the are the forward-looking press this that all

measures, we including call, certain normalized we will this as discuss refer to During those non-GAAP measures.

Miguel. me these Investor A Relations over to available with Relations be press regarding release, Investor has the this measures, the disclosures which our can let our non-GAAP reconciliations found you, of today. measures and website. today's in website Additional posted call And most including on to measures, call of these explanations that, be comparable GAAP replay been later will turn to

our be XXXX It everyone. Thank you to you, full year to good and today quarter great Alexis, here fourth and with results. is morning, share

to will And And our expand X-year investments a we In increase and growth. company. foundation for XXXX, turnaround As our midway omnichannel consumers while me we and what in at bottom of our of our strong building plan. to was to wherever we a the XXXX, to the XXXX. important XXXX, are this In in was plan. see in they stabilize available to in to our priority of what reported us shop. priority growth we make our choose our to point XXXX, on point half XXXX Board efforts we've turnaround learned products XXXX, we and both passed Most ended we and focus build the second in top line our foundation and ahead accomplishments,

had rigor selling to rightsize First, carry upgraded survive and that help reorganized structure and business. stabilize and to the successfully our XXXX, direct company. been to what our We We cost talent accomplished. fix in fiscal has into us XXXX stabilize

take financials an their debt as on is new growth, loyalty through our revamp have in growth bottom we BXB top of help into up access and increased and business execute the late our core experience build and distribution, limited line plan. work iconic provide to continuing complete transactions our with utilizing our in new year retail first, operations, been discontinued financial retails our We we of accomplished flexibility in our ahead for late to We the talent dramatically CPG increasing us $XX XXXX, and business. the to We products. restructured XXXX, to again which while around a retailers sold started our critical provide XXXX, product twice, We in have of to brought and we with into our programs. closed consumer and new channels, amount of with funding company to direct million world omnichannel objective sales in bridge loan our in cost revenue, business. We data of open XXXX. non-core capital. techniques and working to the reclassified operations proven of the sales company's methods products We selling divested to to to remaining capabilities beauty as implemented goal building assets And of brand in reduce channels new turnaround

we the was recent X APAC investments of internal navigating really resin by halves. direct costs. as the throughout Additionally, dramatically unprecedented ahead such the gross COVID half in the delivered distractions, initial world. of COVID methods X operating successful. Yet and growth and a selling XXXX, conditions, we our made lockdowns benefits variant. being outside impacted important changes of logistic these that regions, both the of we performance was with our X first we despite And our higher by while profit were and know it outlier, the most hardest Through of using tale are seeing as XXXX hit was prices expectations

of sales which we out year, second in platform U.S. cost are COVID system in Canada, half we were pressures. disruptions we more developing our a new markets, the adoption, in discipline exercising well other digital a we and spending. there's issue resin as as During expenses high know by That transportation the lower and as our lockdowns, particularly driven force inflationary negatively technology said, the rolling a and impacted managed by controllable

to local more chain up be X% income. year current We that cost pressures, model adjusted revenue our XX% advantage climate. has supply than we an the ended in on the While acknowledge proven of we manufacturing feel and

and omnichannel we develop COVID foundation, of a to have for and the we teams stronger that unknowns progress accomplished scalable all making pleased to with our are are an the future. Given prepare

in very against I'd noteworthy recent up like few of year. a we're mention the achievements. second know, you difficult to also half the comps as Additionally,

that, products insights, XXXX, new sustainable tied lines, to waste our by Green The Handy and XXXX reduce reusable To-Go Design fresh, to and received when purpose Fast more Spiral introduced the on plastic Coffee materials water offers up to the eliminate help product consumers bottle hours Design single high our ECO+ data We products Award. and In packaging. received We also frozen, on design to Designer German food go. consumer to for XXXX use Company's by the cool continue the identified the Cup of new a and Award solve strategy honors consumers needs Good product focus Innovation by introducing the X refined to freezable renewed Award. and of

a a producing today's Burger King. We developed reusable container a called for XXXX, Hortons packaging we a life needs brought collaboration also given our XXXX, circular Cookware for future, Tim launched TerraCycle and purpose bakeware the category glass to nurture and storage platform Loop, our Universal With one-of-a-kind small we better product in set, and current line In of consumers. the reuse to with spaces. option will kitchens expand

