Helen of Troy Ltd., the consumer-goods conglomerate behind brands such as OXO, Osprey and Vicks, will slash about 10% of its global staff in a restructuring.
(Bloomberg) — Helen of Troy Ltd., the consumer-goods conglomerate behind brands such as OXO, Osprey and Vicks, will slash about 10% of its global staff in a restructuring.
The company, which had 2,146 workers as of February, announced the cuts along with fiscal third-quarter earnings on Thursday. As part of the changes, the Beauty business will be combined with the Health & Wellness division and operations and finance functions will be centralized. Most of the reductions in roles will be completed by March 1. The moves follow the company announcing its “Project Pegasus” restructuring plan in October.
US companies are increasingly laying off workers amid concern that the world’s largest economy is headed for a recession, with Amazon.com Inc. being the most recent example, but it’s not just the tech sector: PepsiCo Inc. last month was reported to be trimming its workforce. Footwear maker Wolverine World Wide Inc. is also reducing headcount.
Helen of Troy’s quarterly results beat estimates, and management narrowed annual sales and profit forecasts to the high end of previous guidance. The company is seeing lower consumer demand for its organic business, including a decline in sales in the hair appliance category, and reduced orders from retail customers due to higher trade inventory levels.
Shares of Helen of Troy, which is based in El Paso, Texas, fell as much as 7.2% in Thursday trading. They dropped 55% in 2022.
(Updates shares and adds details on corporate layoffs)
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