Good everyone. morning,
were somewhat results quarter fourth Our mixed.
our from the orders two flow sales cash of expectations, weeks last were resulted December, lower. month. Our was our than The in lower-than-expected especially free the sales softer in but higher and earnings revised
EPS which higher by from Our were to the impact adverse rate, due earnings tax adjusted anticipated, reduced the $X.XX. lower than
Our four and but the in year performance in this in in on focus improvements results new Sales year. performance, and on management for International, main actions this caused had were take we financial will to spent office will our time excellent comments me is had of significant total. the down XXXX, year were with morning U.S. My profits also team. the response. an also mixed we will years a we behind the I of and and U.S. strategy sales the I begin taken to to Prior have profit in for will declines, moderate the disappointing saw with and and XXXX, was comment U.S., drivers since describe our on our EMEA. my superstore straight my in on largely where degradation consolidation. most the our business the by which
years. Our and Office superstores, were associated largely growth transitions, retail did wholesalers closed stable in managing locations great office they mass channels, those as to with team a channel relatively e-tail reduced sales distribution job the offsetting independents consolidation, over and centers. and and
range that X% been in our with side, and explained merger actions the the in than were would Without be due was throughout and U.S. in year difference XXXX preceding the global the prior to the can have have of by their a I years? declined drove On especially wholesalers. was It of productivity. and U.S. and sales the profitability that Two side, affected to what wholesalers. But lost X%, significantly U.S. sales, in two largely buying so with office X% sales revenue merger most in were QX, the in in we business year December, and in U.S. increases, the other that, dealer of their the community, is impacted improvements as were mild products XXXX. share years They sales was two created the sales. U.S. to reductions profit around better through of we decline U.S. decline office consistent seen able major prepare well four drive cost for sales planning years. factors roughly improvements independent inflation earlier. cost the business, the our especially total these price our no that in end improvements XXXX, that during mentioned merger, uncertainty to planning On different and as ahead our as significant organic recent about
sales wholesalers U.S. margin lower year, well by as the especially higher sales back-to-school, products, of or the planning in QX. and lower Our half to also as and was in dollar gross especially office impacted sales second stores independents, of to
up materials On the side, beginning major transportation fuel, in costs saw logistics and cost increases double-digits levels. the XXXX steel, from spring we of and XXXX raw with paper, the in
approximately to one between our It customers prices, give we and in three our increase ability million, tariffs our and notice decision the In to continued year. to in the a typically to industry for to months months so there’s imports implement. inflation in, addition, six to began lag tariffs for our a to normal April, price is five, and increases, time experience beginning added $XX Chinese All progressive through that in year. cost increase
U.S., based that in we to offset available October, price the latest enough rapidly cost of time in not possible result, one in implement pricing fast costs. the rising the in As to increased experienced inflationary the U.S. environment, We at prices information the such fully was on increases notification. in a it but the XXXX was raised a the as
end recover rising of new went tariffs kept increases enough the September, into As at place and costs to October weren’t margins.
in in should today, prices last fully tariffs in We as the again within stay of year year’s oscillate other the U.S. cost ranges, we expected the and are raising if And recover they and most this beginning countries. January U.S. are commodities increases.
on increase prices U.S. tariffs in on And the raise we a already that beginning March. effective immediately As to products notified that possibility Chinese we customers know, the you in U.S. if our plan happens, imports have there’s will further that
taken several actions costs U.S. also in the operating have to our reduce We
In last cost $X addition we to our reducing in quarter, U.S. million associated headcount. communicated reductions ongoing productivity initiatives, with
the which expect U.S., million, moderate will realize reduce This our deliver now XXXX. structural in U.S. $XX the well expanding are plans to as new we reductions and in of $X structural the both We expect declines profitability and as to mostly we other XXXX. improved to costs headcount, these in efficiencies. total includes cost by which improved In flat another actions to manufacturing million, brings sales
we In U.S. environment the channel remain to of expect sales, terms difficult.
