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L’Oréal delivered a dynamic third quarter with sales up by +5.6% like-for-like, reflecting the solidity of our growth

L’Oréal delivered a dynamic third quarter with sales up by +5.6% like-for-like, reflecting the solidity of our growth

  • France
  • The Consumer Products Division is maintaining its momentum and outperforming its market, driven by the acceleration in make-up with the breakthrough of the NYX Professional Makeup brand, the global roll-out of Ultra Doux by Garnier, and an excellent performance in North America. L’Oréal Luxe posted a very good third quarter, thanks to its success in make-up, its fragrance initiatives, and is winning market share, especially in China and the United States. The Active Cosmetics Division's growth is rising in the context of a slowdown in the dermocosmetics market in Europe. In North America, L’Oréal is accelerating substantially and is outperforming its market more strongly. Western Europe is growing, faster than the market, except for France where the environment remains very sluggish. The New Markets are maintaining their pace of growth, with good performances in many countries in Southern Asia, Latin America and Eastern Europe.
  • L'Oréal

The Group’s digital edge and continuing targeted acquisitions, two strategic growth levers, have led to a sustained increase in e-commerce sales at +32%**, and to the recent integration of IT Cosmetics, an American make-up brand that is expanding our global portfolio.

These good performances confirm our ambition to post higher growth in the second half than in the first, and strengthen our confidence in our ability to deliver, in 2016, another year of growth in both sales and profits.”
* Like-for-like: based on a comparable structure and constant exchange rates.
** Sales achieved on our brands’ own websites + estimated sales achieved by our brands corresponding to sales through our retailers’ websites (non-audited data); like-for-like growth.


Like-for-like, i.e. based on a comparable structure and identical exchange rates, sales growth was +4.7%.
The net impact of changes in consolidation was +0.2%.
Growth at constant exchange rates was +4.9%.
Currency fluctuations had a negative impact of -3.3%. If end of September exchange rates (€1 at $1.12) are extrapolated up to December 31st, the impact of currency fluctuations would be -3.3% for the whole of 2016.
Based on reported figures, the Group’s sales at September 30th, 2016, amounted to 19.05 billion euros, an increase of +1.6%.


Professional Products 808.5 0.9% -0.3% 2,532.9 1.8% -0.7%
Consumer Products 2,859.5 4.7% 2.1% 9,014.4 4.4% 0.6%
L’Oréal Luxe 1,858.5 9.3% 9.0% 5,453.7 6.8% 5.0%
Active Cosmetics 425.7 6.5% 4.0% 1,447.1 5.4% 1.3%
Cosmetics Divisions total 5,952.2 5.6% 4.0% 18,448.2 4.8% 1.7%
Western Europe* 1,845.8 2.2% -0.5% 5,980.4 1.7% 0.1%
North America 1,755.2 7.5% 8.2% 5,215.2 5.6% 5.4%
New Markets, of which: 2,351.3 7.1% 4.5% 7,252.6 7.0% 0.6%
Asia, Pacific* 1,324.2 3.2% 2.9% 4,189.8 4.4% 1.8%
Latin America 481.1 15.0% 5.8% 1,344.5 12.1% -4.3%
Eastern Europe  369.6 11.7% 8.0% 1,143.3 9.8% -0.2%
Africa, Middle East  176.3 9.7% 6.9% 575.1 9.7% 5.8%
Cosmetics Divisions total  5,952.2 5.6% 4.0% 18,448.2 4.8% 1.7%
The Body Shop  200.9 2.8% -5.4% 599.5 0.5% -4.0%
Group total  6,153.2 5.6% 3.6% 19,047.8 4.7% 1.6%


* As of July 1st, 2016, the Asian Travel Retail business of the Consumer Products Division, previously recorded under the Western Europe Zone, was transferred to the Asia, Pacific Zone. All figures for earlier periods have been restated to allow for this change.


At the end of September, the Professional Products Division posted growth of +1.8% like-for-like, i.e. -0.7% based on reported figures.

Hair colour, the largest contributor to growth, is maintaining its momentum, thanks to solid core franchises in all the brands - Shades Eqby RedkenSoColor Beauty by MatrixInoa and Dia by L’Oréal Professionnel - and the success of the Blond Studio and Hair Touch Uplaunches by L’Oréal Professionnel. In professional skincare, Decléor is continuing its expansion in Western Europe.
The resilience in Western Europe is continuing. Eastern Europe, Spanish-speaking Latin America and the Africa, Middle East Zone, are growing strongly. The Division’s performance has been affected by the temporary slowdown in the United States. India and Russia are the main contributors to growth.


At the end of September, the Consumer Products Division is outperforming the market, with growth of +4.4% like-for-like and +0.6% based on reported figures.

