LOral, a dominant player in the global beauty industry, has reported a substantial increase in sales for the first quarter of 2025, with revenues reaching 11.73 billion. This marks a growth of 4.4% as published and 3.5% on a comparable basis, indicating the companys resilience despite a challenging economic backdrop.

The growth in sales has been positively influenced by the ongoing IT transformation scheduled for 2024 and 2025, contributing a net effect of 100 million. Notably, L'Oral has outperformed the global beauty market, with all divisions showing growth, particularly in the Luxe segment, which leads the companys performance.

Sales of perfumes and hair care products remain the most dynamic categories, showcasing LOrals ability to innovate and respond to consumer preferences effectively. In terms of geographical performance, emerging markets have seen the strongest growth, particularly in the SAPMENA-SSA region, while Europe continues to show robust expansion.

Interestingly, LOral is the only company worldwide to have achieved a triple 'A' rating from the CDP for nine consecutive years. The Group was also recognized as one of the worlds most ethical companies by Ethisphere for the 16th time, reflecting its commitment to responsible business practices.

Commenting on these positive figures, LOral's CEO, Nicolas Hieronimus, stated, In a particularly challenging and volatile operational environment, LOral has started the year with growth in line with our expectations. There have been both positive and negative surprises; the United States has proven to be more challenging than anticipated, while China has slightly exceeded expectations. Europe once again stands out as our top contributor to growth, with emerging markets remaining dynamic.

Hieronimus also highlighted the promising beginnings of their beauty stimulus initiatives, driven by innovations such as the Gloss Absolu from Krastase and the P-Tiox from SkinCeuticals. The impact of these innovations is expected to grow as they are deployed in new markets, alongside the continued introduction of new products.

In the current climate, the companys priorities are to stimulate growth and manage its profit and loss accounts to offset the impacts of rising tariffs while leveraging its already healthy gross margin. Hieronimus expressed confidence that LOral will continue to outperform the global beauty market, which is expected to grow despite ongoing economic and geopolitical tensions, and that the company is on track for another year of revenue and profit growth. He anticipates a gradual acceleration in growth.

The reported figures for the first quarter of 2025 show that revenues stand at 11.73 billion, reflecting a 4.4% increase when published and a 3.5% increase on a comparable basis, which accounts for similar structures and exchange rates. The net structural change effect is noted at +0.5%, and growth at constant exchange rates is pegged at +4.0%. By the end of March 2025, currency effects had a positive impact of +0.4%. Projections indicate that, based on exchange rates as of March 31, 2025, the estimated currency effect for the overall year 2025 will be approximately -0.7% on total revenue.

Breaking down revenue by division and geographical zone reveals interesting insights:

  • By Division: The Professional Products division saw a growth of +1.6% on a comparable basis and +2.7% published; the Consumer Products division grew by +2.3% comparable and +2.5% published; the Luxe division surged by +5.8% and +7.3%; and the Dermatological Beauty division grew by +2.7% and +3.5% respectively.
  • By Geographical Zone: In Europe, revenues grew by +4.3% comparable and +4.9% published; North America saw a decline of -3.8% comparable and -1.4% published; Asia North achieved +6.9% and +8.4%; the SAPMENA-SSA region progressed by +10.4% and +12.2%; while Latin America saw a growth of +7.9% comparable and +0.4% published.

The Professional Products division is witnessing solid growth, fueled by its omnichannel strategy and a focus on revitalizing the currently stagnant salon market, with notable successes from brands like Krastase and LOral Professionnel.

Meanwhile, the Consumer Products division has recorded growth driven by successful launches in hair care and skin care. The performance of L'Oral Paris, Garnier, and NYX Professional Makeup remains strong, reflecting the effectiveness of the company's democratization and premiumization strategies.

In the Luxe segment, performance continues to shine with double-digit growth across all categories. The division is particularly strong in perfumes, with significant contributions from brands like Yves Saint Laurent and Valentino.

As LOral looks to the future, its commitment to innovation and ethical practices will be pivotal as it continues to navigate a complex market landscape.