PARIS (AFP) – French cosmetics giant L’Oreal dusted off coronavirus fallout and posted on Thursday a strong net profit owing to a rebound in all its regional markets as well as product categories.
In the first six months of 2021, L’Oreal made a net profit of EUR2.6 billion (USD3.1 billion), a gain of almost 30 per cent from the same period a year earlier, which had suffered a EUR1.8-billion drop owing to the pandemic.
Turnover jumped by more than 16 per cent to EUR15.2 billion, exceeding even the level recorded before COVID-19 struck.
“L’Oreal is significantly outperforming the market, with an exceptional second quarter,” chief executive Nicolas Hieronimus said.
For that three-month period from April through June, group sales soared by almost 30 per cent to around EUR7.6 billion.
At the end of June, L’Oreal had “returned to its pre-COVID growth rate”, with sales for the second quarter gaining 6.6 per cent from the same period in 2019, Hieronimus said.
All its activities advanced, the company said with the L’Oreal Luxe line that includes beauty products from Yves Saint Laurent and Giorgio Armani posting a first-half jump in sales of just below 25 per cent to around EUR5.47 billion.
It’s operating margin reached 19.7 per cent, slightly better that during the same period in 2019.