directly from We wholesaler/independent with The months with us. independent is launched with a roughly e-tailers ago, be program dealers sales XXXX. dealer to expect in price to and flat. of incentivize we to few buy results to dealers and the program are superstores. to purpose positive, The independent very initial the from competitive make activation dealers A continue program we more plan
XXXX. back-to-school office X% superstores We mostly decline and sales offset sales early expected their to customer expect information, be XXXX to expect channels. e-tail, but we back-to-school in grew to decline, continue by last growth to mass, year comparable We tech based is on growth and to be
U.S. and towards consumer-centric increasingly our results. We an continue is brands, categories of reorient important and to portfolio our back-to-school part
and channel, computer In grew through in the X% tech growth, continue their the we this U.S., last year will year. believe accessories addition, Kensington
label Turning growth and offsetting great especially now in results Shredders, in sales sales, strong declines the were branded to private broad computer a approximately Rexel that Comparable up and with the customer. art Kensington of EMEA, we in growth accessories, pencils. Derwent region, XXXX. had segment with had throughout X%, of significant insolvency products We
continued product sales momentum. to for EMEA in which We have we expanded expect listings XXXX, positive drive
cost our and we margins substantial realized merger the synergies Beyond pleased for the were in Esselte very up sales results with significantly. from growth, year I’m with EMEA.
region. the throughout strategically well positioned are We
have Our low-single execution year optimistic of very further and I’m strong, is to sales growth organic profit and expansion. digit another
international growth sales we major economy. in a slow Brazil, this large throughout remaining Australia start Mexico challenging. customers year GDP improved comparable Brazil a Selling was had had the every the high-single strategy. but especially a forecasted customer solid inventory We and to throughout another strong, sellout as confidence had a year, season year. trends for has two merged, for more increase. up digits, year, but improved improvement with Our season. despite difficult and the post-election, back-to-school our in to comparable environment half, the are was performance sales conservative is management the saw year, hoping quarter despite difficult outstanding first implementing a we sequential sales with in Business very mixed,
business six On XXXX. believe the months pleased for our strong in growth hand, the the with we’re from and acquisition, GOBA Mexican initial other positioned is combined very
altogether, half, in is growth first momentum QX. difficult digit expect we improving but growth mid-single international, a in also Asia QX and had and in There stronger XXXX.
the shifting products, geographies we last years, Now more have organic towards through and to value-added review several strategy, our more been brands, our a and customer faster-growing initiatives stronger acquisitions base. diversified business over
mature cost channels. improvements with with We ongoing and these reductions investments productivity in especially complemented and countries, have initiatives, more declining
cash We’ll drive Neal million the the complementary million and our our the aggressive XXXX balanced in to reorient in in result a categories to but we business from our initiating We’ll business cash reposition cost this with shareholders were in including share channels, I We continue review our returned of As XXXX, years, reward and $XXX return product our strategy, stronger longer-term our million brands, year. free productivity we In we’ll last grow and faster-growing to our towards continue acquisitions. appropriate, $XXX to our XXXX as and our have million discuss revenues dividend to total, and right strategy and program will company. continue a free and flow business of for initiatives we shareholders. over some way shareholders, both last organically to and in repurchase $XXX cash expectations. to guidance, our believe flow to $XXX a scale through XXXX. will XXXX a use X.X geographies, able
Beyond range top expect the of X% place to to XXXX, in have today, based company deliver annually. growth in on the line X% we strategies we compounded our
to growth We This in and our range. X%. offset X% to North in XX% which to company driven be mid-XX% the X% down the year continue be being remain flat confident growth and by summary, SG&A expect will anticipate about our the to in in XXXX, growth this in In We to challenging we and EMEA, range, XX% for X% despite growth. margin international. a position gross X% should to America, a future
With helpful. mentioned investor our hand into granularity which the business Neal, I Jennifer beginning updated of of the targets, our to we at that, presentation section strategy provides details have to and quarter. we developed will an IR available give long-term you more that in our hope you this over As find will it call, on more website, and