sustainability in Lastly, make nevus. report continue published we progress highlights which in to ESG the which degree our quarter, fourth sustainability is our to XXth efforts. annual the We moving cultural our into

efforts time conducted governance targets, many guide intended first-time assessment and XXXX. new social by report established the stakeholders. our towards ever, we including most first materiality the target, goals, XXXX important a to new emissions gas and reduction of includes to greenhouse absolute XXXX a the For ESG of our The XX% environmental

environmentally Park products. for providing Foundation, impact we're to of multi-use America's our to Park recently testament million one and responsible our last recognized responsible XXXX National $X partnership across donation Newsweek And we people, as planet a system. in month, most create commitment companies the reports, the our to National meaningful renewed our by As sustainability with

As our head of the we turnaround believe famous big our the and one: is into we strategy make half second brand. to as plan, our right XXXX, as the company

includes smarter of our better new how business, channels, customers continue selling we our sales to fix we core to will this experience look and with business, categories direct now brand. plan, around to XX to we're This on over XX% our Tupperware losing sales. converting return personalize supplementing and markets to cases, in will to through we're are more In approach of had We approach, segmentation business all our core introducing and, decisions. revenue continue By We're using which customer models continue and a into expand force product and preferred data-driven their believe formerly into started our transform enter money. markets. in making XX turnaround that the and more iconic some at our over million When sales struggling we in markets programs turning profit unprofitable strategies. operating also markets changing contributing represent expansion and a omnichannel markets we these this with open loyalty $XXX biggest

is to both I As from from year. of million, almost XXXX, and importers prior models improve the using end expand talked calls, about broadly of those more last sales XX% up margins. using earnings we're At revenue $XX in importers was one

In transforming for year. than programs years. loyalty in revenue, that a retail than for business the has while million studio last excluding higher direct grew create more we BXB Our XX% over foundation XXXX, market, business selling achieved $XX pure continue to XX% China, our XX been a XXXX,

is half of improve We up a continue the implement make in support transformation we doing time further labeling. the BXB detailed enter goal meeting the distribution laying no We company expansion expand something retail XXXX to wherever business invested studios and access we've and through opening we products retail the to in set made a for go grow beginning retail to of into organization as selling direct and to readjust the retail develop done progress expansion importer, tools globe price are plan. consumer consumers proved from has third-party with and levels, in learn and in packaging execute will going and accomplish Therefore, enhance talent the we very loyalty turnaround omnichannel. major next we to service We to and believe partnerships, take partners programs. the the investments We're turnaround. we that the as of shop. before our and taking real This to they the means but that way, across XXXX, organically, foundation in know

a sourcing that a channel. We been summary, for direct foundation both also excellence team has developed new and for omnichannel chain in product of specifically a to a established a significant the Singapore and this business. and XXXX accounts in new business progress selling onboarded supply In made and sub-brand center build

just confident that in accounts we win are way like expansion U.S. U.K., name We as exciting the and a throughout we sharing few. retail XXXX, news our into with markets will the to be you

selling full turn Board as on our to and excited provide the our the COO, CFO call now Canada, to the development, including is entire product efforts, The accelerating our our stabilizing access globalizing in consumer XXXX sales the new U.S. direct in in associates, well expanded focus and on thoughts is future. increasing omnichannel the a share product over our best will Tupperware year I quarter about access our executive team, Our through report China. force, Sandra team practices, Harris, and as ahead.

for favorable We've operations. terms, refinanced more for we Miguel. fix for meaningful and of remediated second foundation sustainable the improved material to set Thanks, despite more half our expansion significantly In growth. continued core turnaround plan XXXX, non-core divest in tax the our challenging future invested expanding channels. XXXX, the in the headwinds and the weakness made more of on rate while within progress and year, the continuing assets, to debt the with our some to and business execute Mexico the in groundwork We flexibility into efforts our lay

financial Now to results. our

made performance our beauty business care core discontinued consistent go-forward last our operations call efforts. focus quarter the a Therefore, a sold continuing on accounting as of during only. to As expansion and change will held-for-sale reflect and is strategy reminder, comments on from and businesses our with basis, to this classify which we our operations, personal and results an

increase XXXX, of of posted to year revenue full represents XXXX. X% we an $X.X billion, the For compared which

COVID As the through we the of of Miguel Then first Asia outpacing impact second during lockdowns, half, in had mentioned, Europe. year. the to and restricted plan especially in half we were our the manage

revenue achieve We the new challenged all-time the still XXXX. of for U.S. market and second implementation managed half with in also sales this in high were an Canada a to the in force business in but tool,

importers, year, full and of APAC North We mentioned XX%, X%; up China. $XX million X was the retail, expansion, now the XX% XX%; mainly in was XXXX year, of includes studios BXB in America, X grew X%; made outside for XXXX. programs, South which loyalty Business is America, We're we've BXB also and pleased our regions of million that report of the the goal Europe approximately and stated up down also our $XX due with and to revenue. revenue importers loyalty for $XX our for progress exceeding studios in million to up China. significant Miguel

of Canada higher that by XX%, up and lockdowns big studio only to than our last and heavily the impacts Mexico and the up X did year, China XX%. by X big X Brazil impacted U.S. leadership and For markets year. grow of the the was year with due was by posted X%; growth changes not X%; openings, fewer throughout COVID down market

year, last with gross profit the year. was For billion, compared $X.X flat

However, of by was XXX to was gross relatively as cost of year. resin in compared XX.X% basis margin flat points, manufacturing sales, efficiencies XX.X% higher reported driven last partially primarily decrease Adjusted first a of half XX.X% of was points year. or basis basis. offset on XX The the EBITDA the $XXX million by

just lower about. EBITDA foreign would been have spoke profit the the impact, exchange to impacts Excluding due I gross

a was from China $X.XX offset regard a last the earnings per had $X.XX partially was tax of year reported. to are X favorable Adjusted improve ruling $X.XX higher for cost and a controls continue XXXX. EPS by XXXX. resin tax items as we The lower matter; to which XX.X% in by primarily items for of deferred XXXX, tighter $X.XX in SG&A, partially for was one-time $X.XX; driven rate to a $X.XX court offset and efficiencies, for Brazil favorable distribution one-time the higher in $X.XX manufacturing to year: decrease that interest. $X.XX as investments, asset tax Adjusted versus $X.XX; being We and non-income In operating tax investments. both related XX.X% of by The compared periods, and cost items share to grant, $X.XX these freight we'll incremental was compared favorable despite about in adjustment for for a minute. XXXX talk and adjusted

structure. aligned we effort noted significant our in our in made sub-XX%, achieve in and peers accelerate global with goal an calls, of our to our As XXXX operating tax we investments prior to strategies

the per our earnings with You our in release. adjusted of bridge can the presentation earnings reference morning this share posted

for quarter the Europe. the highest had a discuss Next, and lockdowns, turning cost impacted performance the in and heavily the COVID by to that adjustment year in a few tax was also I'll Asia more one-time fourth detail quarter. especially in minutes. resin Overall, It for

quarter, country-wide operations, our of Asia quarter, markets fourth impact sales For of million, net decrease Europe. year. in $XXX COVID-XX to various in the the with and compared were The partial significant a XX% Omicron of variant last Pacific or lockdowns the in representing affecting was particularly

of revenue, representing we particularly would stack, have quarter decreased compared year was QX million the the same of million Excluding $XX quarter quarter the revenue year. strongest with quarter in being $XX by fourth in BXB coming X% facing the strong quarters previous On year. increase to sales X%. last X-year fourth the a of tougher prior program to loyalty quarter. for second and COVID million the QX, $XX the increased Also of $XX shipped full impact, from an a the net U.S., off were half backlog in over due of comps in XXXX, million

including by our in sales specific to markets. now performance performance largest region, Turning

in small Asia COVID well slowdown by related in into partially by The in as sales a which was XX% driven this the Pacific, openings, XX%. closings offset in quarter, down pace resurgence successful market. to new First, kitchen slower entry of and China, appliances by lockdowns as challenges was studio the decreased

China and change Tupperware potential leadership an an significant also for future believe in market have right We important brand the remains growth. made that now and person the place. for holds we important

new the our important in of and of studio market, We and will look product investments and including to prioritize upgrading locations e-commerce physical continue innovation, platforms. digital this through the revitalization feel

X% region digital many impacted think of particularly as was quarter, continued as down saw remainder markets. significant of the on there to as in digital by lockdowns Indonesia the performance focus efforts, the China, from sales impact adoption. we adoption region within in increasing improve opportunity Malaysia, in Asia low significantly is We we pandemic which these is driven the the and Philippines, Pacific Excluding the

impact would X%. by In Excluding sales the in X%. the have by sales Pacific COVID, of region Europe, decreased Asia decreased

$XX severely overall, resulting the emerging in physical relies were impacted at lower COVID-XX, market to due lockdowns variant gatherings, $XX While was of higher in million market BXB margins. as lower of heavily Omicron by profit the the in sales significantly European this the productivity. were million quarter recruitment and this on markets

The for our increased productivity the the the by the in did in Mexico comparables Excluding driven the the methods, by impact of reoccur XX%. in direct by of U.S. U.S. by to decreasing Adjusting quarter as BXB, increased election, growth to America, by next that decreased general X%. believe also of by were decreased Brazil Sales the decrease selling in few lower sales was conditions, implementation the COVID, our sales Mexico lockdowns XXXX engagement due XXXX levels sales a household from Due expiration in market productivity. driven in while we this by well for in quarter, contributed methods to and and XX%. we tools recruitment XX% the during this Europe in-person our as the that higher conditions and the in Canada sales all tougher direct success including would XX% to quarters. In challenging levels remain large best presidential and with government have October, XXXX. would In upcoming force to backlog sharing U.S. and proven have world the selling of by X% shift this, fourth and environment not and direct South were debt as due Canada North decreased and by are in markets do XX% challenging macro sales in implementing was expect segmenting stimulus Canada around returning practices and quarter, largely in driven economic of and reflects Sales December and the down to which October our market. by November the in of selling in We XX%. efforts, the events to business. lifted stabilize America,

due points for pressures. profit XXX XX% total, the sales, quarter. of XXX last or approximately in year, was to by now fourth $XXX a profit driven to Moving million inflationary and of the inefficiencies the In downtime of being basis efficiencies. inventory the costs, net resin approximately decrease half Gross Of the we mix mix. inventories, due and product market was to impact with reserves largely the a higher first manufacturing to quarter higher points manufacturing basis compared through higher and the lower offsetting and volume were year, balance of resin

to respond we volumes were raise impact, dollar second on nature that of relative throughout mindful fast our the offset due not no We impact pressures XXXX, decrease market persist pricing began we in will the will catalog-based business. and look offset being as However, half, and to could able to the longer the dynamics. inflationary prices to enough of believe to

We to increase shipping level to higher work delays. avoiding to an year we we note I environment, XXXX. balance the first be From and softness in for through should continues chain opportunities of our costly time-consuming continue at the ended inventory ability as we supply a cost will to possible. move half efficiencies reduce than and look that will current we to and advantage manufacture the locally that in the reduce an sales, to standpoint, anticipated also where due had

and in percentage of and investments, for talent we a the tax of just information investments support fourth cost quarter of future XX.X%. investments sourcing million the sub-XXs reflecting million technology, for products, strategic a XX.X% last new versus as the including sales, EBITDA or resin and the achieve approximately of was fourth quarter, rate. business Adjusted $X XX% was sales quarter SG&A higher Our discussed. made $XX expansion tax In to growth the year to

over Our XXXX. XX% fourth quarter quarter operating in versus tax same rate XX% the was in

awards that were we and a control deferred other compensation tax out included and a related forfeited amounts as with associated quarter of identified During amounts design reassessment, tax to that of tax expired asset for the XXXX. in or expected years of period the fourth are or no with balance of XXXX, fourth These prior stock recorded deduction. quarter awards part

related which reserve part in transfer We is planning also our pricing quarter, recorded of tax the a comprehensive strategy. to also

early the reminder, XXXX the QX rate As the debt. property sale a of retirement impacted by tax was Orlando and of

lowering year tax you was tax clear our As rate our goal as and great are rate It's our can our of see, that sub-XXs. toward we've stated strategies planning a full basis, XX.X%, progress on goal our I earlier, made sustainably operating achieving working. tax so of

