Things Are Looking Up at L’Oréal

Annual sales for 2010 rose 12% to $26.6 billion for the international cosmetics giant L’Oréal, second in Happi’s International Top 30.

Jean-Paul Agon, chief executive officer of L’Oréal, commented, “In the context of an upturn in the cosmetics market, L’Oréal achieved strong sales growth. The group advanced in all zones, all channels and all business segments; more dynamic than the market, it bolstered its position as the world number one in beauty.

2010 was a year of conquests for the group, according to Agon, with several of brands achieving spectacular breakthroughs: L’Oréal Professionnel with its hair colourant Inoa, Maybelline in mass-market makeup, Yves Saint Laurent which is experiencing a renaissance, and La Roche-Posay, which is continuing its expansion.

The group is growing in Western Europe, clearly improving its positions in North America, and continuing its conquest of the new strategic markets, particularly in Asia and Latin America. In 2010, L’Oréal China became the group’s number three cosmetics subsidiary.

“These performances confirm the relevance of the strategic thrusts adopted at the end of 2008: accessible innovation, new product categories, accelerated globalisation of our brands, and strengthening of our R&D and advertising & promotional investments,” added Agon. “2010 was also a year of strong profit growth; the actions taken over the last two years to improve operating efficiency are continuing to pay off.

“Well prepared to seize all strategic opportunities, and driven by the ambition of winning a further one billion new consumers, L’Oréal is turning a new page in its history: the page of universalization and beauty for everyone. Supported by an encouraging start to the year, we are confident in the group’s ability to achieve a new year of sales and profit growth in 2011.”