Interviews
News Flash
Alberto-Culver registers strong double-digit growth in revenue
29 Jul '08
5 min read
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 VO5 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."
In addition, Mr. Marino noted that during the quarter the company announced several events that enhance its focus, lowers complexity and builds value for shareholders. The company announced the pending divestiture of Cederroth International, repurchased approximately 3.8 million shares of common stock, retired $120 million of debt and also announced the closure of its Puerto Rico manufacturing facility.
Mr. Marino added, "While business fundamentals in terms of growth and margins remain solid, as we've said before, fourth quarter sales growth will be tempered by a difficult comparison due to the timing of various initiatives and the expansion of Nexxus into the club channel a year ago."
The Company reported that its gross profit margin increased to 54.2% compared to 52.8% in the prior year quarter, mainly due to more effective inventory management and manufacturing efficiencies partially offset by higher input costs. Advertising and other marketing investments increased 14.3% during the quarter to $70.7 million from $61.8 million in the prior year quarter. Selling and administrative expenses as a percentage of net sales decreased 90 basis points to 22.7% compared to 23.6% in the prior year quarter.
This was due mainly to the reversal of a contingent liability that was favorably settled during the quarter that offset expenditures related to the planned implementation of a new worldwide ERP system, costs associated with the start-up of our Jonesboro, Arkansas manufacturing facility and higher stock option and other incentive expenses.
For the first nine months of fiscal year 2008 gross profit margin increased to 53.9% compared to 52.5% in the prior year period, while advertising and other marketing investments increased 9.9% to $194.6 million from $177.0 million in the prior year. Selling and administrative expenses as a percentage of net sales decreased 80 basis points to 23.4% compared to 24.2% in the prior year.
Carol Lavin Bernick, Executive Chairman of the Company, stated, "This was another terrific sales and earnings growth quarter for Alberto-Culver and its shareholders. As the operating environment changes around us, we continue to position our company to better facilitate growth in those categories where we excel, and our pending divestiture of Cederroth International allows us to sharpen our focus on beauty care."
Click here to view more:
In addition, Mr. Marino noted that during the quarter the company announced several events that enhance its focus, lowers complexity and builds value for shareholders. The company announced the pending divestiture of Cederroth International, repurchased approximately 3.8 million shares of common stock, retired $120 million of debt and also announced the closure of its Puerto Rico manufacturing facility.
Mr. Marino added, "While business fundamentals in terms of growth and margins remain solid, as we've said before, fourth quarter sales growth will be tempered by a difficult comparison due to the timing of various initiatives and the expansion of Nexxus into the club channel a year ago."
The Company reported that its gross profit margin increased to 54.2% compared to 52.8% in the prior year quarter, mainly due to more effective inventory management and manufacturing efficiencies partially offset by higher input costs. Advertising and other marketing investments increased 14.3% during the quarter to $70.7 million from $61.8 million in the prior year quarter. Selling and administrative expenses as a percentage of net sales decreased 90 basis points to 22.7% compared to 23.6% in the prior year quarter.
This was due mainly to the reversal of a contingent liability that was favorably settled during the quarter that offset expenditures related to the planned implementation of a new worldwide ERP system, costs associated with the start-up of our Jonesboro, Arkansas manufacturing facility and higher stock option and other incentive expenses.
For the first nine months of fiscal year 2008 gross profit margin increased to 53.9% compared to 52.5% in the prior year period, while advertising and other marketing investments increased 9.9% to $194.6 million from $177.0 million in the prior year. Selling and administrative expenses as a percentage of net sales decreased 80 basis points to 23.4% compared to 24.2% in the prior year.
Carol Lavin Bernick, Executive Chairman of the Company, stated, "This was another terrific sales and earnings growth quarter for Alberto-Culver and its shareholders. As the operating environment changes around us, we continue to position our company to better facilitate growth in those categories where we excel, and our pending divestiture of Cederroth International allows us to sharpen our focus on beauty care."
Click here to view more:
Alberto-Culver Company
Popular News
Leave your Comments
Editor’s Pick
Esteemed Clients
-Ltd..jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Thermore (Far East) Ltd.")
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Telangana State Industrial Infrastructure Corporation Limited (TSllC Ltd)")
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Taiwan Textile Federation (TTF)")
