Johnson & Johnson reports decline in Q1 earnings
NEW BRUNSWICK, N.J. Even the big brands are feeling the economic slump.
Johnson & Johnson announced Tuesday sales of $15 billion for the first quarter of 2009, a decrease of 7.2%, compared with the first quarter of 2008.
Operational results declined 1.2% and the negative impact of currency was 6%. Domestic sales declined 5%, while international sales declined 9.6%, reflecting operational growth of 3% and a negative currency impact of 12.6%.
Net earnings for the first quarter of 2009 were $3.5 billion, representing a decrease of 2.5%, compared with the same period in 2008. Diluted earnings per share for the first quarter of 2009 were $1.26, the same versus a year ago. The company confirmed its earnings guidance for full-year 2009 of $4.45 – $4.55 per share, which excludes the impact of special items.
“Despite challenging economic and near term business pressures, we continue to deliver solid financial results,” said William C. Weldon, chairman and CEO. “We are continuing to make strategic investments in order to bring important new products to market, positioning us well for long-term growth.”
Worldwide consumer sales of $3.7 billion for the first quarter represented a decrease of 8.7%, versus the prior year with a decline of 1% operationally and a negative impact from currency of 7.7%. Domestic sales decreased 5.1%, while international sales decreased 11.6%; which reflected an operational increase of 2.4% and a negative currency impact of 14.0%.
Listerine antiseptic mouth rinse, and skin care lines of Neutrogena and Aveeno, had strong sales performance during the quarter. Also contributing were sales from the recently completed acquisition of Dabao, the leading moisturizer in China. Sales comparisons were negatively impacted due to the initial build of inventory by the trade related to the 2008 launch of Zyrtec.
Meanwhile, worldwide pharmaceutical sales of $5.8 billion for the first quarter represented a decrease versus the prior year of 10.1% with an operational decline of 5.1% and a negative impact from currency of 5%. Domestic sales decreased 9.7%, while international sales decreased 10.7%; which reflected an operational increase of 2.8% and a negative currency impact of 13.5%.
PCPC appoints TechNet executive to president, CEO post
WASHINGTON The Personal Care Products Council has appointed TechNet executive Lezlee Westine as its new president and CEO. Westine succeeds former PCPC president and CEO Pamela Bailey, who left the council in December 2008 to head the Grocery Manufacturers Association.
Westine will assume her role at the council in May. She currently serves as president and CEO of TechNet, a bipartisan political network of CEOs and senior executives of U.S. technology companies. As TechNet president and CEO, Westine directs and oversees day-to-day operations, strategic planning and development and implementation of TechNet’s public policy and political agenda.
Prior to TechNet, Westine served as the White House director of public liaison. In that role, she serves as White House chief liaison to all constituency groups, national trade associations and non-profit organizations and developed relationships with advocacy groups from both sides of the aisle to find areas of common ground. She also directed the administration?s women?s outreach programs, organized an initiative to draw needed attention to the plight of Afghan women and garnered support for the Trade Promotion Authority, the presidential fast-track negotiating authority for U.S. trade agreements.
Coty appoints new president of Coty Beauty division
NEW YORK Coty Inc. announced Friday the appointment of Renato Semerari as president of the company’s Coty Beauty division.
Semerari will manage all Coty brands available in mass distribution in the Americas, Europe, Asia and the Middle East.
Among his key responsibilities, Semerari will seek new business ventures and collaborations, as well as oversee the continued development and expansion of the Coty Beauty portfolio. He also will serve as a member of Coty’s executive committee.
“Renato’s broad and diverse experience will be an incredible asset in moving Coty Inc. and Coty Beauty toward the next stage of our success,” said CEO Bernd Beetz. “He is an accomplished leader with a real passion for our industry and a phenomenal addition to the Coty family.”
Semerari started his career in 1986 with Procter & Gamble where he held a series of positions of increasing responsibility. While at P&G, he worked across all categories of the marketing department for personal care, oral care, skin care, paper and detergents, in both Italy and the United Kingdom. He also has held positions at LVMH as international marketing director of Parfums Christian Dior and president and CEO of Guerlain.
Prior to his appointment at Coty, Semerari served as the president and CEO of Sephora Europe since October 2007. In this role, he was responsible for 12 subsidiaries and an extensive store network. During his tenure, Sephora grew rapidly in pre-existing markets while geographically expanding into new countries.
Semerari will take leadership of Coty Beauty in early May. He replaces Hans Joachim Honigfort who will retire in the fall after seven years with Coty.