Helen of Troy (NASDAQ:HELE) revealed Monday a stronger-than-expected 9.4% increase in third-quarter profit, helped by growing demand for its personal care products.
The El Paso, Texas-based company posted net income of $27.1 million, or 86 cents a share, compared with $24.7 million, or 80 cents a share, in the same quarter last year.
Results for the three months ended Nov. 30 trumped average analyst estimates polled by Thomson Reuters of 77 cents a share.
Revenue for the consumer products company was $205 million, up about 8.2% from $189.4 million a year ago, narrowly beating the Streetâ€™s view of $206.33 million.
The manufacturer of Dr. Schollâ€™s and Revlon products said its personal care segment contributed largely to the improvement, up about 9.2% to $146.5 million, assisted by its acquisitions of Pert Plus and Sure brands. Its housewares segment climbed 6% to $58.49 million, driven by higher demand for its dry and wet food storage categories.
Gerald J. Rubin, Helen of Troyâ€™s chief executive, said the company was very pleased with the results, noting growth surpassed a â€ścontinuingly difficult retail sales environment.â€ť
The company expressed optimism for the quarter ahead, noting it will take advantage of the slowly improving economy and continue to focus on targeted expense reductions, while searching for innovative methods to increase sales.
On Dec. 31, well into its fourth-quarter, Helen of Troy announced the completion of its Kaz acquisition. Kaz, which operates under brands such as Vicks, Braun and Honeywell, is expected to generate additional sales revenue for Helen of Troy of roughly $400 million.