By  on July 13, 2006

L'Oréal Sales Up in Half
PARIS — L'Oréal's second-quarter 2006 sales rose 6 percent, to 3.84 billion euros, or $4.78 billion at average exchange, year-on-year.

For the first half ended June 30, the French beauty giant's sales hit 7.79 billion euros, or $9.58 billion, an 8.7 percent increase. The company said the net impact of changes in consolidation, mainly due to the purchase of Skinceuticals and Delial last summer, added 0.5 percent to the company's sales. Currency fluctuations boosted the business by 2.4 percent.

On a like-for-like basis, L'Oréal's first-half sales rose 5.8 percent.

"The increase of our sales up to the end of June is very encouraging and confirms the clear upturn in the group's growth, particularly in Western Europe," said Jean-Paul Agon, L'Oréal's chief executive officer, in a statement. "Furthermore, high growth rates have been recorded in the new markets, such as Latin America and Eastern Europe. The major launch programs and promotional activities scheduled for the second half-year should enable us to maintain this momentum. All these factors mean that we are very confident about the outlook for the 2006 results."

L'Oréal registered sales upticks around the world in the first half. In Western Europe, sales rose 3.9 percent, to 3.67 billion euros, or $4.52 billion; in North America, 9.5 percent, to 1.97 billion euros, or $2.42 billion; in Asia, 10.8 percent, to 740 million euros, or $910.9 million; in Latin America, 28 percent, to 481 million euros, or $592.1 million; in Eastern Europe, 26.7 percent, to 411 million euros, or $505.9 million, and in "other countries," 10.1 percent, to 365 million euros, or $449.3 million.

All L'Oréal's operational divisions posted gains, as well. Professional products sales increased 4.7 percent to 1.07 billion euros, or $1.32 billion; consumer products, 8.2 percent, to 4.08 billion euros, or $5.02 billion; luxury products, 9.4 percent, to 1.79 billion euros, or $2.2 billion, and active cosmetics, 16.6 percent, to 653 million euros, or $803.8 million. L'Oréal's dermatology business registered growth of 11.6 percent, to 152 million euros, or $187.1 million.

Parlux Private Bid Rescinded
NEW YORK — Ilia Lekach, chairman, president and chief executive officer of Parlux Fragrances Inc., has rescinded his bid to take the company private, stating the beauty firm has "received several significant offers from third parties to acquire certain of its brands."

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