Prestige Forecasts 2027 Organic Growth, Posts $246M Cash Flow to Fund Acquisitions
Prestige expects organic growth to return in fiscal 2027 driven by improved eye care shipments and new launches like Fleet Mini Enema. It generated $246 million in free cash flow in fiscal 2026 to back acquisitions of Pillar 5, Breathe Right and Lacorium despite a 4% revenue decline.
1. Fiscal 2026 Performance
Prestige reported a 4% full-year revenue decline in fiscal 2026 due to a challenging consumer environment and global conflicts. Adjusted EPS fell in line with sales, but the company still generated $246 million of free cash flow, bolstering its balance sheet.
2. Growth Outlook for Fiscal 2027
The company anticipates a rebound to organic growth next year, driven by improving eye care shipment trends and solid consumption across its diversified portfolio. Management highlighted upcoming product innovations such as Fleet Mini Enema and Compound W Skin Tag Remover as key contributors.
3. Strategic Investments and Acquisitions
Prestige is investing in eye care capabilities through its Pillar 5 acquisition and plans to integrate Lacorium Health via its Australian and U.S. channels. Pending deals for Breathe Right and Lacorium aim to expand brand presence internationally and achieve cost synergies.
4. Supply Chain and Portfolio Risks
Despite the growth outlook, Prestige cautions that eye care supply chain volatility may continue to disrupt shipments. The company faces macroeconomic headwinds, including high inflation and geopolitical tensions, which could pressure near-term performance.