- Coty reported resilient Q1 2025 results, with revenue reaching 1.67 billion, a 2 increase despite foreign exchange impacts and Lacoste license divestment.
- Prestige beauty sales rose 7 on a like-for-like basis, fueled by strong demand across EMEA, Latin America, and Asia-Pacific markets.
- Under CEO Sue Nabi, Coty has sustained growth in fragrance and color cosmetics, outpacing industry peers in 9 of the past 13 quarters.
Coty, a global beauty industry leader led by Algerian-born French tycoon Sue Youcef Nabi, delivered resilient financial results for the first quarter of fiscal year 2025 , with revenue climbing to 1.67 billion, a 2 percent increase on a reported basis. The growth came despite a 1 percent foreign exchange impact and the divestiture of the Lacoste license.
The prestige segment, accounting for 67 percent of total sales, reported a 7 percent like-for-like LFL increase, driven by robust demand in EMEA, Latin America, and Asia-Pacific.
Meanwhile, the consumer beauty segment contributed 557.4 million, representing 33 percent of sales, but saw flat LFL growth and a 3 percent decline on a reported basis due to foreign exchange pressures. Argentina's hyperinflation supported growth in the region, while mass cosmetics faced inventory adjustments.
Profitability and market leadershipCotys operating income surged 20 percent to 237.8 million, up from 197.5 million in the previous year. Net income soared to 79.6 million, reversing a 1.7 million net loss from Q1 2024. This improvement was bolstered by a 24 million one-time tax gain from a Swiss tax rate adjustment and a reduced equity swap loss of 32 million, compared to 58 million a year prior.
CEO Sue Nabi expressed confidence in Cotys strategic trajectory, emphasizing the companys leading position in fragrances. Nabi highlighted Cotys consistent outperformance in like-for-like sales compared to major competitors in 9 of the past 13 quarters, attributing success to strong execution and trendsetting innovations in core product categories.
