Grab the camouflage and toner: Revlon
It's a little hard to forgive the company when other cosmetics providers have displayed such a strong year. Estee Lauder
Revlon blamed a slowdown in its color cosmetics, a category that includes eyeliner, lipstick, eye shadow, and the like. Judging by the success of companies like Estee Lauder, which provides a whole array of high-end cosmetic brands like MAC, Prescriptives, and Clinique, one might wonder if a more comfortable consumer is willing to pay a little more for her makeup and skin treatments these days.
Meanwhile, another question is whether Procter & Gamble
Revlon's sales forecast is for 2004 sales growth of 3%, as compared to the 8% to 9% growth rate it previously anticipated. The company said it expects EBITDA for the year to be $190 million, with operating income of $90 million. That's slightly lower than its old view, which called for $200 million and $100 million, respectively.
Revlon also said that it would refinance its debt through units of Citigroup
However, even as Revlon works to strengthen its balance sheet and profits, it's hard to ignore the question of whether its products are resonating with today's female consumer. After all, it's an area where rivals are having such success these days. Revlon shares tacked on 3% today as investors reversed yesterday's negative course, but the real question may be if Revlon can pretty up its product lines.
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Alyce Lomax does not own shares of any of the companies mentioned.