Cosmetics company Revlon Inc. (REV) reported Thursday a profit in the first quarter, favored by a decrease in costs and improvement in color-cosmetics sales. Shares climbed more than 23% before the bell.
For the first quarter, net profit was $12.7 million or $0.25 per share, compared to a net loss of $2.5 million or $0.05 per share in the previous year.
Net sales declined to $303.3 million from $311.7 million in the year-ago period, hurt by adverse foreign currency fluctuations of $20.3 million.
Sales in the U.S. increased 7.8% to $191 million from $177.2 million, mainly due to higher sales of Revlon and Almay color cosmetics and Revlon ColorSilk hair color.
The company plans to launch new products, including Revlon ColorStay Ultimate Liquid Lipstick, Revlon DoubleTwist Mascara, Revlon ColorStay Mineral Mousse Makeup and Almay Smart Shade Smart Balance Makeup in the later half of 2009.
Selling, general and administrative expenses declined year-over-year to $160.2 million from $172.8 million.
REV is currently trading at $4.38, up $0.84 or 23.73%, on the NYSE.
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