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Elizabeth Arden, Inc. announced financial results for its third fiscal quarter ended March 31, 2012. The company reported net sales of $239.3 million, an increase of 3.5%, as compared to the third quarter of the prior fiscal year. Excluding the unfavorable impact of foreign currency translation, net sales increased by 3.9%.
Net sales for the company's international segment in the current quarter increased by 6.3%, or by 7.1% at constant rates, over the prior year period, and net sales in the company's North America segment grew by 1.7%.
E. Scott Beattie, company CEO, president and chairman, commented, "Overall results were in line with our expectations. In anticipation of the roll-out of the newly packaged and reformulated products associated with the Elizabeth Arden brand repositioning, there has been a reduced pipeline of innovation of Elizabeth Arden products this quarter. We continue to make considerable progress toward this initiative, which we believe will be transformational for our company. We are on schedule to accomplish the rapid conversion of approximately 50 flagship customer doors by the end of September 2012, with a broader group of our customer doors to follow."
For the nine months ended March 31, 2012, the company reported net sales of $972.7 million, an increase of 5.5%, as compared to the prior year period. Excluding the favorable impact of foreign currency translation, net sales increased by 4.5%.
For fiscal 2012, the company now expects net sales growth of 5–5.5% over the prior fiscal year and net income per diluted share of $1.95–2.00. The company also still expects its gross margin to increase by 200–250 basis points over fiscal 2011. For the fourth fiscal quarter, net sales are expected to range between $261–267 million, or increase by 2.9% to 5.2%, including a negative impact from unfavorable foreign currency rates of 1.7% based on current rates.