Tupperware Brands reported Wednesday another challenging quarter to start the year with a 10 percent drop in sales.
Sales at the Kissimmee-based direct seller of home and beauty goods fell to $487.3 million during the first three months of 2019, compared with $542.6 million during the same period the year before.
Sales were down 2 percent in local currencies where the company operates.
Even so, net income improved to $36.9 million in the quarter from $35.7 million a year before. Adjusted earnings per share of 90 cents beat analysts estimates by a penny, according to Yahoo Finance. Shares of Tupperware (NYSE: TUP) were up about 2 percent in early trading Wednesday.
"We are beginning to implement the detailed project plans for transformation initiatives that we announced in January aimed at enabling sales growth and providing some future direct annualized cost savings," president and CEO Tricia Stitzel said in a statement. "In the near term, we are pleased to see sequential improvement in sales as we continue to stabilize the business during this transformation period."
Sales fell in every major market for the company, including a 20 percent sales drop in its key South American markets. Sales fell 11 percent in North America, 9 percent in Asia and 4 percent in Europe.
Tupperware's sales were also down 11 percent in its emerging markets, which accounts for 69 percent of sales. Sales increases in China, Argentina and Poland couldn't make up for drops in Brazil, India and Indonesia, the company reported.
Overall, the company's sales force also dropped by 3 percent to 3.03 million people, which included a 16 percent decrease in Asia.
Tupperware is expecting a flat to down year, giving full-year guidance that includes a sales range anywhere from a 2 percent drop to flat compared with last year. Sales fell 5 percent in 2018 compared with the previous year.
