Tupperware Brands Corporation released its financial results for the first quarter of 2021, announcing net sales of $460.3 million, an increase of 22% over last year. The company’s EBITDA increased 551% to $88.6 million, compared to $13.6 million in the first quarter of 2020.
“The strong financial performance this quarter is a concrete example that we are strengthening the foundation of our company,” said Miguel Fernandez, President and Chief Executive Officer of Tupperware Brands. “We continue to revitalize the brand through the expanded use of digital tools by our sales force to solve consumer needs. Additionally, we have made great progress building the team needed to accelerate growth in new channels of distribution so more consumers have access to our environmentally-friendly, reusable products.”
North America was the strongest segment for the company, with net sales of $146.5 million, followed by Europe ($126.8 million), Asia Pacific ($125.3 million), and South America ($61.6 million).
Tupperware’s previously announced turnaround plan is reportedly still on track. The company said that it continues to be in compliance with its financial covenants required by its credit agreement, and has a debt-to-debt covenant EBITDA ratio of 2.36 versus 5.36 in the first quarter of last year. Cash and cash equivalents totaled $154.8 million, versus $139.1 million reported at the end of last year.
“Our cash earnings in the first quarter illustrate the benefits of the ongoing turnaround plan, which is creating a more profitable company,” said Sandra Harris, Tupperware Brands Chief Financial Officer and Chief Operating Officer. “Additionally, the sale of non-core assets resulted in a sizeable reduction of our debt, consistent with our capital allocation policy, resulting in a prospective fifty-basis-point interest rate reduction.”