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Clichy, 15 April 2021 at 6.00 p.m.
First quarter 2021 gross sales
Robust return to development at +10.2% 1
- Gross sales: 7.61 billion euros
- +10.2% like-for-like 1
- +11.5% at fixed alternate charges
- +5.4% primarily based on reported figures
- Considerably outperforming the market
- Three Divisions in double-digit development
- Exceptional development in Asia Pacific at +23.8 % 1, pushed by mainland China at +37.9% 1
- Robust restoration in North America
- E-commerce development at +47.2% 2
Commenting on the figures, Mr Jean-Paul Agon, Chairman and Chief Govt Officer of L’Oréal, mentioned:
“Regardless of the well being disaster and the continued related measures in some nations, significantly in Western Europe, the wonder market continues to get better. Towards this backdrop, L’Oréal has began the 12 months with very sturdy development at +10.2% like-for-like 1 within the first quarter, considerably outperforming the market. The Group is due to this fact persevering with its acceleration, initiated within the third quarter of 2020, and is rising by +5.0% like-for-like in comparison with the primary quarter of 2019.
The efficiency of the Skilled Merchandise, L’Oréal Luxe and Energetic Cosmetics Divisions is exceptional, all exhibiting double-digit development. The Skilled Merchandise Division is posting vital development everywhere in the world. The expansion of L’Oréal Luxe is pushed by the success of its skincare manufacturers, significantly Lancôme, Kiehl’s and Helena Rubinstein. Energetic Cosmetics continues to construct on the sturdy momentum already seen in 2020. The Shopper Merchandise Division is secure, nonetheless held again by its excessive publicity to the make-up class which stays lacklustre.
All geographic Zones are rising, aside from Western Europe nonetheless impacted by the measures related to the well being disaster. North America is performing nicely each on-line and offline. All Zones within the New Markets are rising above 10% 1, particularly the Asia Pacific Zone which is returning to the extraordinarily dynamic pre-pandemic development charges, pushed most notably by a fast-growing mainland China.
E-commerce development is at +47.2% 2 and accounts for 26.8% of gross sales.
In an surroundings that’s enhancing progressively because of the vaccination programmes, and due to the dedication and willpower of the groups everywhere in the world, L’Oréal is in a preventing spirit mode, targeted on product launches and investments in development drivers to help development of its manufacturers. We’re due to this fact assured in our capacity to outperform the market and obtain a 12 months of development in each gross sales and earnings.”
First quarter 2021 gross sales
Like-for-like, i.e. primarily based on a comparable scope of consolidation and fixed alternate charges, L’Oréal group gross sales noticed a return to development at +10.2%.
The online affect of adjustments within the scope of consolidation amounted to +1.3%.
Progress at fixed alternate charges was +11.5%.
Foreign money fluctuations had a destructive affect of -6.1%. By extrapolating the alternate charges as of 13 April 2021, i.e. with €1 = $1.194 up till 31 December, the affect of forex fluctuations might be round -2.7% on 2021 full-year gross sales.
Based mostly on reported figures, the Group’s gross sales, at 31 March 2021, amounted to 7.61 billion euros, a rise of +5.4%.
Gross sales by Division and geographic Zone
|Quarterly gross sales||Evolution|
|€m||1st quarter 2020||1st quarter 2021||Like-for-like||Reported|
|By geographic Zone|
|New Markets, of which:||3,380.3||3,805.1||+20.6%||+12.6%|
|– Asia Pacific||2,335.1||2,780.0||+23.8%||+19.1%|
|– Latin America||394.8||387.8||+15.1%||-1.8%|
|– Jap Europe||479.6||469.1||+10.7%||-2.2%|
|– Africa, Center East||170.7||168.1||+12.7%||-1.5%|
Abstract by Division
On the finish of March, the Skilled Merchandise Division was at +21.0% like-for-like and +12.9% reported, in a market nonetheless impacted by the well being disaster.
The Division has once more strengthened its management within the trade, profiting from the underlying traits within the sector: the digitalisation of salons, the event of unbiased stylists, and the explosion of e‑commerce.
All geographic Zones achieved gross sales development, with document efficiency in america, pushed by the facility of the SalonCentric distribution channel. The Division additionally confirmed its success in mainland China with very sturdy development in e-commerce and in salons. Western Europe maintained its development momentum, significantly in Germany and France.
