Company: PRGO
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0001585364-25-000156
Chunk: 233

Company: PERRIGO Co plc
Filing Date: 2025-11-05
Form: 10-Q
Item: Item 15
Chunk 233
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8 million decreased 6.2% due primarily to lost distribution of lower margin products and the absence of Plackers® dental flossers promotions compared to the prior year.

•Skin Care: Net sales of $58.9 million increased 13.3% due primarily to higher consumption within the Minoxidil franchise and new distribution, in addition to higher net sales of Mederma®.

•Women's Health: Net sales of $19.0 million increased 5.6% due primarily to higher net sales of Opill®.

•VMS and Other: Net sales of $4.3 million increased 2.4% due primarily to volume decline in the VMS category.

Operating income decreased $7.5 million, or 7.3%, due primarily to:

•$13.8 million decrease in gross profit due primarily to lower net sales volumes flow through driven by the Nutrition category, partially offset by favorable impacts from lower materials inflation and benefits from Supply Chain Reinvention. Gross profit as a percentage of net sales decreased 90 basis points compared to the prior year due primarily to the same factors that drove gross profit, in addition to less favorable store brand product mix compared to the prior year quarter.

•$6.3 million decrease in operating expenses driven by reduced administrative costs of $6.6 million due primarily to lower variable employee expenses, partially offset by higher restructuring costs associated with Project Energize and Nutrition Network Optimization.

Nine Month Comparison

 Nine Months Ended(in millions, except percentages)September 27, 2025September 28, 2024Net sales$1,888.3 $1,949.5 Gross profit$568.4 $562.6 Gross profit %30.1 %28.9 %Operating income$203.7 $187.1 Operating income %10.8 %9.6 %

Net sales decreased $61.2 million, or 3.1%, due primarily to:

•$60.6 million decrease, or 3.1%, due primarily to unfavorable impacts across multiple U.S. OTC businesses due to soft category consumption and a prior year benefit in the Women's Health category of $15.0 million from initial retailer stocking of Opill® which launched at the end of the first quarter in the prior year. These were partially offset by higher net sales in the Upper Respiratory category of $20.3 million due primarily to higher first