Listen to this articleThe basics:
- Hain Celestial reports $531M net loss for fiscal 2025
- Sales dropped 10% year over year to $1.56 billion
- Interim CEO Alison Lewis outlines turnaround strategy
- Plans include portfolio cuts, debt repayment and innovation push
Hain Celestial says it is taking steps to shore up its business amid a prolonged slowdown in sales and widening losses.
After reporting that sales fell 10% year over year to $1.56 billion, the Hoboken-based consumer packaged goods giant said it is taking several steps, such as streamlining its portfolio by exiting or selling unprofitable businesses as well as scaling back offerings.
Hain reported a $531 million net loss for the 2025 fiscal year, according to fourth quarter and 2025 fiscal year results released Sept. 15, a significant jump from $75 million in the previous year.
Hitting reset
Once a leader in the better-for-you space, Hain continues to face competition in recent years from larger consumer packaged goods companies, like Nestle and General Mills. It’s also come up against headwinds such as inflation, supply chain disruptions and the pandemic.
Founded in 1993, Hain has a vast portfolio of natural foods and beverages, as well as botanically-based personal care products. Banners include Celestial Seasonings tea, Garden of Eatin’ snacks, Terra chips, Garden Veggies Snacks, Earth’s Best baby foods, Greek Gods yogurt, Covent Garden soups, Live Clean personal care products and Alba Botanica natural sun care.
In a statement, Hain interim CEO Alison Lewis said, “We are taking decisive action to optimize cash, deleverage our balance sheet, stabilize sales and improve profitability as we recognize our performance has not met expectations. By rapidly resetting our cost structure to better align with the current business, we are creating greater financial flexibility.”
“With this reset, we are implementing a leaner, more nimble regional operating model that prioritizes speed, simplicity and impact over global infrastructure,” she said.
‘Strengthening our financial health’
The move comes four months after Hain announced the departure of former CEO Wendy Davidson. Along with naming Lewis as an interim replacement, Hain said it was conducting a “comprehensive review” of its portfolio and weighing “a broad range of strategic options to enhance value.”
Under the plan announced this week, Lewis said Hain will focus on “aggressively streamlining our portfolio, accelerating innovation, implementing pricing along with revenue growth management, driving productivity and working capital efficiency, and enhancing digital capabilities.”
“We are swiftly taking action to stabilize our business while delivering cash and repaying debt, strengthening our financial health,” she said.
It also marks a ramp-up of the company’s ongoing turnaround campaign. Shortly after relocating from New York to New Jersey two years ago, Davidson unveiled a multiyear transformation strategy to get the business headed in the right direction. Through that program, Hain targeted $130 million to $150 million of annualized savings by fiscal year 2027.
In support of the goal, Hain said it refreshed the C-suite, paid down some debt, increased marketing, doubled down in innovation and sold non-core brands, like Thinsters and ParmCrisps. The company also said it was exploring a possible sale of its personal care business to concentrate further on food and beverages.
Not enough
However, Hain’s financial situation has worsened despite these efforts.
In a Sept. 15 earnings call, Chief Financial Officer Lee Boyce said the company wouldn’t provide guidance for its fiscal 2026 due to uncertainty around the outcome and timing of its strategic review.
We are swiftly taking action to stabilize our business while delivering cash and repaying debt, strengthening our financial health.
– Alison Lewis, Hain Celestial interim CEO
For the quarter ending June 30, 2025, Hain had a loss of $273 million, compared with $3 million during the same period last year.
According to Hain, much of that loss came from a non-cash goodwill/intangible assets impairment charge of $252 million. Net sales dropped to $363 million, down 13% from $419 million in the same period the year before.
According to its website, Hain has more than 2,800 employees globally and has products marketed and sold in more than 75 countries.
