September 7, 2018 • Local News
El Paso Inc: Helen of Troy job cuts part of restructuring
Helen of Troy, a $1.5-billion global company headquartered in El Paso, has made another round of job cuts in an effort to turn around one of its struggling divisions.
Helen of Troy (Nasdaq: HELE), one of two publicly traded companies based in El Paso, made cuts to its beauty division as part of its Project Refuel initiative, an 18-month restructuring effort.
Jack Jancin, senior vice president of corporate business development, confirmed cuts had been made but declined to say how many jobs were lost and who was laid off.
“We believe Refuel is critical to improving our efficiency and effectiveness,” Jancin said in an email. “As part of this, we have reduced costs and shifted resources in many parts of the company since last October, including the difficult decision last week to eliminate an equal number of positions at various levels at our U.S. headquarters in El Paso and at our offices in Connecticut.”
According to a person close to the company who asked not to be named, Scott Hagstrom, a senior vice president of sales in the professional division, was among those who lost their jobs. Hagstrom could not be reached to confirm whether he was still at the company.
Helen of Troy’s beauty division has continued to experience a decline in net sales due to a tougher market in brick-and-mortar retail, according to the company’s latest earnings report.
The beauty division designs, produces and markets hair appliances, accessories and personal care products under a number of popular brand names, including Revlon, Bed Head and Dr. Scholl’s.
“To continue improving our shared services, Project Refuel has now expanded to include the realignment and streamlining of our supply chain structure, which we believe will help mitigate potential cost headwinds in the remainder of this fiscal year and further strengthen our profitability longer term,” Helen of Troy CEO Julien Mininberg said in a statement.
Overall, the company’s sales have been up, and its stock recently hit an all-time high, which capped a steady four-year climb.
The company has done well under Mininberg, who oversaw a 30 percent jump in online sales in the quarter that ended May 31. That boosted overall sales by $29 million to $355 million.
In an interview with El Paso Inc. in July, he attributed much of the company’s successes to the increased sales of the company’s leadership products: OXO, Hydro Flask, Vicks, Braun, Honeywell, PUR and Hot Tools.
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