Revlon, Inc. (NYSE:REV) Q2 2018 Earnings Conference Call - Final Transcript

Aug 09, 2018 • 08:30 am ET

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Revlon, Inc. (NYSE:REV) Q2 2018 Earnings Conference Call - Final Transcript

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Presentation
Operator
Operator

Hello and welcome to Revlon's Q2 Quarter 2018 Earnings Conference Call. (Operator Instructions) As a reminder, this conference is being recorded Thursday, August 9, 2018. I would now like to turn the conference over to your host, Eric Warren, VP, Treasurer and Head of IR. Please go ahead.

Executive
Eric Warren

Thank you, Courtney. Good morning everyone and thanks for joining the call. Earlier today, the Company released it's financial results for the quarter ended June 30, 2018. If you have not already received a copy of the earnings release, a copy can be obtained on the Company's website at revloninc.com.

On the call this morning are Debbie Perelman, President and CEO, and Victoria Dolan, CFO. (Forward-Looking Cautionary Statements) Please also note, that certain amounts provided throughout this call have been rounded. The call today should not be copied or recorded.

And with that, we'll turn the call over to Debbie.

Executive
Debbie Perelman

Thank you, Eric. Good morning, everyone, thank you for joining the call. Before we get into business performance, I want to take a few minutes and share my thoughts and observations on stepping into my new role and taking leadership of the Company.

Unlike many new CEOs, I'm not new to the Company. I've worked in and with Revlon in different capacities for more than 20 years and believe this is a great company. We have world-class talent who are committed to being leaders and innovators who drive the future of beauty. Revlon and Elizabeth Arden, are both company of first. And I believe that our combined company will reclaim its leadership position for sustained long-term growth.

I believe we have the tools to succeed in the modern beauty world which is an industry that is both growing and transforming. We have iconic brands in our portfolio and talented and passionate people who are committed to innovation and delivering the best products to consumers. I'm confident in our digital transformation strategy across all of our brands and platforms, and know that it will propel us to capture leadership positions where we should be winning.

Our strategy focuses on strengthening our brands and enhancing the avenues through which we communicate and connect with our consumers. We are focused on ensuring total availability of our products where the consumer shops, both in the brick-and-mortar world and online. In doing this, we are building strategic capabilities and partnerships to position the Company to win over the long-term.

I have confidence in our brands to succeed in the market and we have seen positive signs. In the second quarter, the Elizabeth Arden brand, as well as our portfolio brands have experienced growth of approximately 5% and 3% respectively in the quarter. Within the portfolio segment, our Almay and CND brands were up approximately 40% and 36% respectively. Additionally, sales from e-commerce for Revlon color cosmetics grew approximately 30%. We are also experiencing 46% growth in China, as well as 35% growth in Travel Retail. There is a lot of work to be done but with our talent,