Elizabeth Arden released its financial results for the third quarter of 2016, ending March 31. The company showed its fifth consecutive quarter of net sales growth with constant currency, both for the Elizabeth Arden brand and its international segment. Some other notables are listed below:
- GAAP net sales were $191.9 million, an increase of 0.1% from the prior year period, or an increase of 3.7% at constant foreign currency rates.
- Adjusted net sales, excluding non-recurring adjustments that increased net sales in the prior year period, improved by 3.8% at constant foreign currency rates.
- GAAP net loss per diluted share was $0.95.
- Adjusted net loss per diluted share was $0.59, as compared to a net loss per diluted share of $0.86 for the prior year period.
- By segment, North America segment net sales increased by 1.0%, and International segment net sales increased by 7.5%, in both cases at constant foreign currency rates.
Currently, the company expects the following for the fiscal year 2016:
- Net sales increases driven by the International business and the Elizabeth Arden brand (at constant foreign currency rates);
- Foreign currency headwinds to negatively impact full year net sales growth by approximately 3.5%;
- Gross margin expansion primarily due to better sales mix, improved commercial execution and improved cost structure;
- Lower overall selling, general and administrative expenses, with lower indirect overhead costs and targeted reinvestment in advertising to accelerate revenue growth;
- and Improved EBITDA margins from gross margin expansion and lower indirect overhead expenses.