Avon Products Inc. reported a deep quarterly loss and a weakening cash position, sparking renewed concerns about the beauty company’s liquidity as it works through a difficult turnaround, according to Nasdaq.
Avon shares fell 19% in intraday trading on November 4 to $3.50, giving the company a market value of $1.8 billion. The shares have dropped 62% in the year to date.
The door-to-door seller of cosmetics and accessories posted disappointing third-quarter results, in which revenue slumped 22% and Avon’s ranks of active representatives continued to thin in the U.S. and many parts of the world. The New York-based company also lowered its sales and profit margin forecasts for the full year, underscoring its struggles to attain growth.
Avon’s chief financial officer, James Scully, said the company is weighing plans for its dividend next year in