EPS in share. tax share was EPS both $X.XX per earnings Adjusted been to per impacts, years have compared in the the last $X.XX the Now would $X.XX year. adjusted for quarter Adjusting versus $X.XX, and was share related inventory higher per cost reduced profit XXXX. lower $X.XX. negative in resulted In inefficiencies reserves resin, of $X.XX on impact a higher while XXXX, to sales manufacturing

other financial year. for net flow million to of the Turning matters last now investing the for notable million year. to On cash basis, operating $XXX year, compared full reported was a $XXX

discussed, cash to including pandemic-specific cost and previously last actions, spending in higher as benefited aggressive year furloughs lower such on significantly actions payables order and inventory As savings cash. preserve we by flow

flow reverting chain to to capital issues, a levels, was in current supply impacted spending. global in level while cash inventory an of XXXX, effort given also more improve investments we the service by made normalized For

debt, further our reducing in we our the structure, that to of by cost maturities. I'm look total market do our We a facility, the We of quarter extending of quarter debt year-end, report X.Xx, to credit covenant to and pleased the $XXX present to we which below improve historical and million X.XXx. required consolidated we fourth $XXX Moving our well At year, the of capital mentioned that healthy to able balance were call quarter last was cash sheet. leverage with favorable last million, on to balance both our refinancing $XXX that ended a balance would million. liquidity conditions our to ended net compares opportunities improving levels just with and our and ratio

by X-year consists loan dollar of a out increases million points. euro reduces on of million EUR X.X the liquidity a higher facility, through of capacity approximately more by years $XXX term U.S. maturity revolver facility loan percentage a entire of $XXX $XXX to by $XXX than million interest new a X-year extends credit million term rate The loan million. XXXX, level credit revolving and term X facility and Our XXX our

In addition, ratio toward the financial new covenants net including operating facility to capital $XXX our up cash balances. flexibility enhance on leverage resets basis, to for million of allocation and allowing calculation flexibility, a applied debt to be

also are led of We a and bank the banking of support is Fargo. lead which banks new pleased Wells to have and syndicate, XX comprised by

the months We also the refinancing was past credit sheet, million over are in to and $XXX capital deploy our strengthening XXXX, buybacks. balance have continue given efficiently repurchase our our share to of are program. thresholds. flexibility million authorized utilize made possible. the to program June In XXXX, facility, significant maximum effectively Board this aggressively now a quarter pleased credit current our of of our and stock and trajectory, as as business being given we as remain in support mindful to to selling opt strong facility, we assets. the have levels, and the enhanced And longer progress investing the we non-core may in future debt, this stock $XX our always share Therefore, more cash prior below subject new repurchase in This as amount third our growth our Under facility million to covenants. at allowable shareholders as returned long certain under through leverage generate restricted $XX covenants under our XX no our we we confidence we flow same

environment at sufficient operating While point view halfway our we into we we X-year a a remain the have challenging coming feel of provide the tangible turnaround, more only to are year. in and visibility

was previously rate a other uncertainty time. providing quarterly that inflationary this that a of $XXX of will of and rate we volumes at only for we believe XXXX range approximately at quarterly a prior reflect we approximately be profitability a Given reasonable pricing million adjust to share and continuing view range actions If shared quarterly we the discontinued revenue XX%, adjusted cash only, assumes $X.XX rate to in to per of variables, XXs. on of of to earnings the our businesses response beauty pressures, in sustainably to provided our tax a operations and upper to $X.XX. range We COVID, mid- flow operations. run could host $X, tax That the deliver to that to we be $X which believe reclassification

share move stage of we uncertainty will approximately which share earnings XXXX, we $X.XX into to $X.XX and quarter, investments expansion the reflecting that As than of $X.XX our per normalized to given persisting further will require believe be the turnaround pandemic, the quarter for plan, per adjusted $X.XX lower per per the estimate.

posted in this for release. You can the the also see this presentation materials in guidance

opposite another half second be the easier XXXX, followed We in in tale also the cost XXXX X persistent trending tougher by exasperated will COVID comps first of pressures, halves, comps with of that the by relatively believe and half.

