Hoboken-based Newell Brands, which has been reshaping its portfolio over the past year, announced Friday that it would be retaining its Rubbermaid Commercial Products business, which it had previously intended to sell.
As part of its second-quarter earnings report, the consumer goods company said it would keep the unit, which includes Rubbermaid Outdoor, Closet, Refuse and Garage business lines, because of its strong performance.
“The decision to keep the business was based on the strength of the Rubbermaid Commercial Products brand, its competitive position in a large and growing category and its track record of strong cash flow generation, sales growth and strong margins that will further enhance the value creation opportunity for Newell Brands,” the company said in its earnings release. “Beginning in the third quarter, the financial results of the Rubbermaid Commercial Products business will be reflected in continuing operations, rather than recorded in discontinued operations.”
The company said other assets intended for sale, including U.S. Playing Cards, Mapa/Spontex and Quickie, are still expected to be divested by year-end.
“While still early in the organization’s turnaround, we believe our decisive and strategic actions to strengthen our performance will drive further improvement going forward, as we work to transform Newell Brands into a leading next-generation consumer products company,” interim CEO and Chief Financial Officer Chris Peterson said in a prepared statement.