Procter & Gamble announces second-quarter results
CINCINNATI — Procter & Gamble announced on Friday that second-quarter net sales and organic sales rose 4% as net earnings dropped 49%.
“We continue to make progress against our key business priorities in the difficult macroeconomic environment,” stated chairman, president and CEO Bob McDonald. “We delivered solid top-line growth and continued to accelerate productivity improvements to drive down costs. With the easing of commodity cost comparisons over the next two quarters, continued solid top-line growth and cost savings progress, we expect operating profit growth to accelerate in the second half of the fiscal year.”
Net sales for the October to December quarter rose 4% to $22.1 billion.
Net earnings totaled $1.71 billion, or 57 cents per diluted share, compared with $3.36 billion, or $1.11 diluted earnings per share, in the year-ago period.
In beauty, net sales rose 1% to $5.4 billion, as organic sales grew 2%. In grooming, net sales rose 1% to $2.2 billion, as organic sales were up 2%.
As part of its effort to improve productivity, the company stated during the conference call with analysts that it is cutting about 1,600 positions by the end of the fiscal year.
“We’ll achieve this objective through the combination of selective hiring, normal attrition and our restructuring efforts. The reductions this year should yield annual savings of around $240 million before tax. Our efforts to reduce costs in nonmanufacturing portions of the organization will go beyond this fiscal year,” Jon Moeller, P&G CFO, told analysts.
In addition, the company is consolidating its supply-planning activities into central hubs, including one recently opened in Cincinnati. It also has inked an outsourcing arrangement for U.S. in-store detailing work and believes the efforts will improve speed and agility and improve supply chain efficiency while reducing costs.
It also is reducing the number of technical centers it operates globally and opening new technical centers in developing markets, such as the new facility being built in Singapore and the expansion of its research and development center in Beijing.
New CeraVe SA renewing lotion exfoliates to help battle ‘chicken skin’
BRIDGEWATER, N.J. — Coria Labs, a division of Valeant Pharmaceuticals North America, is expanding its line of CeraVe moisturizers and cleansers with the new CeraVe SA renewing lotion.
As with all CeraVe products, the newest formulation features ceramides to help restore, repair and maintain the skin barrier. However, this product goes even further with the addition of salicylic acid and ammonium lactate to help loosen and exfoliate dead skin cells. Vitamin D is also present to help keep skin looking smooth and hydrated.
The ingredients work to exfoliate, smooth and soften extremely dry, rough, bumpy skin — like those rough patches often found on upper arms and legs that are sometimes referred to as “chicken skin.”
CeraVe’s patented Multivescular Emulsion technology delivers the ingredients deep into skin layers over time where they can help repair and renew skin. The technology creates a controlled release of key ingredients so skin is continuously being nourished and hydrated throughout the day, the company stated.
The new CeraVe SA renewing lotion has a suggested retail price of $14.99.
Newest Halle Berry fragrance to hit shelves in February
NEW YORK — Coty has unveiled the latest scent in the Halle Berry fragrance portfolio: Reveal the Passion by Halle Berry.
The fragrance is highlighted in Berry’s existing scents, including Reveal by Halle Berry, Halle by Halle Berry, and Pure Orchid by Halle Berry.
"I wanted to create a scent that helped empower women to reveal their passionate sides," Berry said. "Nothing makes a woman sexier or more beautiful than the confidence that comes from within."
When creating Reveal the Passion by Halle Berry, perfumer Olivier Gillotin of Givaudan envisioned a bolder, sexier, more alluring interpretation of the original Reveal fragrance. Deeply feminine and with a touch of a woman’s sensuality, Reveal the Passion is a floral woody scent that weaves a web of contrasts. At the top, the fragrance opens with a blend of Italian bergamot and dewfruit. Passionate heart notes of white champaca and tempting mangosteen ignite desire, and are enveloped in a drydown of ambered okoume, patchouli and warm musks.
The Reveal the Passion by Halle Berry range will feature a 15 ml and 30 ml eau de parfum. Eau de Parfum 0.5 oz/15 ml is priced at $17. Eau de Parfum 1.0 oz./30 ml is priced at $28 . The fragrance is available February in the United States, Canada and Latin America at most mass retailers.