Avon Products 2nd-quarter net income rises

AP News
Posted: Jul 28, 2011 8:52 AM
Avon Products 2nd-quarter net income rises

Cosmetics seller Avon Products Inc.'s second-quarter net income rose 23 percent, helped by higher revenue in Latin America, its largest region.

Avon said Thursday that net income rose 23 percent to $206.2 million, or 48 cents per share, from $167.6 million, or 39 cents per share last year.

Revenue rose 9 percent to $2.86 billion. Analysts expected earnings of 50 cents per share on revenue of $2.88 billion, according to FactSet.

North America continued to be a weak spot, with revenue down 7 percent to $508.4 million. But revenue in Avon's largest market, Latin America, rose 19 percent to $1.35 billion.

Revenue rose in most other regions, as well, including Central and Eastern Europe, Western Europe, the Middle East and Africa, but fell in Asia Pacific.

Two trouble spots for the company in the past, Russia and Brazil, both reported higher sales, although units sold fell slightly in Russia.

The company continues to expect mid-single digit revenue growth in the second half of the year.

Avon is based in New York.