P&G’s CEO on Q1 results: ‘Purpose-inspired growth strategy’ is working
CINCINNATI Procter & Gamble announced on Wednesday that first-quarter earnings per share from continuing operations exceeded estimates and rose 5% as net sales rose 2% to $20.1 billion.
"Our first quarter was a good start to the fiscal year. We maintained our top-line momentum and delivered profitable market share growth," stated chairman, president and CEO Bob McDonald. "We are confident that our purpose-inspired growth strategy — to touch and improve the lives of more consumers in more parts of the world, more completely — will continue to drive growth and create value for shareholders. While the macro-economic environment remains challenging, the solid first-quarter results demonstrate that our strategy is working."
Net sales for the July-to-September period rose 2% to $20.1 billion, as organic sales grew 4%. Volume increased 8%, with growth in all major geographic regions and 5-of-6 business segments.
Key initiatives for the quarter included the North American launches of Crest Pro-Health Clinical, Tide with Acti-Lift, Gain dishwashing liquid, Febreze Set ‘n Refresh and Gucci Guilty.
In beauty, net sales were in line with the prior year period at $4.9 billion on unit volume growth of 4%. Organic sales grew 3%. Volume in female beauty grew mid-single digits, primarily behind double-digit growth of Olay. Net earnings rose 7% to $829 million.
In grooming, net sales rose 2% to $1.9 billion on a 5% increase in unit volume. Organic sales were up 6%. Male grooming volume grew mid-single digits due to higher shipments of blades and razors, mainly in developing regions, and deodorants in North America and Latin America. Net earnings increased 13% to $398 million.
In health care, net sales were in line with the prior year period at $3 billion on unit volume growth of 6%. Organic sales grew 4%. Oral care volume was up in the high single digits behind the launch of Crest Pro-Health Clinical in North America, expansion of Oral-B toothpaste in Brazil, Belgium and Holland, and the success of the Pro-Health innovation in multiple markets around the world. Net earnings declined 10% to $495 million driven by lower operating margin mainly due to higher marketing spending.
In 2011, more women can get the ‘London’ look
NEW YORK Rimmel London, a Coty brand, is looking to help beauty mavens achieve Brit-girl style with the early 2011 launch of new makeup for eyes, lips and face.
For face is the new Match Perfection foundation, which features Smart-Tone technology to mimic skin’s natural texture and tone for a match that promises to cover imperfections with traceless blendability. An oxygen complex helps skin breathe as the blue-sapphire complex fights yellow undertones to prevent skin from looking sallow. It comes in 16 different shades and is priced at $8.99 each.
For lips there’s the new Moisture Renew lip gloss SPF 15. Infused with moisture-boosting collagen, hyaluronic acid and vitamins A, C and E, the formula promises to reduce dryness by 95% while shielding lips from the sun’s harmful rays with SPF 15. The gloss comes in 14 shades and is priced at $6.47 each.
For glam day or night there’s the new Glam’Eyes eye shadows and Glam’Eyes Day 2 Night mascara.
Inspired by the trend-setting London fashion scene, Glam’Eyes eye shadow palettes are quilted and embossed with the Rimmel London crown. The collection includes quad, trio and mono palettes in a bold spectrum of shades to create looks ranging from daytime demure to notice-me, night-out brights. Prices are $5.71 for quad palettes, $5.17 for trio palettes and $3.49 for mono palettes.
The new Glam’Eyes Day 2 Night mascara offers two mascaras in one system. The mascara features a double cap that allows for lash customization. The pink cap is for the lengthening formula for up to 75% more length, and the black cap is for the volumizing formula for up to 12 times more volume. The formula is buildable so users can create the look they want for day or night. It is available in extreme black and black shades and is priced at $7.99.
Merlot Skin Care to expand offerings, update packaging
EL PASO, Texas Merlot Skin Care, a natural grape-seed-based skin care brand sold at Walgreens and Ulta, is celebrating its 10-year anniversary in 2011 with new product launches and new packaging.
"Merlot is a brand that knows the power of natural grape-seed antioxidants can be used to achieve beautiful skin," stated Wayne Beckley, founder and CEO of Merlot Skin Care."We are proud that our moisturizer has become a staple of so many women’s daily beauty routines."
For 10 years, the family-run, Texas-based brand has maintained its commitment to cruelty-free products made in the United States. In 2006, Merlot launched Moonlight Radiance night cream for wrinkle reduction and skin firming. A year later, Merlot followed up with the release of a hand cream plus sanitizer. Now for 2011, the company is launching three new products:
- 3-in-1 blemish/acne treatment, which is a cleanser, toner and blemish treatment in one bottle. The retail price is $17.
- Body butter with natural grape-seed antioxidants to help protect skin from environmental pollution. The retail price is $9.99.
- Chin Up neck-firming cream, which is designed to tighten and firm skin in the chin and neck area. The retail price is $12.99.
The brand’s new purple and gold packaging will hit shelves in early 2011.