Haircare stays the best development contributor, led by a very dynamic Kérastase, the success of Genesis and Blond Absolu, and good efficiency from Acidic Bonding Focus by Redken. In hair color, Shades EQ by Redken recorded one other quarter of sturdy development.
The Division recorded a primary quarter at -0.7% like-for-like and -6.2% reported.
The extension of public well being measures continued to affect the make-up market and therefore the Division’s enterprise as the worldwide market chief on this class. The Division accelerated in all different main classes, sustaining double-digit development in hair color. Haircare posted a really dynamic quarter because of the modern Elvive Dream Lengths Marvel Water, Elvive Full Resist and the sturdy begin for Extremely Doux stable shampoo by Garnier. Face care additionally accelerated, with L’Oréal Paris Revitalift Filler hyaluronic acid serum which is the top-selling serum in lots of nations, in addition to the Pure Energetic anti-imperfections franchise and tissue masks by Garnier. In make-up, the manufacturers are gaining vital market share, significantly in Europe and america, because of the spectacular starting of improvements corresponding to Sky Excessive by Maybelline New York, Infallible powder by L’Oréal Paris and Shine Loud by NYX Skilled Make-up.
The Division outperformed the market in all main Western European nations, Brazil and mainland China. In america, regardless of the burden of make-up and momentary logistics issues, consumption picked up sharply on the finish of the quarter, and our manufacturers are recording a energetic restoration.
L’Oréal Luxe closed the quarter at +14.6% like-for-like and +12.4% reported, considerably outperforming the market.
In a progressively enhancing context, L’Oréal Luxe gained market share in nearly all geographic Zones. Word that Asia Pacific is off to an excellent begin notably in mainland China – which stays significantly buoyant -, Europe is powerful, and North America is confirming its restoration. The Division considerably outperformed the market in its three classes, particularly in skincare, pushed by the facility of its Lancôme, Kiehl’s and Helena Rubinstein manufacturers and the efficiency of Biotherm. The lately acquired Japanese model Takami has additionally had an excellent begin to the 12 months. Within the perfume class, Giorgio Armani, Valentino and Yves Saint Laurent all carried out extraordinarily nicely. The Prada licence was built-in on 1 January. The make-up class recovered and was secure, with clear indicators of restoration rising in Asia and america.
In an enhancing market, the Energetic Cosmetics Division recorded sturdy development at +28.7% like-for-like and +21.8% reported and continued to realize vital market share.
The Division continues to construct on the sturdy momentum recorded within the second half of 2020, which lies on stable foundations together with shut relationships with healthcare professionals, a portfolio of manufacturers which might be completely aligned with the well being aspirations of customers, and powerful positions in skincare. E-commerce continued to put up distinctive outcomes and stays the principle development driver. Offline gross sales additionally accelerated strongly, recording double-digit development.
The Division gained market share in all Zones, with distinctive efficiency in North America, Asia and Latin America, and a notable affirmation of sturdy development in Western Europe. All main manufacturers recorded development within the interval, with CeraVe doubling in dimension whereas SkinCeuticals and La Roche-Posay continued to register extraordinarily dynamic development, particularly in North America and Asia. Vichy maintains its management within the anti-ageing phase in Europe, constructing on the profitable acceleration of its Liftactiv franchise.
Abstract by geographic Zone
The Zone was at -2.4% like-for-like and -0.1% reported. Gross sales had been once more impacted by the closure of perfumeries, shops and hair salons in a number of nations and the restrictions aiming to restrict social interplay. L’Oréal outperformed the market within the overwhelming majority of nations and considerably strengthened its management in Germany, the UK, France and Italy, thanks particularly to very sturdy development in on-line gross sales.
The Shopper Merchandise Division gained market share, particularly in make-up, and likewise in haircare, with vital development for Garnier, a model that’s extremely attuned to shopper expectations by way of naturalness and sustainability. Though adversely affected by the well being scenario and the sharp downturn in Journey Retail, L’Oréal Luxe continued to realize market share in fragrances and noticed an enchancment in make-up and skincare because of Biotherm. The Energetic Cosmetics Division accelerated its development, pushed by the fast improvement of CeraVe in the UK particularly, and by the dynamism of La Roche-Posay. The Skilled Merchandise Division recorded stable development regardless of the closure of salons in a number of nations, because of the buoyancy of on-line gross sales and the Kérastase and Redken manufacturers.
