BeautiControl Reports Third Quarter Results

BeautiControl, Inc., a Dallas-based direct sales marketer and manufacturer of cosmetics-related products and nutritional supplements announced quarter over quarter improvement in earnings for the third quarter of 2000. BeautiControl reported third quarter 2000 sales of $14.7 million and net income of $.2 million or $.03 per share compared to third quarter 1999 sales of $16.4 million and net loss of ($1.7) million or ($.23) loss per share. Net income and earnings per share for the nine months ended Aug. 31, 2000 were $2.1 million or $.30 per share (including a $.13 one-time gain on sale of an asset) compared to a net loss of ($3.9) million or ($.54) loss per share for nine months ended Aug. 31, 1999. For the nine months ended Aug. 31, 2000, BeautiControl announced sales of $47.8 million compared to sales of $50.7 million for the nine months ended Aug. 31, 1999.

Richard W. Heath, chief executive officer, said the “company continues to see a return to profitability as seen in the tremendous improvement in operating income of 102%. The company is very excited about the recent merger announcement with Tupperware and the cash tender offer that began yesterday. Joining with Tupperware represents a merger of strengths, allowing both companies to share direct-selling synergies.

“In addition, the merger will allow BeautiControl to extend its North American and global business reach by leveraging Tupperware’s multinational infrastructure and 50-years of direct-selling expertise. Both companies have been successful in offering innovative marketing channels such as direct mail and industry-leading e-commerce capabilities and will continue to leverage these tools to bring profitable results to BeautiControl.”