Puig Unveils New Business Structure

Puig has reorganized its business structure with the creation of three divisions: Beauty and Fashion, Charlotte Tilbury, and Derma. The new units will all be operational as of January 1, 2021. 
 
The newly created Derma division will incorporate Uriage and Apivita, in which Puig has a majority stake, in addition to the 50% stake in Isdin. The trio of brands together position Puig as the third largest player in Europe in the sector of dermo-cosmetic products for sale in pharmacies, with two of its brands in the top 10 of the rankings, according to the company.
 
The beauty and fashion division will be made up of the brands Paco Rabanne, Carolina Herrera, Jean Paul Gaultier, Nina Ricci, Dries Van Noten, Penhaligon’s and L’Artisan Parfumeur; the licenses of Christian Louboutin and Comme des Garçons Parfums, and the lifestyle brands of Adolfo Dominguez, Antonio Banderas, Shakira and Benetton. The fragrance business of these brands positions Puig as the fifth largest player in the world in prestige perfumes with a value market share of nearly 10% and with three brands in the top 20 of the world rankings, saidthe company.
 
The Charlotte Tilbury division will integrate the fast-growing beauty brand that Puig acquired a majority stake in earlier this year.
 
As can be expected excepted, Puig's sales have been affected by the COVID-19 pandemic, which is why a significant decrease is forecast by the firm; it expects sales to drop from €2 billion in 2019 to €1.5 billion this year. 
 
With the three divisions, Puig has set lofty goals; it aims to reach €3 billion in sales in 2023, and more than €4 billion in 2025.  

Puig was ranked No. 20 in Happi’s most recent International Top 30 Report.

By 2025, Puig says its portfolio is expected to include two almost 1 billion-euro brands (Paco Rabanne and Carolina Herrera), two brands with sales of €500 million (Isdin and Charlotte Tilbury); as well as others such as Jean Paul Gaultier, Penhaligon’s, Dries Van Noten, Uriage, Apivita, L’Artisan Parfumeur and the Christian Louboutin license, with sales of between €100 million and €500 million. In this context, the company expects significant growth due to digital and growth in China, which will account for 30% and 25% of sales respectively in 2025. 
 
Moreover, Puig has signed agreements that will enable it to obtain majority stakes in companies in which it is currently a minority shareholder, such as Loto del Sur in Colombia and Kama Ayurveda in India. 
 
In recent years, Puig says it has grown by developing an ecosystem with entrepreneurs with whom it shares values and a common business vision in building brands, positioning the multinational as a significant player in the future of the luxury sector.