French cosmetics giant L’Oreal said Thursday it enjoyed double-digit sales increases across the world in the first half of the year as consumers returned to socialising, with online sales helping overcome pandemic lockdowns in China.
L’Oreal, whose consumer portfolio includes Maybelline makeup and Garnier shampoos, said its net profit jumped by 25.3 percent to 3.7 billion euros ($3.8 billion).
Sales rose by 13.9 percent when currency fluctuations are stripped out, but thanks to the weak euro they jumped by 20.9 percent in reported figures to 18.37 billion euros.
“After two years of the pandemic, consumers confirm their desire to socialise and indulge themselves with innovative and superior beauty products,” said chief executive Nicolas Hieronimus.
He noted that L’Oreal’s growth rate was more than double the six percent racked up by the overall beauty products market.
Growth was in double digits in all geographical regions.
While Covid lockdowns in China have hit the performance of luxury groups, L’Oreal said its strong electronic commerce channel helped it weather the disruptions and that growth in Chinese sales was back in double digits in June.
North Asia, which includes Japan and South Korea in addition to China, became L’Oreal’s top region in terms of sales revenue at 5.6 billion euros, overtaking Europe.
L’Oreal’s luxury division, which includes Lancome as well as cosmetic products sold under the names of numerous fashion brands such as Giorgio Armani and Prada, was the top product division at 6.9 billion euros in sales. — Agence France-Presse