benefit actions to for from Therefore, cost the pricing began half business we that increases the latter stronger the to take efforts part to to We also expect XXXX. up our by results expect and in half the of expansion for second second half year. root be catch with our

which moves range cash had of originally a normalized roughly operations, Our on now follow a Adjusting to free that cash, net define that cash we investing $XXX shared cash operating normalized number story to as for million million. flow, operations of basis. similar be line. annual $XXX $XXX approximately million expectations discontinued flow flow to We a continuing

range turnaround business the for $XXX million anticipated and between of anticipate our into we $XXX million XXXX, similar For a investments given plan.

proof conducting second meet to the to in-person last face-to-face we've and Lastly, the view brand, of as points the provide hoping for and Day and that And also more Look many before. quarter, of this Investor than and and to outlook. our as decided leverage of coming push well half current We'll to XXXX, year. our reach details tangible it more distribution we exciting consumers to into given an the business, we COVID a and longer-term share trends, designed more underway to as in forward a comprehensive expand progress months. framework ever alluded initiatives look are strategy

further Looking business, a back, our access our and channels products rapidly enables financial operating sales changing we of strengthen Despite challenging product to to to categories. increasing us We well also held number future and of our a throughout supply by the entering firm and XXXX, consumer new growth. in of which conditions, while announced additional our foundation, Singapore. on to at we global center new core fortify a year continue refinanced executed and sold that for terms, important strengthen position and strategic assets capital non-core favorable opening our us chain very and sourcing initiatives plan debt our structure

We a are we business solid will capable that new consistent result believe and growth footing, in year durable execution stronger, long-term resilient sustainable of value. our the delivering on entering more and and

Instructions]. [Operator

from Anthony from Your first Lebiedzinski Sidoti. question comes

this Americas first, is force and divergence So there Asia going just the on? sales due numbers the fourth when Europe looking anything I at was to between at only quarter, Pacific. else and rather a look Is there Or wide the COVID?

Miguel. is Anthony, this

to Asia see and is going you with the in also big the market let's Mexico selling. reason difference, say, main we COVID. the headwind Mexico we're got EMEA, So a because in but Definitely, call leader direct

so been and in why the work So APAC. of much Mexico, and EMEA that have in see implemented good methods and you a that positive practices story and a we in lot different that's know Mexico

you. Got

China? can you terms as Is the to to do that looking stabilize us to in And there you're share know, Sandra, strategy stabilize there's to Okay. China, in then a else mentioned change anything you what of leadership. with I

Yes, absolutely.

the leader have of by an were of do entrepreneur opening China, there. outlets when it entrepreneurial we new new But it more around stores was So or obviously, type the letting we before, themselves.

providing obviously guidelines around develop we're Now us location the in to world the store. the to guess, very entrepreneur of professional a store, have look the of and hired the follow. retail best in those, to the the help guidance feel for We I

there have we and maximize have mentioned know China. outlook we're also small all appliances or know the traction e-commerce, in we're chances innovation, and more e-commerce elevate the -- a And everyone in least in the of doubling COVID. one China. part going in mostly success So it's big we as products Sandra the finally, so under of start we're stores conditions around her that the that Also biggest speech, an to of in to China, is -- of enabling a at -- And of that new through each is we operating -- in right? these kitchen outlets down that our lot is that

I then for question and you, last me. guess, Got

also little as going half give as far the more far us and very that timing That as a Or to channels, As be of of products sales color new strategy be year? that new you about bit just can would and product the is this pricing helpful. driven mostly with back your timing?

for sure Yes. these The -- year. the serves company, is half we're the company timing, and one in other just that ready get setting of channels. other foundation essence, to these we're word, a make that a new we're And second channels. in in building ready We're the

about think I asked you Anthony, too. pricing, And

going are stated. the to new actions products timing happen is in the the pricing Miguel first So but half, as channels and of

from from Doug Lane Lane next Research. comes Your question

you in-person Can in-person And does to down yet in still where on have you you we locked bit much end, front? yet? pretty look for you little talk that Or about are live Are meetings? that that XXXX are resuming meetings, a with how meetings that it hold towards able assuming anywhere?

