03.03.22
Global beauty company Revlon Inc. has shared its results for the quarter ended December 31, 2021 and the full year 2021.
As Reported net sales were $615.2 million in the fourth quarter of 2021, compared to $626.6 million during the prior-year period, a decrease of $11.4 million, or 1.8%.
Consolidated net sales in the year ended December 31, 2021 were $2,078.7 million, a $174.4 million increase, or 9.2%, compared to $1,904.3 million in the year ended December 31, 2020.
“Consumer demand for our brands remained strong in the 4th Quarter, as evidenced by Revlon Color Cosmetics’ 30% year-over-year retail sales growth in the important US Mass channel,” said Debra Perelman, Revlon's president and CEO.
She continued, “While we saw strong consumer demand, we also continued to experience industry-wide supply chain challenges, which impacted our ability to fully meet customer orders to support this consumption. Starting in the 3rd quarter, our business has been impacted by increased prices on key ingredients and components, logistics challenges across all modes of transportation delaying receipt of goods, and persistent labor shortages.”
The increase in net sales was driven by higher net sales of Revlon-branded professional hair care products in all regions, as well as Revlon Color Cosmetics in North America and in Latin America. This increase was partially offset by decreased net sales in North America of Revlon-branded beauty tools, and in Asia regions for Revlon ColorSilk. Additionally, supply chain constraints limited the Company's ability to fill customer orders for Revlon Color Cosmetics, primarily in North America.
Elizabeth Arden segment net sales in the three months ended December 31, 2021, were $172.6 million, a $8.5 million, or 4.7%, decrease, compared to $181.1 million in the three months ended December 31, 2020.
The decrease in net sales was driven primarily by lower net sales of Prevage in North America and Asia, Ceramide in North America and International regions, other Elizabeth Arden skin care products in Asia, and other Elizabeth Arden color products in Asia and EMEA. More specifically Prevage and Ceramide saw lower net sales due to lower direct-to-consumer e-commerce traffic at ElizabethArden.com in North America, and increased competition and slowing growth rates in China. This decrease was partially offset by increased net sales of Green Tea and White Tea fragrances in Asia and EMEA, Eight Hour skin care products, primarily in International regions, as well as strong travel retail channel performance in EMEA.
Portfolio segment net sales in the three months ended December 31, 2021, were $111.7 million, an $8.5 million, or 8.2%, increase, compared to $103.2 million in the three months ended December 31, 2020.
The Portfolio segment increase in net sales was driven primarily by higher net sales of CND nail products in North America and EMEA, Almay color cosmetics in North America, American Crew men's grooming products in North America and International regions, and higher net sales of Creme of Nature in North America and EMEA. This increase was partially offset, primarily, by lower net sales of previously sold brands. Additionally, supply chain constraints limited the Company's ability to fill customer orders for Almay color cosmetics, primarily in North America.
Going forward, Perelman says the company “will continue to dynamically manage our business while remaining focused on executing against our strategy in order to drive long-term profitable growth.”
As Reported net sales were $615.2 million in the fourth quarter of 2021, compared to $626.6 million during the prior-year period, a decrease of $11.4 million, or 1.8%.
Consolidated net sales in the year ended December 31, 2021 were $2,078.7 million, a $174.4 million increase, or 9.2%, compared to $1,904.3 million in the year ended December 31, 2020.
“Consumer demand for our brands remained strong in the 4th Quarter, as evidenced by Revlon Color Cosmetics’ 30% year-over-year retail sales growth in the important US Mass channel,” said Debra Perelman, Revlon's president and CEO.
She continued, “While we saw strong consumer demand, we also continued to experience industry-wide supply chain challenges, which impacted our ability to fully meet customer orders to support this consumption. Starting in the 3rd quarter, our business has been impacted by increased prices on key ingredients and components, logistics challenges across all modes of transportation delaying receipt of goods, and persistent labor shortages.”
Business Segments
Revlon segment net sales in the three months ended December 31, 2021, were $206.1 million, a $0.5 million, or 0.2%, increase, compared to $205.6 million in the three months ended December 31, 2020.The increase in net sales was driven by higher net sales of Revlon-branded professional hair care products in all regions, as well as Revlon Color Cosmetics in North America and in Latin America. This increase was partially offset by decreased net sales in North America of Revlon-branded beauty tools, and in Asia regions for Revlon ColorSilk. Additionally, supply chain constraints limited the Company's ability to fill customer orders for Revlon Color Cosmetics, primarily in North America.
Elizabeth Arden segment net sales in the three months ended December 31, 2021, were $172.6 million, a $8.5 million, or 4.7%, decrease, compared to $181.1 million in the three months ended December 31, 2020.
The decrease in net sales was driven primarily by lower net sales of Prevage in North America and Asia, Ceramide in North America and International regions, other Elizabeth Arden skin care products in Asia, and other Elizabeth Arden color products in Asia and EMEA. More specifically Prevage and Ceramide saw lower net sales due to lower direct-to-consumer e-commerce traffic at ElizabethArden.com in North America, and increased competition and slowing growth rates in China. This decrease was partially offset by increased net sales of Green Tea and White Tea fragrances in Asia and EMEA, Eight Hour skin care products, primarily in International regions, as well as strong travel retail channel performance in EMEA.
Portfolio segment net sales in the three months ended December 31, 2021, were $111.7 million, an $8.5 million, or 8.2%, increase, compared to $103.2 million in the three months ended December 31, 2020.
The Portfolio segment increase in net sales was driven primarily by higher net sales of CND nail products in North America and EMEA, Almay color cosmetics in North America, American Crew men's grooming products in North America and International regions, and higher net sales of Creme of Nature in North America and EMEA. This increase was partially offset, primarily, by lower net sales of previously sold brands. Additionally, supply chain constraints limited the Company's ability to fill customer orders for Almay color cosmetics, primarily in North America.
Going forward, Perelman says the company “will continue to dynamically manage our business while remaining focused on executing against our strategy in order to drive long-term profitable growth.”
