Coty has declared a stellar start to fiscal year 2024 with impressive Q1 results, exceeding growth projections.
Achieving an 18 per cent sales surge, the company showcased its 13th consecutive quarter of meeting or surpassing expectations.
The balanced growth approach, strong performance in prestige and consumer beauty sectors, and strategic geographical expansions contributed to the success.
In Q1, prestige revenues soared by 23 per cent, and consumer beauty revenues grew by 10 per cent, aligning with the resilient global mass beauty market. Notably, e-commerce experienced over 25 per cent growth, propelling market share.
Geographically, all regions reported double-digit percentage revenue growth, with strong performances in EMEA, the Americas, and Asia Pacific.
The strong sales momentum translated into substantial profit expansion, with reported operating income reaching $197.5 million, a 15% YoY increase.
Coty’s CEO, Sue Nabi, expressed pride in the Q1 results, emphasising the company’s position in the beauty market and commitment to growth, innovation, and sustainability.
“We are proud of our great Q1 results, with sales growth once again amongst the best in our peer set and ahead of the beauty market,” she said.
“Coty continues to deliver on our balanced growth agenda, with strong LFL growth across both divisions and all regions, with growth contribution from volumes and premiumised mix, complemented by targeted pricing, and from our key categories including fragrances, cosmetics, and skincare.”
Sue highlighted various opportunities in the Coty portfolio, such as female fragrances, ultra-premium fragrances, skincare, and targeting markets like China and Travel Retail.
“The exceptional performance of our recent fragrance launches, and in particular Burberry Goddess which has become the #1 female fragrance launch in key markets, reaffirms Coty’s position as a leading fragrance expert with best in class end-to-end capabilities, from developing a winning scent which resonates with consumers across all regions to activating distinctive marketing campaigns, and launching disruptive in-store and online activations,” she said.
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