Revlon earnings haemorrhage in Q3, sales down 10%
Revlon Inc. announced on Tuesday revenues for the third quarter fell some 10%, as the U.S. cosmetics company continues to battle operations headwinds after filing for Chapter 11 financial restructuring in June.
The New York-based company said net sales were $468.4 million in the third quarter ending September 30, compared to $521.1 million during the prior-year period, a decrease of $52.7 million.
By brand, Revlon sales inched forward during the quarter to $176.6 million, from $173 million in the prior-year quarter, while Elizabeth Arden sales fell to $120.7 million, from $122.8 million, last year.
The company's portfolio category plummeted to $83 million, from $112.7 million, while fragrance sale dived to $88.1 million, from $112.6 million in 2021.
As a result of the sales declines, Revlon net losses widened 188% to $152.8 million, compared to a net loss of $53.1 million, last year.
Net loss for the first nine months of 2022 stretched to $495.4 million, compared to $216.8 million last year, while revenues year-to-date fell to $1.39 billion, from $1.46 billion.
In light of its bankruptcy proceedings, Revlon said it would not be commenting on its results or hosting an earning conference call.
On June 15, Revlon Inc. and certain of its subsidiaries in the United States, Canada, and United Kingdom filed voluntary petitions for relief under Chapter 11 of the U.S. Bankruptcy Code.
In connection with the Chapter 11, the company has received $575 million of new money debtor-in-possession financing under a superpriority, senior secured and priming term loan credit facility from certain of its existing lenders, the company added.
In late October, Revlon said it is entertaining sale offers as a way to exit from Chapter 11 as quickly as possible.
Revlon has until Jan. 19 to formally propose a bankruptcy plan.
Copyright © 2023 FashionNetwork.com All rights reserved.