Tupperware relied on social gatherings in the mid-20th century for explosive growth. In the 21st century, it’s social distancing that drives sales.
The pain in the restaurant has turned into Tupperware’s win as millions of people reopen cookbooks and seek solutions to leftovers in a pandemic. They found it again in Tupperware, suddenly an “it brand” five decades after the seemingly glorious days.
The company appeared to be life sustaining, posting negative revenue growth for five of the past six years, a trend that appeared to be accelerating this year.
Then the pandemic struck.
Last quarter earnings quadrupled to $ 34.4 million, Tupperware reported on Wednesday.
The explosion in sales took almost everyone by surprise, and Tupperware Brands shares, which had risen since April, rose 40 percent to a new year high. Share that could be had for around $ 1 in March, closed on Wednesday $ 30.
Tupperware is different from most other companies that thrived in the pandemic. Unlike Netflix, Amazon, Peloton, or even DraftKings, no high-tech platform is required.
It is certainly not alone, however, as the pandemic is bending how we may be spending our time faster than at any point in our lives. On Monday, toy maker Hasbro said its games division said that includes board games like Monopoly, saw sales jump 21 percent.
On Wednesday, Tupperware reported quarterly adjusted earnings of $ 1.20 per share, three times what Wall Street expected. Revenue of $ 477.2 million was 30 percent above forecasts and 14 percent above the previous year.
CEO Miguel Fernandez said the Orlando, Florida-based company has shifted more to digital distribution to meet pandemic protection. He also noted “increased consumer demand”.
The company started a turnaround campaign earlier this year. Fernandez, who once ran Avon, was named CEO in March as COVID-19 infections spread across the US.