On Jan. 26, 2007, Alberto-Culver (NYSE:ACV) released first-quarter earnings for the period ended Dec. 31, 2006.

  • The company's results show the effect of its restructuring. It recently separated its consumer-products business from the beauty supply distribution business, creating two separate, publicly traded companies, Alberto-Culver and Sally Beauty Holdings (NYSE:SBH).

  • As a result of this separation, the shareholders will receive one share of common stock of both the companies, and a special cash dividend of $25 per share.

  • The company's top-line growth was driven by strong demand for many of its brands, especially Nexxus and TRESemme.

  • The board has approved a quarterly cash dividend of $0.055 per share.

  • Alberto-Culver is currently rated a two-star stock by the Motley Fool CAPS community. To add your own opinion to the database, join the service for free today!

(Figures in millions, except per-share data)

Income Statement Highlights

Q1 2007

Q1 2006

Change

Sales

$351.1

$311.9

12.6%

Net Profit*

$0

$14.4

(100.0%)

EPS

$0

$0.16

N/A

Diluted Shares

95.7

92.5

3.5%

*Excludes income from discontinued operations

Get back to basics with a look at the income statement.

Margin Checkup

Q1 2007

Q1 2006

Change*

Gross Margin

51.5%

51.6%

(0.1)

Operating Margin

(0.5%)

6.6%

(7.0)

Net Margin

0%

4.6%

(4.6)

*Expressed in percentage points.

Margins are the earnings engine. See how they work.

Balance Sheet Highlights

Assets

Q1 2007

Q1 2006

Change

Cash + ST Invest.

$244.5

$177.6

37.7%

Accounts Rec.

$239.5

$277.1

(13.6%)

Inventory

$201.9

$716.6

(71.8%)



Liabilities

Q1 2007

Q1 2006

Change

Long-Term Debt

$122.0

$124.3

(1.8%)



Learn the ways of the balance sheet.

Cash Flow Highlights

Alberto-Culver's cash is MIA!

Find out why Fools always follow the money.

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