L’Oréal’s Mass Biz Down; LPPD Returns To Growth

L’Oréal’s Consumer Products Division in the U.S. declined mid-single digits, as it went up against L’Oréal Paris Advanced Hair Care from Q1 2013, “the biggest launch ever” for the L’Oréal Company worldwide.

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North America Impacts L’Oréal, Arden

Solid performance through the first nine months of the year strengthened L’Oréal’s global leadership in beauty, although unexpected inventory reductions in North America impacted its third quarter. Elizabeth Arden also reported declines in North America as its fragrance business went up against significant launches from the prior year.

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L’Oréal Eyes New Markets

With a goal of doubling its consumer base from 1 billion to 2 billion within 15 years, L’Oréal has engaged in a number of strategies to realize its ambitious plan: adding subsidiaries, building strategically-located manufacturing and R&D centers, and acquiring brands. During its first quarter conference call on Thursday, April 18, we saw L’Oréal Group’s sales rise a modest 5.1% or 5.5% like for like to $7.8 billion (5.93 billion euro). And, we saw how new and developing markets will be crucial to their 15-year goal: sales in new markets grew 6.7% or 9.4% to $2.9 billion, while sales in developing markets are expected to reach 50% in the near future, up from 39% in 2012.

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L'Oréal Eyes New Markets

With a goal of doubling its consumer base from 1 billion to 2 billion within 15 years, L’Oréal has engaged in a number of strategies to realize its ambitious plan: adding subsidiaries, building strategically-located manufacturing and R&D centers, and acquiring brands. During its first quarter conference call on Thursday, April 18, we saw L’Oréal Group’s sales rise a modest 5.1% or 5.5% like for like to $7.8 billion (5.93 billion euro). And, we saw how new and developing markets will be crucial to their 15-year goal: sales in new markets grew 6.7% or 9.4% to $2.9 billion, while sales in developing markets are expected to reach 50% in the near future, up from 39% in 2012.

more