Church & Dwight Co., Inc. (CHD) CEO Matt Farrell on Q1 2022 Results - Earnings Call Transcript

Church & Dwight Co., Inc. (NYSE:CHD) Q1 2022 Earnings Conference Call April 28, 2022 10:00 AM ET

Company Participants

Matt Farrell - Chief Executive Officer

Rick Dierker - Chief Financial Officer

Conference Call Participants

Kevin Grundy - Jefferies

Bill Chappell - Truist

Dara Mohsenian - Morgan Stanley

Rupesh Parikh - Oppenheimer

Jason English - Goldman Sachs

Chris Carey - Wells Fargo

Olivia Tong - Raymond James

Andrea Teixeira - JPMorgan

Lauren Lieberman - Barclays

Steve Powers - Deutsche Bank

Peter Grom - UBS

Wendy Nicholson - Citi

Operator

Good morning ladies and gentlemen and welcome to the Church & Dwight First Quarter 2022 Earnings Conference Call. Before we begin, I have been asked to remind you that on this call the company's management may make forward-looking statements regarding among other things the company's financial objectives and forecasts. These statements are subject to risks and uncertainties and other factors that are described in detail in the company's SEC filings.

I would now like to introduce your host for today's call Mr. Matt Farrell, Chief Executive Officer of Church & Dwight. Please go ahead sir.

Matt Farrell

Okay. Good morning everyone. Thanks for joining us today. I'll begin with a review of the Q1 results. And then I'll turn the call over to Rick Dierker our CFO. And when Rick is done, we'll open the call for questions.

Q1 was a solid quarter for us. Reported revenue was up 4.7%, organic sales grew 2.7%, and we exceeded our 1% to 2% Q1 outlook for organic growth. The adjusted EPS was $0.83 and that's $0.08 better than our outlook. We grew consumption in 11 of the 17 categories in which we compete and in some cases on top of big consumption gains last year. This is remarkable as our low fill rates held back our consumption. The good news is April fill rates across many categories are now mid to high 80s and improving.

Regarding brand performance our brands saw a double-digit consumption growth in seven of those categories and I'll name them for you. ARM & HAMMER Scent Boosters, ARM & HAMMER Baking Soda, ARM & HAMMER Clumping Litter, BATISTE dry shampoo, WATERPIK, Water Flossers, ZICAM zinc supplements, and THERABREATH mouthwash.

In Q1 online sales as a percentage of total sales was 16%. Our online sales increased 2.6% year-over-year. Now, keep in mind, this is on top of 53% growth in e-commerce that we experienced last year in Q1 versus 2020. We continue to expect online sales for the full year to be above 15% as a percentage of total sales.