Breaking News

First Half Sales Fall 1.5% at L'Oréal

August 1, 2014

Exchange rates put a damper on results

When exchange rates aren't in their favor, multinationals really like "like-for-like." That was the case at L'Oréal, which reported first half results today. The company noted that on a like-for-like basis, sales rose 3.8%, but on a reported basis, sales declined 1.5% to E11.17 billion.

In the second quarter, on a like-for-like basis, sales 4.1%, but as reported they fell 0.7% to E5.5 billion.

By division, for the first half, professional products rose 3.0% like-for-like and -1.7% based on reported figures. The division's growth was weaker in Asia, but has been confirmed in Western Europe and the US.

Consumer product sales rose 2.0% like-for-like, but fell 4.2% based on reported figures.

L'Oréal Luxe sales rose 7.4% like-for-like and 2.7% as reported.

Sales of active cosmetics rose 8.1% like-for-like and 3.2% as reported.

Finally, The Body Shop's sales fell 1.7% like-for-like and 1.4%as reported.

The company noted that first-half sales showed contrasts by distribution channel. L’Oréal Luxe is growing rapidly, driven by the vitality of the novel brands Urban Decay, Kiehl’s and Clarisonic and by the success of fragrances with Lancôme, “La Vie est Belle” and Giorgio Armani, "Sì". The Active Cosmetics Division also delivered a very good performance thanks to La Roche-Posay, which this year once again is growing very strongly, the continuing recovery of Vichy, and the roll-out of SkinCeuticals. The Professional Products Division is confirming its gradual improvement across all its brands. The Consumer Products Division’s growth is held back by a sluggish American market and, to a certain extent, by a slowdown in the New Markets, but remains solid in Western Europe, according to chairman Jean-Paul Agnon.

"In an uncertain economic and monetary environment, we are confident in the Group's ability to once again outperform the market in 2014 and to post another year of like-for-like sales growth, improved profitability and increased net earnings per share," he concluded.


 
blog comments powered by Disqus
  • Senior Skin Care

    Senior Skin Care

    Christine Esposito, Associate Editor||July 19, 2016
    McCord Research and Product Quest Manufacturing roll out new hospital-grade skin care kits for seniors to use at home.

  • An Antioxidant Arsenal

    An Antioxidant Arsenal

    July 11, 2016
    BioRewind is Dermarché Labs' new anti-aging regimen that delivers broad-spectrum antioxidant protection against free radicals

  • Enter Éclair

    Enter Éclair

    Christine Esposito, Associate Editor||July 5, 2016
    A new naturals line rolls out in Rite Aid stores nationwide.

  • Sustainability is Omnipresent

    Sustainability is Omnipresent

    Christine Esposito , Associate Editor||July 1, 2016
    Industry stakeholders convene in New York City for Organic Monitor’s annual event

  • Perceived Perfection

    Perceived Perfection

    Christine Esposito, Associate Editor||July 1, 2016
    From primers to pressed powders, facial cosmetics help create the illusion of a flawless complexion.

  • Preserve & Serve

    Preserve & Serve

    Melissa Meisel , Associate Editor||July 1, 2016
    Suppliers with innovative preservatives provide staying power for formulations.