Oriflame - Q2 Report

Interim report 1 January - 30 June 2010

Three months ended 30 June 2010
Local currency sales increased by 9% and Euro sales increased by 19% to €375.0m
(€315.5m).
Average size of the sales force increased by 5% to 3.6m consultants and closing
sales force was up by 4%.
EBITDA before restructuring costs amounted to €44.3m (€38.7m).
The operating margin before restructuring costs was 10.1% (10.3%) resulting in
an operating profit of €37.9m (€32.3m).
Net profit before restructuring costs amounted to €29.5m (€22.6m).
EPS after dilution and before restructuring costs amounted to €0.52 (€0.40).
Cash flow from operating activities amounted to €22.7m (29.9m).
Business conditions in Iran have deteriorated and this development has escalated
after the close of the quarter. For this reason Oriflame is now evaluating its
options in this market.




Six months ended 30 June 2010
Local currency sales increased by 6% and Euro sales increased by 12% to €736.8m
(€656.8m)
Net profit before restructuring costs amounted to €66.7m (€46.8m).
EPS after dilution and before restructuring costs amounted to €1.17 (€0.82).
Cash flow from operating activities amounted to €43.4m (€42.5).

"As planned we have during the spring focused considerable resources on top line
growth activities, and we start to see effects in line with our expectations
during the second quarter. These initiatives will, as previously communicated,
hold back profitability in the short term but we are happy with the development
and our outlook for the year remains", CEO Magnus Brännström comments.


[HUG#1436982]





Report in PDF: 


http://hugin.info/134730/R/1436982/381856.pdf




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Source: Oriflame Cosmetics via Thomson Reuters ONE