Del Labs Posts a 15% Increase in 2002 Sales

Del Laboratories Inc., Uniondale, NY, reported net sales for the fourth quarter ended Dec. 31, 2002 were $82.2 million, an increase of 5% from $78.5 million in the fourth quarter of 2001. Net earnings for the fourth quarter of 2002 were $4.8 million or $0.53 per basic share outstanding, an increase of 72% compared to net earnings of $2.8 ,million, or $0.32 per basic share outstanding reported in 2001. Net sales for the year 2002 were $350.6 million, an increase of 15% above the $304.6 million reported for the year 2001. Yearly net earnings were $19.5 million, almost double the net earnings of $9.7 million, in 2001.

Dan K. Wassong, chairman, president and chief executive officer, said, “We are pleased with the solid growth in sales and earnings achieved in 2002. The strong performance of our core brands was all the more noteworthy, given the difficult economic environment. According to ACNielsen, our Sally Hansen brand remains the No. 1 brand in the mass market nail care category and finished the year with a 14% increase in retail sales while the company continues as the leader in the mass market nail color category with a 31% share of market.

He added that the N.Y.C. New York Color brand of cosmetics continued to achieve a significant increase in sales during the year and the over-the-counter pharmaceutical business continues to be driven by the Orajel brand, which has 27.7% of the market share in the oral analgesics category according to IRI.

“Despite the continued challenging economic environment, we believe that the strength of our brands will continue to enable us to maintain our positive momentum into 2003,” Mr. Wassong said.