Results of Operations by Quarter (Unaudited)



2018	First			Second			Third		Fourth			Year
Total revenue	$	1,393.5		$	1,351.9		$	1,424.2	$	1,401.7		$	5,571.3
Gross profit	813.8			812.2			885.8		695.5			3,207.3
Operating profit⁽¹⁾	44.9			53.0			186.9		(49.6		)	235.2
Income (Loss) from continuing operations, before taxes	10.4			(0.3		)	182.1		(84.1		)	108.1
(Loss) income from continuing operations, net of tax⁽²⁾	(21.1		)	(37.0		)	113.8		(77.5		)	(21.8		)
Net loss attributable to noncontrolling interests	.8			.9			.7		(.1		)	2.3
Net (loss) income attributable to Avon	$	(20.3	)	$	(36.1	)	$	114.5	$	(77.6	)	$	(19.5	)

(Loss) earnings per common share from continuing operations
Basic	$	(.06	)	$	(.09	)	$	.21	$	(.19	)	$	(.10	)	(3)
Diluted	(.06		)	(.09		)	.21		(.19		)	(.10		)	(3)



2017	First			Second			Third		Fourth		Year
Total revenue	$	1,333.1		$	1,395.9		$	1,417.8	$	1,568.8	$	5,715.6
Gross profit	816.0			870.9			867.8		957.6		3,512.3
Operating profit⁽¹⁾	29.8			32.7			87.3		131.5		281.3
(Loss) income from continuing operations, before taxes	(6.7		)	(12.2		)	48.0		91.6		120.7
(Loss) income from continuing operations, net of tax⁽³⁾	(36.5		)	(45.8		)	11.9		90.4		20.0
Net (income) loss attributable to noncontrolling interests	—			.3			.6		1.1		2.0
Net (loss) income attributable to Avon	$	(36.5	)	$	(45.5	)	$	12.5	$	91.5	$	22.0

(Loss) earnings per common share from continuing operations
Basic	$	(.10	)	$	(.12	)	$	.01	$	.17	$	—	(4)
Diluted	(.10		)	(.12		)	.01		.17		—		(4)

(1) Operating profit (loss) was impacted by the following:



2018	First			Second		Third			Fourth		Year
Brazil IPI tax release	$	—		$	—	$	(168.4	)	$	—	$	(168.4	)
Costs to implement restructuring initiatives:
Cost of sales	0.6			0.5		(0.1		)	90.5		91.5
SG&A expenses	10.3			23.2		19.9			35.6		89.0
Total costs to implement restructuring initiatives	$	10.9		$	23.7	$	19.8		$	126.1	$	180.5

2017	First			Second		Third			Fourth		Year
Costs to implement restructuring initiatives:
Cost of sales	$	(.1	)	$	—	$	—		$	.7	$	.6
SG&A expenses	10.1			20.3		6.2			23.0		59.6
Total costs to implement restructuring initiatives	$	10.0		$	20.3	$	6.2		$	23.7	$	60.2
Loss contingency	$	—		$	18.2	$	—		$	—	$	18.2

In addition to the items impacting operating profit (loss) above:


(2)	(Loss) income from continuing operations, net of tax during 2018 was impacted by one-time tax reserves of approximately $18 associated with our uncertain tax positions, and an expense of approximately $3 associated with the ownership transfer of certain operational assets within the consolidated group.

(3)

(Loss) income from continuing operations, net of tax during 2017 was impacted by a $29.9 net income tax benefit recognized in the fourth quarter as a result of the enactment of the Tax Cuts and Jobs Act in the U.S., a release of valuation allowances of $25.5 associated with a number of markets in Europe, Middle East & Africa as a result of a business model change related to the move of the Company's headquarters from the U.S. to the UK, and a $10.4 benefit as a result of a favorable court decision in Brazil, partially offset by a charge of $16.0 associated with valuation allowances to adjust deferred tax assets in Mexico.


(4)	The sum of per share amounts for the quarters does not necessarily equal that for the year because the computations were made independently.

See Note 17, Restructuring Initiatives, "Results Of Operations - Consolidated" within MD&A on pages 35 through 43, Note 15, Segment Information, "Venezuela Discussion" within MD&A on pages 42 through 43, Note 1, Description of the Business and Summary of Significant Accounting Policies, Note 14, Employee Benefit Plans, Note 19, Contingencies, Note 8, Debt and Other Financing and Note 10, Income Taxes, for more information on these items.