Miguel. depends is together. going people some start We're Mexico so to in but basically, in attribute that we're full of But having we're going our It fact already. our in swing start success started We're and in and we QX Mexico, on. the this country, on Doug, QX, QX. already So that's intention. to starting the

Okay. sell an any there. you to Has have cash And Good. Mexico, going disclosed? a that Also terms assume I I that's be Fuller in to noticed agreement been deal.

Yes, Doug.

will commissions, that the forward. And it the a finalize sell March. of the an first and part and expect in to clearances we So are moving agreement deal. we under Fuller, cash need it's from that received competitive We've will that, yes, be we

Hortons down from what's deposit the what's And food container? any Canada? Okay. putting Tim give to That's So of -- a can the on us early venture the in then with helpful. receptivity just you a consumers learnings

but far in so that is stores. Yes. We're positive, so The we've of still phase. in far received so still a amount we're pilot But limited feedback good.

I'm multichannel -- force? more potential direct in in approach bit strategy, on to selling looking And so Okay. us and mind you're interested the you how keeping channel obviously you're markets color a like retail, going give then the you with your in conflict retail the mentioned U.S. just little sales Can

absolutely. Yes,

we're part So with a could the first you doing going is, it's that we that be collection. so of be a sub-brands, be Essentials. products to to Then we're products launch going is to another different one as obviously, Tupperware step going know, --

of going to retailer. X in the And selling. rest you're products to find or the find the X it in you're the direct going So collections,

developing know and the we're that plan they it. going brand some and make becomes so approach to to Also in is in in So leaders top force, that's to What sharing sales what's channels obviously, the how the found mind. both this the we sales coming how Tupperware be of all countries other synergistic. and with on we're force we're with conjunction trying

a able from sell to the product, old the to we because, purchase SKUs. to one and our be other used sellers whereas see go of that direct in market, catalog retail, the one customers we're over see the SKUs, in retailers, call products friend they they So to SKU going of buy to XXX they their carrying to then XX XX obviously, they

and some channel. these in cases, APAC, impact came countries, with those in X going In we direct are Mexico, and year, some the -- some in minimize channels happy of working we're Europe of it's did the our the So from And a to believe other already ones well. because sales combination direct into force, really no we that it selling in conflict. in very it's even around XX% last profits

excited about very that. we're So

one just And Okay. last thing.

You mentioned bit the figure. of BXB was $XX million in XXXX. And historically, a that's lumpy a been

above where you XXXX today, do that million? to from $XX at expect sit So level be of you or

We XX% absolutely. it above least at see number. that XX%, Yes,

Instructions]. [Operator

Linda from Davidson. Bolton-Weiser comes D.A. Your next from question

in couple expense? you're guidance housekeeping that rate us for assuming give But your estimate a interest EPS you tax XXXX? And things. what's of Just of can the an

Linda. Yes,

we So to presentation question we're the then in quoted regard the to we're to had the it's XX%, point. actually interest, new, in a at Previously, website. tax rate. upon second on assuming we high mid- based our mid- posted ranging but high XXs this And to at

of rates. the I expense has new we It's that think. been It's You around a into. half our interest interest difference can our entered where $XX-plus see about in agreements debt with trailing, just year, million

I missed in And I assuming half -- projections, in it, the currency growth the by currency given first a not? so or think growth still I'm down Okay. And year? maybe kind year, can the sales estimate the you for double mean, constant But you do have but of half. maybe digit full then and some second constant my for grow revenue

QX the talked international uncertainty percent it pricing because all impact continued the the U.S. We that Tupperware. on, Linda, changes, though Yes. thing with -- of We we better are will XX-plus things still one of that's much in impacts for we And into we're and that's volume. the getting that just of some the we of guide with not even exists about QX. to pandemic, the -- how do everybody, reminding had, chose

is and could their providing uncertainties sales did we number, sales feel are. more, us control a So cautious profitability where those we depending upon making expenses but a lot around of that more

we we so cash and do flow feel EPS in guidance And confident the provided. guidance

can certain color? the is actions? the give SKUs? through Is us are Can How of it you take Okay. will across the long like board? more certain And us pricing, just I the a you a little it flow give percentage a geographies? system? of little mean, it on color to in -- terms more Like, Is you it pricing

is this Miguel. Linda, Yes.

