Church & Dwight Co., Inc. Barclays Global Consumer Staples Conference

All right. Thanks, Lauren. She is right. We have a lot of slides to get through. It is always good to set a new record each and every time we come to Boston. All right. First and foremost, here is our safe harbor statement. Please take the time to read this. We do have forward-looking statements on our website. Okay, who we are. Our evergreen model is alive and well. I am especially pleased that in 2026, despite the volatile world that we live in, we have been able to have an outlook that encompasses the organic sales growth, evergreen model, and adjusted EPS growth. Fantastic. Remember, this is the output. There are so many things that go into this that make this work. It is our productivity program, it is our innovation program, it is the way our sales and marketing teams go to market.

Lee will go through this a bit more, but just really, really pleased with how we have hit our evergreen model this year. We have strong performance over a long period of time, whether it is 10 years, 5 years, 3 years, 1 year for TSR. We are typically industry-leading. Last year, we took a step back, like many in the industry did. This year, we are taking a big step forward. How do we do that? We have talked about this briefly before, but what makes Church & Dwight unique and different? One of the things is we do our organic growth fantastically well, right? We have the ability to identify, acquire, integrate, and grow acquisitions. We can do both. If you look at net sales up and to the right over the last 20 years, same thing with earnings, same thing with free cash flow, up and to the right.

Organic growth that entire time has been about a 4% CAGR. We can do both of those well, and it creates value. We are a $6.2 billion company, about three-quarters in the U.S., 18% international, and 5% for SPD. We have seven power brands, and those seven make up 75% of our sales and profits. That is why we talk about those more than any others. We have a winning formula, a balanced and diversified portfolio. We typically do well in any economic environment. Low private label exposure. It was low previously. Now it is even lower. Online success, strong, consistent, category-leading innovation, and we are an acquisitive company.

About half of our business is household, half of it is personal care, about a third of it's value, two-thirds of it's premium. We do well in most economic environments. Low private label exposure, I think, really, if you take a big step back, one of the threats to consumer goods and really food, different industries, is the rise of, I don't even call it private label, I call it store brands. The good news for us, we were industry leading with our weighted average exposure being around 11% or 12% for many, many years. After we sold our vitamin business, that dropped all the way down to 5%. We are positioned well versus the rest of the industry against private label. Number three, online success. We've gone from laggard to leader, 2% of sales back in 2016.

Now 25% of our consumer sales are sold online. Strong, consistent, category-leading innovation across categories. TheraBreath toothpaste, Hero cleansers, Arm & Hammer laundry, cat litter, stain fighters, Trojan. Just a really broad base of category-leading innovation, and that is why we tend to get great distribution points. This year, we were number two across the entire industry on distribution points gained. A big reason for that was our innovation pipeline. We're an acquisitive company. We really do. We have an ability and a competency of identifying, acquiring, integrating, and growing brands. Many companies want that strategy, but we have decades of experience doing it. We want primarily number one or number two share brands.

We want high growth, high margin brands that are fast-moving consumables, asset light, and we want to leverage our internal Church & Dwight manufacturing, logistics, and procurement capabilities, and we also want to deliver sustainable competitive advantage. We've gone from about a $1.5 billion company back in 2004 to a $6.2 billion, $6.3 billion company today. I wanted to provide a brief update today on our most recent acquisition, which is Miss Mouth. This is a broad spectrum of brands, right? We have a portfolio for Miss Mouth. We have sprays, we have refills, we have pens, wipes, shoe cleaner, and laundry detergent as a small business. We just think this is such a fantastic brand. Look at household penetration. Miss Mouth is 2.5% household penetrated. 50% is the category. 25% is OxiClean. We just have a lot of room to run. Distribution points, similar story. It was really only distributed online a year ago.

Now it's in two other bricks-and-mortar retailers, but we really believe we can use our distribution muscle to help expand this to other classes of trade. It has a great category story, not just for retailers, but for consumers. It's growing the stain fighter category. Category's up 10%. It's because Miss Mouth is up around 50%. Here's the point about bricks and mortar. It's been largely incremental as we've expanded this business. A year ago, it was only in one online retailer. Today, it's in three. It's actually a 13 share at one retailer already. Look, this is a real problem solution brand.

When we were doing diligence on this business, we came across this video that they shared with us, and over 25 million views. I just want to share this magic moment on this mount. Please roll the video. All right.