The Division’s growth is being fuelled by the success of its strategic initiatives.
On the one hand in make-up – with the breakthrough of NYX Professional Makeup, now being rolled out globally, and Maybelline, which is growing especially in the United States – and on the other hand, in haircare, where growth has been bolstered by the globalisation ofUltra Doux.
Skincare is being strengthened by the ongoing success of Micellar Cleansing Waters by Garnier and the innovation of clay masks byL’Oréal Paris. Hair colour is returning to growth thanks to Magic Retouch by L’Oréal Paris.
The Division is increasing its worldwide market share, outperforming the market substantially in North America and performing well in Western Europe, especially in the United Kingdom, Spain and Germany.


At the end of September, L’Oréal Luxe has grown by +6.8% like-for-like and by +5.0% based on reported figures, after an excellent third quarter at +9.3% like-for-like.

The Division is accelerating with strong growth in make-up and success in fragrances.

Lancôme is strengthening its position with Absolu Rouge, and is performing well in foundation make-up, and in fragrances with La Vie est BelleYves Saint Laurent is continuing to deliver strong growth with the excellent start made by its fragrance Mon Paris, on top of the success of Black Opium, and extremely dynamic make-up sales. Giorgio Armani is enjoying a great year, with strong expansion in skincare and make-up. Urban Decay has been launched in ten new countries this year, and its growth is strong, thanks to its new lipstickViceKiehl’s is continuing its expansion, and has created its customised skincare Apothecary Preparations. L’Oréal Luxe is expanding its brand portfolio with the acquisition of IT Cosmetics and Atelier Cologne.
L’Oréal Luxe is continuing to make market share gains worldwide: in Asia, particularly in China, and in many other countries such as the United States, Russia, Spain and the United Kingdom.


At the end of September, the Active Cosmetics Division is maintaining its growth momentum. Sales are up by +5.4% like-for-like and +1.3% based on reported figures.

Despite the persistent slowdown in markets in Europe and Asia, the Division is accelerating.
La Roche-Posay maintained its strong growth in the third quarter, fuelled by Effaclar which is launching Effaclar Duo+ Unifying, its anti-blemish tinted line. Vichy is innovating with the launch of Slow Âge, and in the anti-hair loss treatment segment with Dercos Aminexil Clinical 5. Roger&Gallet is moving into facial skincare with Aura Mirabilis, enriched with 18 distilled and officinal plants.
The Division’s performance is particularly strong in North America and Latin America.




Growth amounted to +1.7% like-for-like and +0.1% based on reported figures. The Group is outperforming the market, with particularly good performances in the United Kingdom, Germany and Spain. The French market remains difficult, with consumer spending still sluggish.
Make-up is a major growth driver, with very good momentum for Urban Decay. NYX Professional Makeup is proving successful in each country it moves into. Note also in facial skincare the very promising start made by the clay masks of L’Oréal Paris and the Moisture Bomb tissue masks from Garnier.


In a dynamic market, the Zone recorded growth of +5.6% like-for-like and +5.4% based on reported figures. The Group is increasing its market share, particularly in the Consumer Products Division which is outperforming the market, with strong growth for NYX Professional Makeup, the growth of Maybelline, and Garnier whose Whole Blends (Ultra Doux) launch has made a good start. L’Oréal Luxe is also delivering good performances, and is outperforming its market, driven by the quality of its brand portfolio, particularly with Urban Decay,Yves Saint Laurent and Kiehl’s.


Asia, Pacific: the Zone posted growth of +4.4% like-for-like and +1.8% based on reported figures.
In Northern Asia, the Group is growing in Japan and is continuing to advance in South Korea and Taiwan. In China, where the Consumer Products market is affected by a slowdown in some of the traditional distribution channels, L’Oréal Luxe is performing well and is continuing to outperform a dynamic market, especially thanks to the Yves Saint Laurent and Giorgio Armani brands.
Results are good in Southern Asia, with substantial gains in the make-up category, thanks to L’Oréal Paris and the roll-out of NYX Professional Makeup. In skincare, Garnier is continuing to expand.

Latin America: the Zone recorded growth of +12.1% like-for-like, i.e. -4.3% based on reported figures. Spanish-speaking Latin America accelerated further with a particularly good performance in Mexico, and advances in Peru and Colombia. The Consumer Products Division is spurring growth, thanks particularly to Maybelline and Vogue. Brazil is recovering from the effects of the IPI tax reform in 2015, and is returning to growth with an acceleration at Niely, while La Roche-Posay is winning market share.

Eastern Europe: growth in this Zone is at +9.8% like-for-like, i.e. -0.2% based on reported figures.
The Group is outperforming the market, with particularly good performances in Russia and Poland. Make-up is the category that contributes most to growth, both at L’Oréal Luxe with Urban Decay and Yves Saint Laurent, and in the Consumer Products Division withMaybelline and NYX Professional Makeup.

Africa, Middle East: like-for-like sales in this Zone are growing at +9.7%, with growth of +5.8% based on reported figures. L’Oréal is continuing to win market share, despite a slowdown in markets in the Middle East.


The Body Shop recorded sales increases of +0.5% like-for-like, i.e. -4.0% based on reported figures, with improved growth in North America. Market slowdowns in Hong Kong and Saudi Arabia are continuing to have an impact on global growth. Skincare is continuing to expand, thanks to the launch of a range of five new facial skincare masks.

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