How Do We Expect Revlon’s Hair Color Division To Trend?
Revlon’s hair color division contributes to around 27% of its revenues and around 21% of our stock price valuation for the company. Prior to the acquisition of The Colomer Group (TCG) in 2013, Revlon did not have a salon specific product, hence it lost unit volumes to salon brands. Revenue contribution from this category increased from around 17% in 2013 to 28% in 2014 post the TCG acquisition. Given that TCG generates a majority of its revenues from hair care products, the acquisition should boost hair care revenues for Revlon. We expect Revlon’s hair color division’s revenues to increase by a CAGR of ~3% over the next 5 years.

Have more questions on Revlon? See the links below.
- What Is Revlon’s Fundamental Value On The Basis Of Its Forecasted 2015 Results?
- How Has Revlon’s Revenue And EBITDA Composition Changed Over 2012-2016E?
- What Is Revlon’s Revenue And EBITDA Breakdown?
- Revlon: 2015 Year In Review
- What Is Revlon’s Fundamental Value Based On 2016 Estimated Numbers?
- How Has The TCG Acquisition Boosted Revlon’s Growth?
- How Did Revlon’s Different Segments Perform Over The Last 5 Years?
- Revlon’s Q1 2016 Earnings Results
- What Are The Implications Of Revlon’s Acquisition Of Cutex International Business?
- Revlon’s Expected Revenue And EBITDA For 2016: Trefis Estimate
- How Might The Acquisition Of Elizabeth Arden Help Revlon?
- How Is Revlon’s Revenue Composition Expected To Trend?
- How Is Revlon Expecting To Benefit From The Elizabeth Arden Deal?
- How Might Revlon’s Valuation Change Post The Elizabeth Arden Deal?
- How Do Revlon’s Preliminary Q2 2016 Results Look?
- Revlon Is Gearing Up For A Bigger Presence In The Beauty Arena With The Elizabeth Arden Deal
Notes:
1) The purpose of these analyses is to help readers focus on a few important things. We hope such lean communication sparks thinking, and encourages readers to comment and ask questions on the comment section, or email content@trefis.com
2) Figures mentioned are approximate values to help our readers remember the key concepts more intuitively. For precise figures, please refer to our complete analysis for Revlon