Style Headline.com reported: L’Oreal Group, the world’s largest magnificence firm, introduced its outcomes for the fourth quarter of 2015. Affected by optimistic foreign money trade charges, the efficiency of its North American enterprise and luxurious items exceeded analysts’ expectations. Working revenue for the three months ended Dec. 31 was 6.5 billion euros ($7.11 billion), up 9 % from the identical interval final yr. On a year-over-year foundation, the corporate’s income elevated by 4.2%, beating analysts’ expectations of three.6%, and attaining the very best quarterly progress in the entire of final yr.
Sanford C. Bernstein & Co analyst Andrew Wooden stated in a analysis report: “The outcomes of all manufacturers and divisions of the L’Oreal Group exceeded expectations, apart from The Physique Store, which carried out poorly this quarter. It fell by 5.8% year-on-year and dragged down the general efficiency of the group.” One other analyst emphasised that the general income progress fee of the group apart from The Physique Store within the quarter reached 4.8%, which was in step with administration expectations, however within the context of the worldwide financial setting , the outlook for the group stays difficult.
Andrew Wooden additionally revealed that L’Oreal Group’s North American income elevated by 5% year-on-year, and the turnover of luxurious collection merchandise was significantly distinguished; in rising markets, it elevated by 6.5%, and the general enchancment after two consecutive quarters of sluggish efficiency.
In keeping with the monetary report, the turnover of L’Oreal Group’s luxurious items division elevated by 6.8% year-on-year, primarily pushed by Yves Saint Laurent Beauté’s Black Opium collection and Lancome’s La vie est belle merchandise, whereas Kiehl’s model turnover additionally confirmed double-digit progress .
Final yr, L’Oreal Group’s working revenue rose 12.8 % to 4.39 billion euros ($4.87 billion), with a turnover of 25.26 billion euros ($28.02 billion), a rise of 12.1 %. On the identical organizational construction and at present trade charges, revenue rose by 3.9 %.
L’Oreal Chairman and CEO Jean-Paul Agon identified that in 2015, regardless of the worldwide financial recession and frequent fluctuations within the worldwide neighborhood, L’Oreal Group nonetheless achieved sturdy efficiency progress, primarily as a result of optimistic affect of foreign money trade charges. The L’Oreal model carried out significantly properly in comparison with the opposite three phase manufacturers. The opposite three model divisions are Luxe, Lively Cosmetics and Skilled Merchandise actions. On the identical time, the buyer items sector carried out properly within the second half of the yr, and a few manufacturers continued to extend their market share.
L’Oréal’s e-commerce turnover of 1.3 billion euros ($1.44 billion) is rising quickly. The income contributed by e-commerce is 5% of the corporate’s complete income. jean-Paul Agon stated: “Beneath the turbulent financial setting, particularly in some rising international locations, the group can depend on a steadiness of magnificence classes, distribution channels and geographical distribution to draw customers. In 2016, the group hopes to have the ability to stand out and achieve additional progress in turnover and income.”
As well as, L’Oreal Group said that the corporate’s board of administrators determined to hold out a inventory repurchase plan of 500 million euros within the first half of this yr. (Textual content/Chen Shu)
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