Breaking News

Avon’s 4Q Earnings Beat Wall Street’s Estimates

March 6, 2007

Avon Products Inc. showed signs that its turnaround efforts are starting to take hold as it reported that fourth-quarter profits and revenues beat Wall Street estimates.

The New York-based direct seller of cosmetics and other beauty products said it earned $184.1 million for the three-month period ended Dec. 31 2006, compared with $183.2 million in the year-ago period. Avon earned $477.6 million for the year 2006 and revenue rose 8% to $8.76 billion.

Revenues, boosted by strong sales of beauty products and strong performances in Latin America and China, rose 9% to $2.62 billion from nearly $2.4 billion in the year-ago period. Analysts expected revenues of $2.5 billion for the fourth-quarter.

In November 2005, Avon announced a multiyear restructuring plan involving job cuts and outsourcing to countries where labor costs are cheaper.

Late last year, Avon launched two initiatives—simplifying product lines with a focus on better performing and more profitable products, and expanding its global sourcing of products. Avon also announced that it would close two of its distribution centers and build a new one as part of a restructuring of its U.S. distribution operations.
blog comments powered by Disqus
  • Cosmetic Chemists Head to Orlando Next Month

    Cosmetic Chemists Head to Orlando Next Month

    September 26, 2016
    Organizing Chair Guy Padulo explains why you should attend the IFSCC Congress.

  • Restoring Rembrandt

    Restoring Rembrandt

    Christine Esposito, Associate Editor||September 26, 2016
    Ranir LLC has acquired Rembrandt, an iconic name in teeth whitening, and plans to make it a staple in the value segment.

  • 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.

  • 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

  • What

    What's In Your Formula?

    Christine Esposito, Associate Editor||September 1, 2016
    A look at the ingredients beauty brands are using to fuel their formulations and capture consumers’ attention.

  • A Sweet-Smelling Sanctuary

    A Sweet-Smelling Sanctuary

    Melissa Meisel, Associate Editor||September 1, 2016
    Home fragrance is enhanced by aromatic developments in delivery and components.