Revlon posts fourth-quarter profit vs loss
NEW YORK (Reuters) - Cosmetics maker Revlon Inc (REV.N) posted a fourth-quarter net profit on Thursday that matched Wall Street expectations as restructuring costs fell sharply from a year earlier.
Net earnings came to $40.8 million, or 8 cents a share, compared with a net loss of $5.5 million, or 1 cent a share, in the year-earlier period.
Three analysts, on average, had forecast 8 cents a share, according to Reuters Estimates.
A year ago, restructuring expenses and costs tied to Revlon's Vital Radiance line were $20.8 million; in the latest period, restructuring costs came to $0.4 million.
Sales rose 1 percent to $382.6 million but were down 2.6 percent excluding the effects of foreign currency exchange.
International sales rose 9.9 percent, while U.S. revenue fell 5 percent.
Revlon's eye products and lip items sold well, but that was offset by slow sales of its face and nail products, Chief Executive David Kennedy said in a statement.
Kennedy's appointment to the top job in 2006 came as Revlon slashed jobs and discontinued the Vital Radiance cosmetics line as part of a shake-up.
For 2008, the company said it will launch a lineup of Revlon and Almay brand color-makeup. Revlon, which has stepped up its marketing spending, said it will continue to do so for its new products.
(Reporting by Aarthi Sivaraman; editing by John Wallace)
