Breaking News

Arden Sales Hindered

November 14, 2005

Executives at Elizabeth Arden Inc. said the company’s fiscal year sales would linger around the low end of previous estimates as weak department store sales have taken a toll on results. The lower-than-expected sales were mainly a result of the dismal performance of beauty products in U.S. department stores, according to Arden executives. Department stores have struggled to hold on to market share as consumers defected to lower-priced retailers in the slumping economy.
For fiscal 2003, which ends this month, the company said it now expects net sales of $735-745 million, down from the previous estimate of $735-775 million. Earnings before interest, taxes, depreciation and amortization should range between $95-100 million, lower than previous high-end estimates by $5 million.
However, third quarter earnings increased, helped by an “open sell” format which allows customers to purchase makeup and fragrances without sales assistance. For the third quarter ended Oct. 26, 2002, the company reported earnings of $37.7 million, compared with $33.4 million in the year-ago period.
“If the department store business is weak, Elizabeth Arden loses market share, but that’s been more than offset by strength in mass and mid-tier retailers,” said Gary Giblen, research director at C.L. King and Associates.
blog comments powered by Disqus
  • Active Agents

    Active Agents

    September 19, 2016
    On the surface, surfactants may seem staid, but the market, and the supplier activity driving it, is bubbling.

  • Jam On It!

    Jam On It!

    Melissa Meisel, Associate Editor||September 19, 2016
    Jamberry sees success in artsy nail accessories.

  • Expanding Erbaviva

    Expanding Erbaviva

    Christine Esposito, Associate Editor||September 13, 2016
    A farm-to-bottle organic brand celebrates its 20th anniversary with a new look, new products and plans to expand in the US.

  • Back to School

    Back to School

    Tom Branna, Editorial Director||September 1, 2016
    It may be September, but class was in session this summer during the Private Label Manufacturers Association’s Executive Educ

  • How Green Is Your Surfactant?

    How Green Is Your Surfactant?

    Tom Branna, Editorial Director ||September 1, 2016
    Suppliers offer a range of solutions to help household and personal care product formulators develop formulas

  • New Surfactants

    Tom Branna, Editorial Director ||September 1, 2016
    Here’s a list of new ingredients introduced by surfactant suppliers