it's you to but So so want absolutely, of we of obviously price a price against in price in to remember market, to that effectively much, bunch find single And of towards obviously, of brand. pretty that balance, of going prices We'll going of want the inflation. we competitive -- of our accordingly. sure QX, to started of a we to products make a little pricing XX% to But we to a take we're least market at way rate always we're them, every of them QX. the in don't in and know the -- advantage it's take our But products QX. again, gross -- out through and be opportunistic, end across to the of portion quality board. that. have scenario. ourselves again, products. premium because And to We we're all We our a new XX% few But increasing literally are competition right? going grow around we're our new margins. that be We above to of them, And is there's very with pricing

on back want Yes. I question thing. And one that route to Linda, last just quickly and clarify

want comps do expect yourself. that the sales said half, to due we But the the back-end you it to actually to in tougher I do loaded. we think emphasize more first be

want did I make I that So emphasized. to sure

mistaken, launched not believe in had is update the I'm in the I just U.K. then an if how fourth already, quarter. you the give going? Can that you us And on U.K. Okay. in initiative

going as So it's said, We you QX. great. started, in

is in to Now But in -- X planned, major retailers, planned, not and as we the the we're DTR other everything a expanding. quarter or from in everything We are goes as the retailers only now. be also going if channels. in U.K. we're and going probably

of acceptance has strong, very it is Our and it's lot a with brand consumer. showing the that

just looking about. is as good everything we as thought So

are retailer in be the to you just So U.K. fourth in some clear, in the quarter.

products. Well, with limited very No. of amount but yes,

year. of this and sales material a You're meaningful QX see going QX towards to and probably

the Can you in which U.K. in? retailer you're say

know don't I sign the yet. we But... it. as think soon just last letter, we away, as we'll And let's fast. pretty just put But announce you'll it can

But the fourth I thought just in store you product the in the is that said quarter.

in the fourth You store said the in the quarter. product was

the in retail, market. few store that going The in no. is U.K. be one -- the So the the is physical to next is DTR well, The weeks.

going to just in and that's about the So be. the think major retailers U.K., we're where

Okay. still like, about for up Are was And are I I going curious the guess, resin Or cost. -- on then year-over-year? stabilized? guess also you, I resin cost just they

Yes.

a X-part it's So answer, Linda.

have to resin on down. to index there's and the also indices, the the factor, adders freight logistics the But of resin tied top which going cost the and been is predominantly the market. factors of get So then to the

the In the resin, So of what XXXX related it's to the a the in predominantly that top indices to happening happening as but indices. we it X% saw business. that impact logistics in pressures in comes XXXX, the on we into go was expect what tied and adders of are increase clearly was do the

throughout other sold, increase inflationary So around XX%. seeing, are on source more are goods also logistics inflationary on expecting Those then with and equates which our goods estimating, of we to of in with is an that what many in product, a are X% cost other sold. wages XX% X% more resin is increases that supply And in then factors total others we factors cost and and X% factories like than pressures nature. in XX% others things line to chain, freight And that we're that of and line around buy. increase up including going X.X% are cost what of about you with happening heard, of to probably our

X% XXXX. we look roughly as XX% to towards So

U.S. And launch. one on more the just Okay. question retail

of I about think of retail? about you Did said So in like number items very you are you a talking the few talking at Are whole half. you of couple SKUs? just range a second items? a say just

of that at. in our to way -- about strong pretty the SKUs, of different many. expand very much categories. going you this the in We're presence -- talking it, that first We're categories the into know we U.S., specific And we're major in one step is retailers that and the that with -- then XX category to the see

There Fernandez. is turn over like now to Miguel no the further would questions call at time. I this to

for new that foundation half to to of enter year closing, our execute enter but our in unprecedented turnaround the categories our challenges, the investments us continue our necessary enable of transformation. In fundamental was making on progress you. against our consumer and iconic of a to Thank products. a plan, and second channels access XXXX we and will changes turnaround into increase and year We're product proud strong

Our business goal to to and today, your is have to you. I soon. forward confidence as for in pretty time I big to make brand, you look our and our ability achieve Thank this as Thank that. speaking you

conference Thank today's all joining. call. concludes This for you

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