P&G posts Q1 results
CINCINNATI — Procter & Gamble announced on Friday a boost in first-quarter sales and earnings, meeting expectations and positioning the company to deliver its goals for the fiscal year.
“P&G’s first quarter results were consistent with our plans and expectations, putting us on track to deliver our goals for the fiscal year,” stated chairman, president and CEO A.G. Lafley. “We have good market share momentum, a number of strong innovations coming to market over the balance of the year, and cost savings from productivity efforts that will continue to build. We remain focused on driving innovation and productivity. We continue to improve operating discipline and execution every day to create value for consumers and shareowners.”
Net earnings for the quarter totaled $3.03 billion, or $1.04 per diluted share, compared with $2.8 billion, or 96 cents per share, in the year-ago period.
Net sales rose 2% to $21.2 billion. Organic sales grew 4%, which were in-line or higher versus the prior year in all reporting segments.
The company stated that beauty segment organic sales increased 1% driven by innovation in hair care, deodorants, cosmetics and personal cleansing, coupled with market growth. This was partially offset by a decrease in skin care sales and unfavorable geographic and product mix.
Meanwhile, grooming segment organic sales increased 1% because of higher pricing and innovation on blades and razors and appliances, which were partially offset by unit volume market contraction in developed regions, P&G stated.
Looking to fiscal year 2014, P&G continues to expect organic sales growth of 3% to 4%. All-in sales growth is estimated in the range of 1% to 2%, including a negative foreign exchange impact of approximately 2%. Core earnings per share are expected to grow 5% to 7% for the fiscal year, and reported earnings per share are expected to grow in the range of 7% to 9%.
Former Sears Canada, Loblaws exec to take helm at Sephora Americas
SAN FRANCISCO and PARIS — Beauty retailer Sephora has announced that former Sears Canada and Loblaws executive Calvin McDonald has been named president and CEO of Sephora Americas, effective Jan. 1, 2014.
McDonald succeeds David Suliteanu, who has led Sephora since July 2000. Suliteanu is becoming the CEO of Kendo Brands, a separate LVMH entity, which creates new beauty brands, as well as acquires brands. The Kendo portfolio today includes brands, such as Ole Henriksen, Kat von D, Formula X and Marc Jacobs Beauty, with others in development.
“Calvin McDonald has established himself as a visionary and highly talented industry leader at two of Canada’s largest and most important retailers. We are delighted to welcome him to Sephora Americas. He will focus on building on the extraordinary growth of the business in new and existing markets and continue Sephora’s exceptional track record of industry leadership driven by David Suliteanu,” stated Christopher de Lapuente, CEO of Sephora Global and a member of the Executive Committee of LVMH. “David is moving on to lead Kendo, an incubator of exciting and creative brands beauty brands. I am delighted that he will continue to contribute to the success of Sephora and LVMH.”
Under Suliteanu’s leadership, Sephora has revolutionized the beauty industry in North America, by creating an entirely new retail shopping experience. Today, Sephora Americas offers in excess of 200 classic and emerging brands. Suliteanu and his team have: expanded Sephora’s base of stores in North America to more than 330; opened the Latin American market; led Sephora’s successful partnership with JCPenney now with more than 400 locations; launched Beauty Insider, Sephora’s client-loyalty program; and driven state-of-the-art enhancements to Sephora’s digital strategy.
“Thanks to a phenomenal team and the support of LVMH, the last 13 years at Sephora have been amazing. Based on his background in creating new and exciting consumer experiences, Calvin will be a great leader for the Sephora Americas team,” Suliteanu stated. “I am excited about the opportunity to continue to work with LVMH and Sephora in growing this new business model that a few years ago was just an idea.”
Added Mc Donald, “It is thrilling to be joining Sephora Americas, which is known across the retail industry for not only having revolutionized the beauty business, but also for delivering a consistent stream of innovation in terms of merchandise, experience and digital capabilities that excite and inspire customers. I am looking forward to working with the exceptional Sephora team to build on what they have accomplished under David’s leadership. Sephora Americas is an amazing success story, and I am proud and privileged to work with our cast members, brand partners and customers and colleagues worldwide as we work to take Sephora Americas to the next level of innovation and growth."
Both Sephora Americas and Kendo will report to de Lapuente.
Prior to accepting the position at Sephora Americas, McDonald was named president and CEO of Sears Canada in 2011. McDonald began his career at the Loblaw Cos., which is Canada’s largest food retailer with more than $32 billion in sales and is known for its private-label products across a variety of categories, including health and beauty, apparel, food and others. During his 18-year tenure at Loblaw, McDonald held various roles of increasing seniority across its many divisions. Among his many achievements was launching the most successful and integrated category campaign for President’s Choice, the most successful private brand in Canada, as well as launching the “Recipes to Riches” TV show.
OPI, singer Gwen Stefani create limited-edition nail lacquer collection
NEW YORK — OPI has teamed up with celebrity partner Gwen Stefani in announcing seven new limited-edition nail lacquers for 2014, featuring color in breakthrough finishes.
Highlights from the collection include a bold red lacquer that pays homage to Stefani’s signature lipstick, a new semi-matte satin finish in shades of gold and black, and a mirrored chrome paired with a special base coat.
Inspired by the 2013 Metropolitan Museum Costume Institute Gala that featured the theme “Punk: Chaos to Couture,” OPI EVP and artistic director Suzi Weiss-Fischmann created a collection of lacquer celebrating the role of music as a major influence in fashion.
“With her expertise as a singer, songwriter and designer, who better to collaborate with than Gwen Stefani?” Weiss-Fischmann said. “Known for her trademark red lips, bold eye makeup and nail art, Stefani uses beauty to accessorize her style.”
Stefani’s signature red OPI hue — Over & Over A-Gwen — is available in a boxed set, which includes Swarovski black crystals and silver, gold and pewter studs in bar, square, diamond and circle shapes for creating unique nail designs, as well as nail glue for easy application.
Love.Angel.Music.Baby. and 4 in the Morning feature a new, semi-matte satin finish designed to be worn without top coat.
Push and Shove, a bold chrome hue, also is worn without top coat but requires a special complimentary base coat — Lay Down that Base. One thin coat of Lay Down that Base topped with two thin coats of Push and Shove yields an intense, mirrored finish.
The collection is rounded out with two glossy crème lacquers and one sparkly glitter shade: Hey Baby, I Sing in Color and In True Stefani Fashion.
Gwen Stefani by OPI nail lacquers feature OPI’s exclusive ProWide Brush for the ultimate in application. This promotion will be available beginning January 2014 at salons, including Beauty Brands, Beauty First, Chatters, Dillard’s, JCPenney, Pure Beauty, Regis, Trade Secret and Ulta Beauty for $9 suggested retail for each nail lacquer. The boxed set including Over & Over A-Gwen and Swarovski Elements will retail for $14.95.