The Zone was at +6.3% like-for-like and -1.8% reported. The quarter began beneath pandemic restrictions, adopted by document snowstorms disrupting the provision chain. In March, enterprise was boosted by financial stimulus checks and the beginning of the vaccination programme, giving customers the boldness to return to brick-and-mortar shops. E-commerce was nonetheless dynamic and now accounts for greater than 20% of the enterprise. The strongest restoration was in make-up, pushed by highly effective improvements and elevated socialisation. March was a turning level for the Shopper Merchandise Division, which gained market share because of make-up, with the rebound pushed by the restoration of NYX Skilled Make-up and profitable improvements corresponding to Sky Excessive Mascara by Maybelline New York and Infallible Powder by L’Oréal Paris. L’Oréal Luxe grew because of e-commerce, the restoration of make-up and really sturdy development in fragrances, with Lancôme, Kiehl’s and IT Cosmetics performing significantly nicely. The Skilled Merchandise Division delivered a superb quarter, pushed by haircare and hair color, with the profitable launch of Redken Acidic Bonding Focus and market share captured by SalonCentric as unbiased stylists achieve traction and salons start to reopen. The Energetic Cosmetics Division continued to carry out extraordinarily nicely on-line and offline, rising market share.
Asia Pacific: the Zone was at +23.8% like-for-like and +19.1% reported. On this first quarter, the scenario nonetheless varies significantly from one nation to a different. Whereas in Australia, New Zealand and Vietnam the results of the pandemic are lessening and gross sales are rising, different nations corresponding to Japan and Indonesia are being hit by new waves of Covid. The absence of tourism continues to affect Thailand and Hong Kong, whereas the scenario in India stays risky in some states. The Energetic Cosmetics Division noticed sturdy development throughout the Zone. The Skilled Merchandise and L’Oréal Luxe Divisions additionally recorded stable development. The Shopper Merchandise Division, nonetheless affected by the decline of the make-up market, posted development in haircare and skincare, buoyed by the sturdy efficiency of Garnier in South Asia. The Japanese model Takami, acquired within the first quarter, made a robust begin in Japan and China. Journey Retail started to get better largely because of Hainan.
In a really dynamic market, with a robust restoration offline, L’Oréal China achieved very sturdy development at +37.9% like-for-like, with all Divisions gaining market share. L’Oréal accelerated in bricks-and-mortar largely because of in‑retailer Chinese language New 12 months and Worldwide Girls’s Day campaigns, additional strengthening its place in each the selective and mass distribution markets. L’Oréal additionally bolstered its positions in e-commerce, with L’Oréal Paris and Lancôme recording sturdy development, rating no 1 and quantity 2 respectively on Tmall on Worldwide Girls’s Day. Kiehl’s and Helena Rubinstein additionally carried out very nicely, as did Yves Saint Laurent and Giorgio Armani, which topped the Tmall Selective make-up model rankings for Valentine’s Day and Worldwide Girls’s Day. The Shopper Merchandise Division carried out nicely because of L’Oréal Paris in skincare and haircare, whereas 3CE Stylenanda continued to recruit customers and put up sturdy development within the on-line make-up market. The Energetic Cosmetics Division recorded vital market share positive aspects, pushed by SkinCeuticals and La Roche-Posay. The Skilled Merchandise Division nearly doubled gross sales, because of a profitable on-line activation and offline restoration.
Latin America: the Zone was at +15.1% like-for-like and -1.8% reported. With the complete continent nonetheless closely impacted by the pandemic and retailer closures, all Divisions and nations continued to develop, particularly Brazil, Mexico, Chile and Argentina. E-commerce greater than doubled. This development was pushed by our superior improvements in addition to our iconic manufacturers and merchandise, most notably in haircare and skincare. L’Oréal gained market share in make-up, though the class stays destructive in a difficult market context.
Jap Europe: the Zone was at +10.7% like-for-like and -2.2% reported, regardless of the pandemic, which continues to principally have an effect on Central European nations. In a barely destructive market general, all Divisions gained market share, each on-line and offline, with the Skilled Merchandise, L’Oréal Luxe and Energetic Cosmetics Divisions reaching double-digit development. The overwhelming majority of nations reported development, particularly Turkey, the Czech Republic/Slovakia/Hungary hub and Israel.
