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    Top 20 Companies

    20. Revlon

    ...

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    Jamie Matusow, Editor-in-Chief11.02.15
    Update: Revlon ranks at #20 on our latest report Top 20 Global Beauty Companies 2021.

    New York, NY
    www.revlon.com

    Beauty Sales: $1.9 billion

    Key Personnel: Ronald O. Perelman, chairman; David L. Kennedy, vice chairman; Lorenzo Delpani, president and chief executive officer; Roberto Simon, executive vice president and chief financial officer, Javier Asarta, executive vice president, chief marketing officer, Revlon Pro Brands; Benjamin Karsch, executive vice president, chief marketing officer, Revlon Consumer Products; Sennen Pamich, executive vice president, global president, Revlon Professional Division; Gianni Pieraccioni, executive vice president, global president, Revlon Consumer Products.

    Major Products/Brands: Consumer and Professional products including, Consumer—Revlon, Almay, SinfulColors and Pure Ice in cosmetics; Revlon ColorSilk in women’s hair color; Revlon in beauty tools; and Mitchum in anti-perspirant deodorants; and Professional—comprised primarily of the brands the company acquired in the Colomer acquisition, which include Revlon Professional in hair color and hair care; CND-branded products in nail polishes and nail enhancements; and American Crew in men’s grooming products.

    New Products: Revlon ColorBurst Matte Balm-Ultra HD Lipstick, Revlon Photoready Airbrush Effect Makeup, Revlon Colorstay Gel Envy, Almay Intense i-Color Everyday Neutrals, Crème of Nature Pudding Perfection, Ultima II Clear White Supreme.

    Comments: Revlon, with products sold in 150 countries across six continents, says its vision is to become “the quintessential and most innovative beauty company in the world by making consumers feel attractive and beautiful.” Last year was a year of change and transformation for the Revlon business, with the acquisition and integration of the Professional brands that comprise The Colomer Group into the company. The U.S.-based beauty group redesigned its organization, focused on key brands in both divisions, and launched two major campaigns: Revlon Love Is On (end of 2014) and Almay Simply American (January 2015).


    Revlon aims to become a key beauty player.

    Revlon’s financial performance was the best in many years. Sales rose dramatically to $1.9 billion, compared to $1.4 billion in 2013. The increase of $460.9 million was largely due to Revlon’s acquisition of Colomer in October 2013. Consumer sales accounted for about three-quarters of the total.

    In the U.S., net sales increased $189.1 million, or 22.7%, to $1,021.9 million, and accounted for approximately 53% of the company’s 2014 net sales. Products are primarily sold in the mass retail channel, at Walmart, Walgreens, CVS and Target in the U.S., Shoppers DrugMart in Canada, A.S.Watson & Co. retail chains in Asia Pacific and Europe and Boots in the U.K.

    Net sales outside the U.S. accounted for approximately 47%. The three countries outside the U.S. with the highest net sales were Spain, Canada and the UK, together accounting for approximately 15%.

    Within the Consumer segment, Revlon color cosmetics, Revlon ColorSilk hair color and Mitchum products all posted sales increases, which were partially offset by lower net sales of fragrances, Almay color cosmetics and SinfulColors and Pure Ice color cosmetics. Professional product sales were up on the strength of American Crew, Revlon products, CND nail products and Crème of Nature products.

    Professional products customers include Beauty Systems Group, Salon Centric and TNG Worldwide, as well as individual hair and nail salons and other distributors in the U.S. and internationally. This segment also includes the Creme of Nature multicultural line with hair care products sold in the mass retail channel and in professional salons, primarily in the U.S.

    News of Note

    In 2014, the company spent $31.6 million on R&D.

    In March 2014, Revlon signed singer/songwriter and “American Idol” star, Carrie Underwood to represent the full range of Almay products in global, multimedia campaigns spanning television, print, in-store, digital and social platforms.

    In December, Revlon reported that it was removing some long-chain parabens and formaldehyde-releasing chemicals from its products, a move that was praised by the Environmental Working Group.

    Looking Ahead

    The news wasn’t quite so bright for the first quarter of 2015, ended in March. Sales dropped 13% to $438 million, which the company blamed on a strong U.S. dollar and foreign currency, since sales were basically flat. Consumer sales dipped 4.5% to $324 million; higher sales of Revlon color cosmetics and Mitchum products made up for weaker sales of Almay. Professional segment sales dropped 8.5% to $114 million, due to lower sales of CND nail products, which were partially offset by higher sales of American Crew and Revlon Professional products. By region, U.S. sales fell 2.3% to $244 million and international sales dropped 11.6% to $194 million.

    Revlon’s latest news came last month when the cosmetics company announced an online fundraising campaign called “The Revlon Love Is On Million Dollar Challenge.” The  Challenge is the company’s philanthropic platform, which aims to benefit more than 100 women’s health charities; all were asked to compete to raise funds online. The charity that generates the most contributions will be eligible to receive an additional $1 million donation from Revlon, with the runner-up entitled to $250,000.

    Additionally, a total of $150,000 will be distributed through weekly “bonus challenges” over the course of the six-week competition. 
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