By Dhirendra Tripathi

Investing.com – Energizer Holdings stock (NYSE:) traded 2.4% higher Monday after the company maintained its annual outlook despite rising cost pressures.

The first quarter sales declined slightly to $846 Million, while the costs increased.

“We continue to see escalating input cost pressures in transportation, labor and materials, and remain focused on offsetting them through additional pricing and ongoing cost controls,” Chief Executive Officer Mark LaVigne said in a company statement.

From a year earlier, the gross margin fell by 3.2 percent to 37.5% because of higher operating expenses including transport costs and material. The margin erosion was limited by the price rises in auto and battery, as well as elimination of Covid-19 expenses from prior years. Advertising and promotions expenses increased.

The fiscal first quarter’s revenue was $1.03, compared with $1.17 in last year. However, it was higher than estimates.

According to the company, net sales for this year were $2.75 Billion. Current-year sales are expected to remain flat at about $2.5 billion. An adjusted profit per share of $3.30 to $3.30 is expected, as opposed to the $3.48 reported last year. At the midpoint of its guidance, adjusted EBITDA will be at $575 million.