Colgate reports double-digit growth, earnings in Q2
NEW YORK Colgate announced on Tuesday that it posted its seventh consecutive quarter of double-digit operating profit, net income and earnings per share growth.
Worldwide sales for the quarter rose 16.5 percent to $3.96 billion and unit volume rose 5 percent. The top-line growth was supported by an 18 percent boost in worldwide advertising spending to an all-time record level.
Operating profit as reported rose 17 percent compared with the year-ago period to $767 million. Excluding restructuring charges, operating profit climbed up 13 percent to an all-time record of $805.9 million.
Net income and diluted earnings per share totaled $493.8 million and 92 cents, respectively. Excluding restructuring charges, net income increased 14 percent in second-quarter 2008 to a record $523.3 million and diluted earnings per share rose 17 percent to 98 cents, also a record, the company stated.
“Higher advertising spending behind regular and new products worldwide drove market share gains across categories. Colgate’s global toothpaste leadership continues to strengthen with market share gains in many countries around the world including the United States, Mexico, Brazil, China and Russia,” stated Ian Cook, chief executive officer. “Other categories achieving global share gains include manual toothbrushes, power toothbrushes, mouth rinse, bar soaps, hand dish liquid and pet nutrition.”
In North America, sales grew 6.5 percent as unit volume rose 4.5 percent and pricing increased 1.5 percent.
In the United States, Colgate Total Advanced Clean and Colgate Total Advanced Whitening toothpastes, supported by an integrated marketing campaign featuring Brooke Shields and a professional sampling program, helped drive market share for Colgate Total toothpaste to its highest quarterly share ever at 16.2 percent. Colgate Max Fresh and Colgate Sensitive toothpastes were also strong performers in the quarter. Colgate’s share of the manual toothbrush market is at a record high of 27.8 percent year-to-date, according to the company. That is up 2.1 share points versus the year-ago period. This growth was fueled by the sales of Colgate 360, Colgate 360 Sensitive and the new Colgate 360 Deep Clean manual toothbrushes.
New products contributing to growth in the United States in other categories include Colgate 360 Sonic Power battery toothbrush, Irish Spring Moisture Blast and Irish Spring Reviving Mint body wash for men.
Introductions scheduled to begin shipping in the third quarter include Max Fresh with Mouthwash Beads, the first toothpaste infused with mini dissolvable mouthwash beads packaged in a clear tube.
L’Oreal introduces anti-aging cleansing regimens
PARIS Beauty company L’Oreal Paris is making available in August three new anti-aging cleansing regimens: Skin Genesis, Revitalift and Age Perfect.
Adding more power to the Skin Genesis’ skin-strengthening system, L’Oreal Paris introduced three ways to help get stronger, tighter, brighter skin through daily cleansing: Skin Genesis Gel Cleanser, Cream Cleanser and Towelettes.
“As women enter their 30s, cell renewal slows down and collagen production diminishes. A cleanser that improves cell turnover will help maintain the glow of youthful skin,” stated Dr. Lydia Evans, consulting dermatologist for L’Oreal Paris.
To counter diminishing skin radiance and uneven tone, there’s the new Revitalift Cream Cleanser and Towelettes. The new cleansers are infused with vitamin C.
“Skin radiance and uneven skin tone are key issues for women in their 40s. A cleanser that delivers vitamin C can help to restore skin’s natural glow and smooth its texture,” stated Evans.
To deeply moisturize and enhance drier, thinner and more fragile skin, there’s the new Age Perfect Towelettes and Cream Cleanser.
“One of the easiest and best things women can do in their 50s or 60s+ is to switch to a moisturizing cleanser to help keep their skin soft and supple,” stated Evans. “Harsh cleansers, like most bar soaps which many, many women use, can disrupt the natural moisture barrier of the skin, leading to irritation and dehydrations.”
Alberto-Culver posts record Q3 sales
MELROSE PARK, Ill. Alberto-Culver reported on Monday record sales and earnings from continuing operations for its third quarter thanks in part to the growth of brands St. Ives, Alberto V05 and Nexxus.
Sales for the quarter rose 12.3 percent to $364.9 million from $325 million in the year-ago period.
Pre-tax income from continuing operations rose 29.9 percent to $42.7 million from $32.9 million in the prior year quarter. Excluding restructuring and other expenses of $2.7 million in the current quarter and $1.4 million in the prior year quarter, pre-tax earnings from continuing operations increased 32.4 percent to $45.4 million compared with $34.3 million in the year-ago period.
Diluted earnings per share from continuing operations rose 26.1 percent to 29 cents from 23 cents in the prior year quarter. Excluding restructuring and other expenses, diluted earnings per share from continuing operations rose 29.2 percent to 31 cents versus 24 cents in the prior year quarter.
As a result of the pending divestiture of Cederroth International, continuing operations excludes the results for Cederroth.
“In a challenging economic environment we were able to deliver another record quarter of sales and earnings growth. Our strong results in the quarter, which were in line with our expectations, were driven mainly by growth in our core beauty care brands in the United States and international markets,” stated V. James Marino, Alberto-Culver president and chief executive officer. “TRESemme generated another exceptional quarter of sales growth, showing continued strength in our core markets while also being launched in Spain. Other beauty brands including St. Ives, Alberto V05 and Nexxus also grew during the quarter. These are very strong results, especially when considering the U.S. and UK hair care categories are a bit soft.”