Company: PRGO
Filing Date: 2025-05-07
Form Type: 10-Q
Source: 0001585364-25-000056
Chunk: 140

Company: PERRIGO Co plc
Filing Date: 2025-05-07
Form: 10-Q
Item: Part II, Item 1
Chunk 140
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 higher incidence levels of cough cold compared to the prior year quarter. In addition, growth in allergy products, including Beconase® and store brand allergy offerings, also added to growth.   

•Healthy Lifestyle: Net sales of $66.6 million increased 3.1%, inclusive of a 4.5% unfavorable effect of currency translation, as strong momentum behind smoking cessation brand NiQuitin® were more than offset by lower category consumption in weight loss, impacting XLS Medical®, and parasites. 

•Pain & Sleep-Aids: Net sales of $53.6 million increased 4.3%, inclusive of a 0.9% unfavorable effect of currency translation, as higher net sales of Solpadeine®, due primarily to improved supply, were partially offset by 3.7% from divested businesses and exited product lines. 

•VMS: Net sales of $37.7 million decreased 15.5%, inclusive of a 2.6% unfavorable effect of currency translation, due primarily to deprioritization of the nutraceuticals portfolio. 

•Women's Health: Net sales of $32.4 million increased 1.3%, inclusive of a 2.9% unfavorable effect of currency translation, due primarily to higher net sales of contraceptive products including ellaOne®, driven by market share gains.

•Oral Care: Net sales of $22.5 million decreased 21.6%, inclusive of a 1.5% unfavorable effect of currency translation, due primarily to lower net sales of store brand products.

•Digestive Health and Other: Net sales of $25.5 million decreased 22.3%, inclusive of a 1.5% unfavorable effect of currency translation, primarily due to the divestiture of the HRA Pharma Rare Diseases Business, which was partially offset by higher net sales of store brand digestive health products.

Operating income increased $13.1 million, or 49.4%, due primarily to:

•$12.0 million decrease in gross profit due primarily to the impact of the divested Rare Diseases and Hospital and Specialty Businesses of $11.8 million, as well as unfavorable impacts of $8.2 million from materials inflation and $5.8 million from unfavorable foreign currency translation. These factors were partially offset by strategic pricing actions and improved supply of key products. Gross profit as a percentage of net sales decreased 120 basis points compared to the prior year due to the same factors impacting gross profit