L’Oréal: News release: “First Quarter 2021 Sales”

The Group is therefore continuing its acceleration, initiated in the third quarter of 2020, and is increasing by +5.0% like-for-like compared to the first quarter of 2019.

The growth of L’Oréal Luxe is driven by the success of its skincare brands, particularly Lancôme, Kiehl’s and Helena Rubinstein.

All Zones in the New Markets are growing above 10% 1, especially the Asia Pacific Zone which is returning to the extremely dynamic pre-pandemic growth rates, driven most notably by a fast-growing mainland China.

with €1 = $1.194 up until 31 December, the impact of currency fluctuations will be around -2.7% on 2021 full-year sales.Based on reported figures, the Group’s sales, at 31 March 2021, amounted to 7.61 billion euros, an increase of +5.4%.

At the end of March, the Professional Products Division was at +21.0% like-for-like and +12.9% reported, in a market still impacted by the health crisis.The Division has again strengthened its leadership in the industry, taking advantage of the underlying trends in the sector: the digitalisation of salons, the development of independent stylists, and the explosion of e‑commerce.All geographic Zones achieved sales growth, with record performance in the United States, driven by the power of the SalonCentric distribution channel.

In makeup, the brands are gaining significant market share, particularly in Europe and the United States, thanks to the spectacular beginning of innovations such as Sky High by Maybelline New York, Infallible powder by L’Oréal Paris and Shine Loud by NYX Professional Makeup.

Note that Asia Pacific is off to a very good start notably in mainland China – which remains particularly buoyant -, Europe is robust, and North America is confirming its recovery.

In an improving market, the Active Cosmetics Division recorded strong growth at +28.7% like-for-like and +21.8% reported and continued to gain significant market share.The Division continues to build on the strong momentum recorded in the second half of 2020, which lies on  solid foundations including close relationships with healthcare professionals, a portfolio of brands that are perfectly aligned with the health aspirations of consumers, and strong positions in skincare.

L’Oréal outperformed the market in the vast majority of countries and significantly strengthened its leadership in Germany, the United Kingdom, France and Italy, thanks in particular to very strong growth in online sales.The Consumer Products Division gained market share, especially in makeup, and also in haircare, with significant growth for Garnier, a brand that is highly attuned to consumer expectations in terms of naturalness and sustainability.

March was a turning point for the Consumer Products Division, which gained market share thanks to makeup, with the rebound driven by the recovery of NYX Professional Makeup and successful innovations such as Sky High Mascara by Maybelline New York and Infallible Powder by L’Oréal Paris.

While in Australia, New Zealand and Vietnam the effects of the pandemic are lessening and sales are increasing, other countries such as Japan and Indonesia are being hit by new waves of Covid.

Kiehl’s and Helena Rubinstein also performed very well, as did Yves Saint Laurent and Giorgio Armani, which topped the Tmall Selective makeup brand rankings for Valentine’s Day and International Women’s Day.

In a slightly negative market overall, all Divisions gained market share, both online and offline, with the Professional Products, L’Oréal Luxe and Active Cosmetics Divisions achieving double-digit growth.

In the Middle East and North Africa, the health situation varies from one country to another.

“This news release does not constitute an offer to sell, or a solicitation of an offer to buy L’Oréal shares.

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