Africa, Center East: the Zone was at +12.7% like-for-like and -1.5% reported. Within the Center East and North Africa, the well being scenario varies from one nation to a different. The wonder market continues to be destructive throughout the Zone. All Divisions grew and gained market share general. The efficiency was pushed by Morocco, Pakistan, Egypt and South Africa.
Essential occasions through the interval 01/01/21 to 31/03/21
- On 29 January, for the fourth consecutive 12 months, L’Oréal was recognised by the 2021 Bloomberg Gender-Equality Index for its dedication to feminine management, expertise variety and gender pay parity.
- On 1 February, L’Oréal finalised the acquisition of Takami Co introduced on 23 December 2020.
- On 4 March, for the fourth consecutive 12 months, L’Oréal ranked among the many prime 5 firms within the Equileap Global Gender Equality Ranking 2021, which assessed nearly 4,000 firms in 23 nations. L’Oréal is ranked fourth general, first within the shopper items sector and first in France.
- On 5 March, L’Oréal introduced two adjustments throughout the Group’s Govt Committee. Omar Hajeri has been appointed President of the Skilled Merchandise Division and joins the Govt Committee. He succeeds Nathalie Roos, who has chosen to take her profession in a brand new route. Ersi Pirishi might be appointed President of the Latin America Zone and can be a part of the Govt Committee in autumn 2021. She’s going to take over from Javier San Juan, who has determined to retire.
- On 16 March, the 2020 Common Registration Doc was filed with the Autorité des Marchés Financiers. It’s made obtainable to the general public in keeping with the phrases of the rules in pressure and could also be considered on the www.loreal-finance.com web site.
- On 16 March, L’Oréal introduced that its Annual Normal Assembly would happen behind closed doorways, with out the bodily presence of the shareholders and different individuals entitled to attend, at 10.00am on Tuesday 20 April 2021. The convening discover was printed within the Bulletin des Annonces Légales Obligatoires (BALO) on Monday 15 March 2021 and consists of the agenda, draft resolutions and essential phrases of participation and voting on the Annual Normal Assembly.
- On 23 March, L’Oréal’s enterprise capital fund Enterprise Alternatives for L’Oréal Growth (BOLD) introduced that it had taken a minority stake within the Swiss environmental tech startup Gjosa.
“This information launch doesn’t represent a proposal to promote, or a solicitation of a proposal to purchase L’Oréal shares. Should you want to acquire extra complete details about L’Oréal, please seek advice from the general public paperwork registered in France with the Autorité des Marchés Financiers, additionally obtainable in English on our web site www.loreal-finance.com.
This information launch might include some forward-looking statements. Though the Firm considers that these statements are primarily based on cheap hypotheses on the date of publication of this launch, they’re by their nature topic to dangers and uncertainties which might trigger precise outcomes to vary materially from these indicated or projected in these statements.”
This can be a free translation into English of the 2021 quarterly outcomes information launch issued within the French language and is supplied solely for the comfort of English-speaking readers.
Contacts at L’Oréal (Switchboard: +33 1 47 56 70 00)
Particular person Shareholders Monetary Analysts and
and Market Authorities Institutional Buyers Journalists
Mr Christian MUNICH Ms Françoise LAUVIN Ms Domitille FAFIN
Tel: +33 1 47 56 72 06 Tel: +33 1 47 56 86 82 Tel: +33 1 47 56 76 71
email@example.com firstname.lastname@example.org email@example.com
For extra info, please contact your financial institution, dealer or monetary establishment (I.S.I.N. code: FR0000120321) and seek the advice of your standard newspapers, the web site for shareholders and buyers, www.loreal-finance.com or the L’Oréal Finance app; alternatively, name: +33 1 40 14 80 50.
L’Oréal group gross sales 2020/2021 (€ million)
|First half whole||13,076.5|
|9 months whole||20,113.3|
|Full 12 months whole||27,992.1|
1 Like-for-like: primarily based on comparable construction and equivalent alternate charges.
2 Gross sales achieved on our manufacturers’ personal web sites + estimated gross sales achieved by our manufacturers comparable to gross sales by way of our retailers’ web sites (non-audited knowledge). Like-for-like.