HBW Insight is part of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC’s registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

This copy is for your personal, non-commercial use. For high-quality copies or electronic reprints for distribution to colleagues or customers, please call +44 (0) 20 3377 3183

Printed By

UsernamePublicRestriction
UsernamePublicRestriction

Sales & Earnings In Brief

This article was originally published in The Rose Sheet

Executive Summary

Physicians Formula: Retailer destocking - to the point where retailers were ordering half of the number of pieces they did during the prior year - contributed to sales plunge in firm's first quarter of fiscal 2009, according to May 11 announcement. One of firm's largest retail customers announced in April it will no longer continue to sell Physicians Formula; retailer accounted for 16% of firm's gross sales in 2008. "We are obviously very disappointed with the decision made by this retail partner despite our strong performance and a long-term and very successful relationship. We are already taking actions to mitigate the impact of this decision including, but not limited to, reducing workforce levels, implementing cost controls, reducing capital expenditures, as well as re-evaluating various non-strategic marketing and administrative costs," Chairwoman and CEO Ingrid Jackel says. Sales were $20.2 mil. for the first quarter, compared with $42.7 mil. in the prior year. Firm is slowing its promotional activity to reduce costs. On the brighter side Mineral Wear makeup is gaining share in the masstige channel, and Physicians Formula bronzer and new eye makeup products have become best-sellers at retail, firm says
Advertisement
Advertisement

Related Content

Advertisement
UsernamePublicRestriction

Register

RS016166

Ask The Analyst

Please Note: You can also Click below Link for Ask the Analyst
Ask The Analyst

Your question has been successfully sent to the email address below and we will get back as soon as possible. my@email.address.

All fields are required.

Please make sure all fields are completed.

Please make sure you have filled out all fields

Please make sure you have filled out all fields

Please enter a valid e-mail address

Please enter a valid Phone Number

Ask your question to our analysts

Cancel