Avon Products Inc.’s sales in the third quarter rose 11% to $1.61 billion, versus $1.45 billion in the year ago period.
Growth was driven by a 15% increase in beauty sales and a 10% gain in the number of active representatives, according to the New York-based cosmetics marketer.
Net income in the quarter ended Sept. 30 increased 47% to $133.1 million, compared with $90.3 million in the third quarter of 2002. Excluding a prior-year net charge, net income rose 15%. Revenue for the quarter was $1.6 billion, versus $1.5 billion for the same period last year.
In a statement, Andrea Jung, Avon chairman and CEO noted that international showed a 15% increase in sales and a 19% gain in operating profit. The U.S., the company’s largest market, posted sales growth of 7%.
Avon markets in 143 countries through 3.9 million sales representatives. In Latin America, sales in the quarter were up 14% in both dollars and local currencies, supported by an 11% increase in active representatives and 1% growth in units. In the Pacific region, sales rose 7% in dollars and 5% in local currencies, with active representatives up 13% and units up 2%.
Sales in the first nine months of 2003 rose 9% to $4.72 billion, from $4.33 billion in the first nine months of 2002. Revenue was $4.8 billion, compared to $4.4 billion for the first three quarters of last year.
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