CVSL Revenue Climbs 54% as Quarterly Loss Narrows

Direct selling group CVSL Inc. (CVSL—NYSE MKT) on Monday reported a loss of $4.9 million or 23 cents per share in the third quarter, up from a $6.7 million loss a year ago.

Revenue rose 54 percent to $37 million, boosted by the acquisition of Kleeneze in March 2015 and higher sales in the gourmet food segment. Year to date, revenue is up 22 percent.

The company acquired U.K.-based Betterware in the third quarter, but management said its focus was on strengthening CVSL’s existing portfolio of companies through cost-control and efficiency measures.

“Our core business is showing good improvement as our turnaround efforts are having a positive effect,” Vice Chairman John Rochon Jr. said in the company’s release. “We believe that we are now in the position of using CVSL’s earnings primarily to fund growth in the future, rather than to fund losses as was the case earlier in our development.”

Gross profit was up 69 percent at $22.1 million, with a margin of 60 percent compared to 54 percent in the prior year. The company closed out the quarter with $5.4 million in cash, versus $2.6 million a year ago.

Advertisements

About Direct Selling News
Direct Selling News Magazine has been serving direct selling and network marketing executives since 2004. Each issue of Direct Selling News offers content on topics that shape the dynamics of our industry.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: