Alberto-Culver Company announced record sales and record profits excluding non-core items for the third quarter and first nine months of fiscal year 2006, which ended on June 30, 2006.
Third quarter 2006 sales increased 6.0 percent to $952.7 million while pre-tax earnings including non-core items decreased 50.1 percent to $41.0 million. Net earnings including non-core items decreased 42.9 percent to $30.5 million.
Diluted net earnings per share were 33 cents in the third quarter of 2006, after the deduction of 34 cents for fees and expenses related to the terminated agreement with Regis Corporation and the agreement with a fund managed by Clayton, Dubilier & Rice (CD&R), which is referred to collectively herein as the "Sally transactions," and 2 cents for stock option expense, versus 57 cents per share last year after a 3 cent deduction for the non-cash charge relating to the conversion to a single class of stock.
Excluding non-core items, pre-tax earnings increased 10.4 percent to $94.8 million while net earnings were up 16.4 percent in the third quarter to $65.0 million from $55.8 million in the prior year. Third quarter diluted net earnings per share were 69 cents compared to 60 cents in 2005 excluding the non-core items. Third quarter net earnings for the current year included tax benefits totaling $3.5 million or 3 cents per share mainly related to the favorable resolution of open tax items.
Sales for the first nine months of fiscal 2006 grew by 6.4 percent to $2.80 billion. Including non-core items, pre-tax earnings for the nine months decreased 11.4 percent to $207.2 million while net earnings were lower by 8.2 percent to $139.5 million. Diluted net earnings per share for the current nine month period were $1.50, after the deduction of 38 cents for expenses related to the Sally transactions and 9 cents for stock option expense, versus $1.63 per share in the prior year after an 8 cent deduction for the non-cash charge relating to the conversion to a single class of stock.
marketing@alchempro.com
