NEW YORK – Revlon Inc. (REV), the cosmetics and personal care company led by chairman and investor Ronald Perelman (search), said Thursday that its second-quarter loss narrowed slightly as favorable exchange rates helped boost sales.
Revlon lost $35.8 million, or 10 cents per share, in the three months ended June 30 compared with a loss of $38.9 million, or 11 cents per share, a year ago. Analysts expected a slightly smaller loss of 9 cents per share, according to a Thomson Financial poll.
Its shares fell 22 cents, or 6 percent, to $3.44 on the New York Stock Exchange (search). They have traded in a range of $1.96 to $4.29 over the past 52 weeks.
Revenue inched up about 1 percent to $318.3 million from $316.1 million, buoyed by favorable exchange rates. Excluding currency exchange, Revlon said sales would have declined about 1 percent.
North American sales fell 4 percent to $198.3 million, largely because of a shift in the timing of certain licensing payments, though the company said shipments of its base products also decreased. International revenue grew 10 percent to $120 million — or 5 percent excluding currency — as sales increased across regions, the company said.
The company said its loss improved because of the growth in net sales and its lower brand support.
Revlon also said it is beginning two new product initiatives to strengthen its position in mass-market color cosmetics and is increasing a planned stock offering to fund these launches. The company said it will now offer $185 million in stock, instead of $110 million.