Revlon returns to profit in 3rd quarter

Revlon returns to a profit in 3rd quarter

Associated Press

NEWS: Makeup company Revlon Inc. said Thursday it returned to a profit in the third quarter as the company implements a turnaround program.

DETAILS: Revlon, controlled by billionaire businessman Ronald Perelman, has been dealing with declining revenue. Earlier this month, CEO Alan Ennis left Revlon after five years in the top job. The company named former CEO David Kennedy to the post on an interim basis.

Kennedy said growth in international markets offset lower revenue in the U.S during the quarter. The company began a restructuring last year aimed at cutting costs and improving results.

It has also been dealing with regulatory issues. In June, Revlon agreed to pay an $850,000 fine to settle federal charges that it withheld key information from shareholders about a "going-private" transaction.

NUMBERS: Net income for the three months ended Sept. 30 totaled $9.5 million, or 18 cents per share. That includes 3 cents per share of restructuring costs and compares with a loss of $15 million, or 29 cents per share, in the 2012 third quarter.

Revenue fell 2 percent to $339.4 million, from $347 million last year.

FUTURE: Revlon bought The Colomer Group, which markets and sells beauty products to retailers, for $665 million earlier this month. The company expects the acquisition to help broaden its scale and scope.

STOCK: In morning trading, shares fell 82 cents, or nearly 3 percent, to $26.81. The stock has nearly doubled this year and closed at $27.98 on Wednesday.

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