Why Revlon Shares Are Plunging Today

Advertisement

Revlon (NYSE:REV) stock was hit hard on Thursday following the release of a poor earnings report for the second quarter of 2018.

Why Revlon Shares Are Plunging Today

Revlon’s earnings report for the second quarter of the year includes losses per share of $1.54. This is worse off than the company’s losses per share of 46 cents from the same time last year. It was also a blow to REV stock by coming in well below Wall Street’s losses per share estimate of 27 cents for the quarter.

Revlon also reported a net loss of $122.50 million for the second quarter of 2018. This is a wider net loss than the $36.50 million that was reported in the second quarter of the previous year.

During the second quarter of the year, Revlon reported an operating loss of $58.00 million. The maker of cosmetics and personal care products reported operating income of $5.20 million in the same period of the year prior.

Revlon’s revenue of $606.80 million for the second quarter of 2018 also didn’t do REV stock any favors today. First off, it’s a drop from the company’s revenue of $645.70 million reported in the second quarter of 2017. Secondly, it was unable to reach analysts’ revenue estimate of $637.30 million for the period.

Performance from Revlon’s flagship brands was partially responsible for the revenue decline during the quarter. The segment was down nearly 11% from the same time last year. REV also saw a 15% drop in revenue from its Fragrances segment in the second quarter of the year.

REV stock was down 6% as of Thursday afternoon and is down 27% year-to-date.

As of this writing, William White did not hold a position in any of the aforementioned securities.


Article printed from InvestorPlace Media, https://investorplace.com/2018/08/why-revlon-shares-are-plunging-today/.

©2024 InvestorPlace Media, LLC