L'Oreal confident for 2015 after first-half sales, profit shine
The world's largest cosmetics company L'Oreal on Thursday confirmed a "significant growth" in results for 2015 after posting an 8.5 percent jump in net profit in the first half of the year.
The beauty market leader's net profit in the six months through June was 1.88 billion euros ($2.05 billion) compared with a year earlier, while sales soared by 14.7 percent to 12.8 billion euros due to positive effects of the exchange rate and growth in all divisions, the company said in an earnings statement.
"At the end of June, our reported growth is the strongest recorded for the last twenty years, with a very positive currency effect," said Chairman and CEO Jean-Paul Agon.
"All Divisions are growing," said Agon, pointing to double-digit growth in.L'Oréal's luxury brands such as Giorgio Armani, Yves Saint Laurent and Kiehl's.
He added that "the Active Cosmetics Division is also greatly strengthening its worldwide position, driven in particular by its La Roche-Posay brand."
In its global reach, the cosmetic giant founded in France in 1909 noted improved sales in Western European and North America, with solid momentum in new markets except Brazil "where the economic context is very unfavourable," the statement said.
"Thanks in particular to a rich innovation portfolio, prospects of rapid e-commerce growth and the continuing roll-out of recently acquired brands, we are projecting an acceleration in growth in the second half... (and) a year of significant growth in both sales and profits," Agon said.
© 2015 AFP