March 01, 2010
Financial News, March 2010
Educational Development Corporation
Educational Development Corporation (EDUC—Nasdaq) reported record sales and earnings for the quarter-ended Nov. 30, 2009, with net revenue of $10 million, compared to $9 million, and net earnings of $925,100, compared to $649,500 for the same period last year.
The Home Business Division, after incurring an 18 percent decline in revenue during the first six months, made a terrific recovery in the third quarter to nearly equal the sales in the same period last year.
Educational Development Corporation sells children’s books, including Usborne Books and the Kane/Miller line of international children’s titles through a multilevel sales organization of independent consultants, through 5,000 retail stores and over the Internet. More than 1,500 different titles are available for children of all ages, with periodic new additions.
Blyth Inc. (BTH—NYSE) announced that its board of directors has declared a special cash dividend of $1.00 per share on the company’s common stock, for a total dividend payment of approximately $8.9 million. The special dividend will be payable to shareholders of record as of Feb. 2, 2010, and will be paid on Feb. 16, 2010.
The special dividend is in addition to regular semiannual dividends paid this fiscal year ending Jan. 31, 2010, totaling 20 cents per share on the company’s common stock. Therefore, Blyth will declare total dividends this fiscal year of $1.20 per share or approximately $10.7 million.
Blyth Inc., based in Greenwich, Conn., is a Home Expressions company that markets an extensive array of home-fragrance products, decorative accessories, seasonal decorations and household convenience items. The company sells its products through multiple channels of distribution, including the home party-plan method of direct selling, as well as through the catalog, Internet and wholesale channels.
Fourth-Quarter and Year-End 2009 Results
Nu Skin Enterprises
Nu Skin Enterprises Inc. (NUS—NYSE) announced revenue for the fourth quarter of 2009 was $378.1 million, a 19 percent improvement over the prior-year period. Earnings per share for the quarter were 47 cents, a 104 percent improvement, or 31 percent when excluding nonoperating items impacting year-over-year comparability.
The company generated record annual revenue of $1.33 billion in 2009, a 7 percent improvement over the prior year. Earnings per share for the year were $1.40, a 37 percent increase, or 22 percent when excluding nonoperating items impacting year-over-year comparability.
“We finished our 25th anniversary year on a high note, with record revenue, a record launch of our new skincare system, and a record number of executive distributors,” said Truman Hunt, President and Chief Executive Officer. “Each region is contributing to our growth, with particularly strong double-digit gains in South Korea, the Americas, China, Southeast Asia and Europe.”
Nu Skin Enterprises Inc. is a global direct selling company operating in 48 markets throughout Asia, the Americas and Europe with a salesforce of more than 760,000. The company markets premium-quality personal-care products under the Nu Skin® brand, science-based nutritional supplements under the Pharmanex® brand, and technology-based products and services under the Big Planet® brand.
Tupperware Brands Corporation
Tupperware Brands Corporation (TUP—NYSE) reported that fourth-quarter 2009 sales increased in local currency by 10 percent versus 2008, before a positive impact from foreign-exchange rates of 10 percent. This resulted in GAAP sales that were 20 percent greater than the fourth quarter of 2008’s. Net sales were at $626 million for the fourth quarter of 2009, up from $521.7 million for the same quarter in 2008.
Full-year company sales grew 6 percent in local currency (down 2 percent reported). The Tupperware brand segments grew 8 percent in local currency (up 1 percent reported) and the beauty brand segments were up 3 percent in local currency (down 7 percent reported). Net sales for year-end 2009 were at $2.1 billion, down slightly from the $2.2 billion in 2008.
The total salesforce was up 6 percent at the end of December, and active sellers for the year were even with 2008.
Tupperware Brands Corporation is a portfolio of global direct selling companies, selling premium innovative products across multiple brands and categories through an independent salesforce of 2.4 million.
Avon Products Inc.
Avon Products Inc. (AVP—NYSE) reported that fourth-quarter 2009 total revenue of $3.2 billion was 13 percent higher than that of fourth-quarter 2008, or 8 percent higher on a local-currency basis. Active representatives grew 11 percent, with growth in all regions. Net income in fourth-quarter 2009 was $269 million, or 62 cents per share, compared with $232 million, or 54 cents per share, in the year-ago quarter.
Full-year 2009 total revenue of $10.4 billion was 3 percent lower than that of 2008, but up 6 percent on a local-currency basis, as foreign exchange pressured growth by 9 percentage points. Total beauty sales were down 3 percent but up 7 percent on a local-currency basis. Active representatives grew 9 percent, with growth in all regions. Full-year net income was $626 million, or $1.45 per share, compared with $875 million, or $2.03 per share last year.
Avon, the company for women, is a leading global beauty company, with more than $10 billion in annual revenue. As the world’s largest direct seller, Avon markets to women in more than 100 countries through more than 6.2 million independent Avon sales representatives.
Direct Selling News has accumulated this information from public sources, including press releases and SEC filings. The information is presumed accurate and reliable. However, it is not an endorsement of any investment opportunity. Proper and considerable due diligence should be completed before making any investment.