Kenvue Inc

**Organic Growth In Q3**: Kenvue reported a year-over-year organic growth of 0.9%, down from 3.6% in the previous year. This reflects challenges in several categories, particularly in Skin Health and Beauty and a slower recovery in Self Care. The company is adjusting its 2024 growth forecast towards the low end of its previous guidance of 2% to 4% due to these pressures.

**Challenges in Key Segments**: The company highlighted ongoing difficulties such as low incidence of allergy and pediatric fever cases, decelerating demand in the Skin Health category, and challenging consumer conditions in China. These external factors have hampered growth across their key segments, particularly in the U.S.

**Operational Transformations and Cost Efficiencies**: Kenvue is focused on significant operational efficiencies and reported an adjusted gross margin improvement of 130 basis points year-over-year to 60.7%. The company is targeting $350 million in annual savings by 2026 through the “Our Vue Forward” initiative and is successfully exiting transitional service agreements with its former parent company, which is expected to continue to improve operational effectiveness.