Key Takeaways:Net sales fell 4.0% in Q2; organic sales down 4.2% amid softer seasonal demand.Gross margins compressed due to inflation, unfavorable mix, and pricing pressures.Leadership changes, strategic review aim to stabilize growth and restore investor confidence.Kenvue Inc., the world’s largest pure‑play consumer health company and home to household names like Neutrogena and Tylenol, is navigating a turbulent quarter marked by sales declines, margin pressure, and a leadership shake-up. For the three months ended June 30, net sales fell 4.0% year over year (YoY), with organic sales sliding 4.2% as softer seasonal demand, inventory swings, and global timing issues weighed on performance.Despite a sharper operating margin on a general accepted accounting principles (GAAP) basis, the company has lowered its full-year outlook and launched a strategic reset by introducing new executive appointments and a sweeping review of its business to steady growth and restore investor confidence.Sales and Profitability PressuresKenvue Inc. reported a 4.0% YoY drop in net sales for the second quarter ended June 30, with organic sales down 4.2%. A modest 0.3% boost from favorable foreign currency exchange helped offset the decline, but overall performance reflected softer demand and market headwinds.The company attributed the organic sales decline to a “value realization” drag of 0.9%, reflecting strategic price investments, plus a 3.3% drop in volume. Kenvue cited that fewer people have been experiencing severe allergies, which meant sales in antihistamines dropped, and the cloudy, wetter weather meant lower sales of sunscreen seasons in North America.