Hain Celestial to cut 30% of North American SKUs in streamlining push 

USA – Hain Celestial has announced plans to eliminate around 30% of its stock-keeping units (SKUs) in North America as part of a major simplification and turnaround strategy for its largest market. 

Interim President and CEO Alison Lewis outlined the decision while presenting the company’s first-quarter results, emphasizing that the move aligns with efforts to “stabilize” operations and refocus resources on profitable brands. 

“We remain committed to building a winning, simpler portfolio by exiting unprofitable or low-margin tail SKUs,” Lewis said during an investor call. “Our goal is to refocus resources on brands and categories with the highest growth and margin potential.” 

Lewis noted that the planned SKU reduction, expected to be completed by fiscal 2027, will allow Hain Celestial to improve supply chain efficiency and shelf productivity.  

The company operates across several categories, including snacks, meal preparation, baby foods, beverages, and personal-care products, though it did not specify which brands or lines would be affected. 

“We have implemented a disciplined portfolio management review process designed to continuously assess, add, or retire SKUs,” she added, explaining that the new system would ensure ongoing optimization without reliance on large one-time rationalization efforts. 

Lewis, who took over after the departure of Wendy Davidson in May, continues efforts initiated under Davidson’s leadership. During her brief tenure, Davidson sold the ParmCrisps and Thinsters snack brands but ruled out divesting the personal-care business.  

She had also committed to removing lower-margin SKUs as part of the Hain Reimagine transformation initiative, continuing a program started by former CEO Mark Schiller. 

Despite these initiatives, Hain Celestial’s share price has fallen about 80% in 2025, pressured by declining sales and profits. 

“Our near-term priorities remain clear: stabilizing sales, improving profitability, optimizing cash, and deleveraging our balance sheet,” Lewis said, highlighting the company’s focus on operational efficiency. 

For the first quarter ending 30 September, Hain Celestial reported a net loss of US$21 million, compared to a US$20 million loss in the same period last year. Adjusted net loss stood at US$7 million, while adjusted EBITDA came in at US$20 million, slightly down from US$22 million. 

Sales fell 7% to US$368 million, with organic sales down 6%, driven by a seven-point decline in volume and a one-point increase from pricing. 

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