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It had a profit of $15.9 million, or 51 cents a share, in the June through August quarter.
"Cost control really helped drive earnings up," said Rommel Dionisio, an analyst for Los Angeles-based Wedbush Morgan Securities. Raw materials, shipping and other costs are down because of the global recession, which is helping the company reduce costs, Dionisio said.
The company reduced its selling, general and administrative expenses by $2.1 million, or 4.2 percent, in the second quarter.
The company's sales increased 5.7 percent in the June through August quarter to $162.2 million, boosted by two recent acquisitions in its personal-care segment, and by continued sales growth in its Oxo housewares division.
Helen of Troy CEO Gerald Rubin told analysts in a conference call that the company expects sales and earnings to increase in the second half of the year.
Retailers seem a little more optimistic about this year's holiday shopping season than they were last year, he said.
Rubin also told analysts that the company continues to pursue more acquisitions.
"We are on the acquisition trail. Hopefully one company we are (currently) looking at will work out for us," Rubin said.
Helen of Troy's March acquisition of the Infusium 23 hair-care products line from the ProcterandGamble Co., and
the October 2008 acquisition of the Ogilvie brand of home hair permanent and hair-straightening products helped the company increase its personal-care sales 4.9 percent in the second quarter from a year ago to $111.6 million.
Sales in the company's Oxo housewares division increased 7.3 percent from a year ago to $50.6 million, and sales of food storage containers were a big part of that growth, the company reported.
Oxo's sales increase is impressive in a tough economy, Dionisio wrote in a report to investors.
"The company continues to broaden the well regarded Oxo brand of ergonomic kitchen tools into additional new categories, such as office products, hand tools, and even medical syringes," Dionisio wrote.
Helen of Troy's stock closed at $22.50 a share Wednesday, up $2.50 a share, a 12.5 percent increase.
Vic Kolenc may be reached at vkolenc@elpasotimes.com; 546-6421.
More information: www.hotus.com.
Highlights
Helen of Troy's second-quarter financial highlights:
--Sales: $162.2 million, up 5.7 percent.
--Profit: $15.9 million, up 50 percent.
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