ACCO Brands Sales Forecast Decline

ACCO Brands, a consumer products company, experienced a sharp decline in its stock value after predicting a further decrease in sales for the year 2024. The company's shares plummeted by 16% to $5.41 on Friday, despite still maintaining an overall increase of about 4% over the past three months.

Sales Projection and Analyst Expectations

The forecast provided by ACCO Brands indicates a projected decline of 2% to 5% in sales for 2024, citing uncertainties surrounding the demand for its products. Analysts surveyed by FactSet anticipate a full-year sales figure of $1.86 billion, reflecting a modest 1.6% growth from the previous year.

Profit Outlook and Financial Performance

ACCO Brands anticipates reporting an adjusted profit ranging from $1.07 to $1.11 per share for 2024, falling short of the analyst consensus of $1.20 per share as per FactSet's data.

The company, headquartered in Lake Zurich, Illinois, attributed the decline in sales during the fourth quarter to weakened demand stemming from a less favorable macroeconomic environment. Despite exceeding analyst expectations with sales of $488.6 million (against the projected $476.4 million), ACCO recorded a loss of $59.4 million (equivalent to 62 cents per share) during the same period, marking a significant shift from the prior year's profit of $18.8 million (or 20 cents per share).