Perrigo reported third-quarter 2026 net sales of $989 million, down 5.2% from a year earlier, and a GAAP net loss of $27.5 million. The company cut its Core full-year 2026 adjusted EPS outlook to $2.15 to $2.35 from $2.25 to $2.55, citing softer consumer demand, retailer inventory positioning and Europe. It also agreed to sell its Infant Formula business for up to $175 million and expects a $275 million to $375 million impairment loss in the fourth quarter.
All In adjusted diluted EPS was $0.60 versus $0.80 a year earlier, down 25.0%; Core adjusted EPS was $0.61, down 9.0%.
Full-year 2026 Core adjusted EPS outlook is $2.15 to $2.35, down from $2.25 to $2.55; All In outlook is $2.25 to $2.45, up from $2.00 to $2.30 and reflects the Infant Formula divestiture.
Infant Formula sale carries $40 million in upfront cash at closing plus up to $135 million contingent on net sales milestones through 2030.
Expected impairment loss of $275 million to $375 million to be recognized in the fourth quarter of 2026.
Perrigo agreed to sell its Infant Formula business to MeridianMade for total consideration of up to $175 million, including $40 million in cash at closing and up to $135 million contingent on performance milestones through 2030. The company expects a non-cash impairment charge of $275 million to $375 million in the fourth quarter of 2026, and says the deal should enhance its margin profile and significantly reduce future capital expenditures.
Total consideration of up to $175 million: $40 million cash at closing plus up to $135 million contingent on milestones through 2030
Expected non-cash impairment charge of $275 million to $375 million in the fourth quarter of 2026
In the trailing four quarters ended June 27, 2026, Infant Formula generated net sales of $380 million and segment adjusted operating income of $8 million
Closing is expected in the first half of 2027, subject to customary closing conditions and regulatory approvals
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