L’Occitane’s Half Year Sales Surge

L’Occitane International S.A., a global, natural and organic ingredient-based cosmetics and well-being products manufacturer and retailer, posted a 21.9% increase in sales to $582 million at current exchange rates for the first six months of 2012. The gains were driven by sales in the US, Hong Kong, Russia and China. Operating profit rose 27.9% $54.3 million and operating margin rose to 9.3%. Profit for the period up by 15.8% to $44.7 million and net profit margin was 7.7%.


Total number of retail locations increased from 2,082 as of March 31, 2012 to 2,218 as of September 30, 2012. The net own stores openings were 57 over the six months ended September 30l, 2012 compared to 56 over the same period last year, excluding the acquisition of distributors.


“The company has demonstrated strong resilience in the current challenging market environment,” said Reinold Geiger, chairman and CEO of L’Occitane. “Apart from our global retail expansion strategy for new store openings and important store renovations, we will continue our investments to further strengthen our business platform for future growth. The digital online channel remains a key area of focus and growth driver for the company. Increased spending has been allocated to this channel to enhance our internet presence and we are seeing strong developments in our e-commerce business.


“In the second half of the year, the company will continue to grow, expand and explore strategic acquisition opportunities to further enhance its current leading position in the industry. We remain committed to our vision and will continue to invest and take advantage of potential business opportunities which will create lasting value for our shareholders.”