03.04.15
Coty Inc.’s net revenues fell 5% to $1.3 billion for the second quarter of fiscal 2015. For the first six months, ended Dec. 31, 2014, net sales decreased 2% to $2.4 billion.
Commenting on the company’s performance, chairman and interim CEO Bart Becht said, “Our Q2 and first half results demonstrate that our strategy, as outlined last quarter, of investment in and revenue growth on our power brands and returning Coty to profitable growth behind efficiency programs is beginning to yield results. While power brands’ like-for-like net revenues grew only very modestly in the quarter and half year, we saw renewed strength on a fiscal year-to-date basis in Sally Hansen, Rimmel, Marc Jacobs, Chloe and philosophy.”
For the second quarter, fragrance net revenues decreased 1% primarily reflecting innovation phasing in Roberto Cavalli and declines in celebrity fragrances, in part driven by pressure in the mass fragrance market. Adjusted operating income for fragrances increased 9% to $145.5 million.
Color cosmetics net revenues increased 7% driven by strong growth in the Rimmel, Sally Hansen and OPI power brands, reflecting the success of new launches. Adjusted operating income for color cosmetics increased 20% to $40.3 million.
Skin and body care net revenues slipped 6%, due to a decline in body care products, in part due to the business model change in China. Operating income fell 7% to $15.1 million.
Commenting on the company’s performance, chairman and interim CEO Bart Becht said, “Our Q2 and first half results demonstrate that our strategy, as outlined last quarter, of investment in and revenue growth on our power brands and returning Coty to profitable growth behind efficiency programs is beginning to yield results. While power brands’ like-for-like net revenues grew only very modestly in the quarter and half year, we saw renewed strength on a fiscal year-to-date basis in Sally Hansen, Rimmel, Marc Jacobs, Chloe and philosophy.”
For the second quarter, fragrance net revenues decreased 1% primarily reflecting innovation phasing in Roberto Cavalli and declines in celebrity fragrances, in part driven by pressure in the mass fragrance market. Adjusted operating income for fragrances increased 9% to $145.5 million.
Color cosmetics net revenues increased 7% driven by strong growth in the Rimmel, Sally Hansen and OPI power brands, reflecting the success of new launches. Adjusted operating income for color cosmetics increased 20% to $40.3 million.
Skin and body care net revenues slipped 6%, due to a decline in body care products, in part due to the business model change in China. Operating income fell 7% to $15.1 million.