Reporting on its first quarter financial state, L’Oréal sees strong growth: +8% based on reported figures at €4.7 billion. There was sustained growth in consumer products, a rebound in luxury products and professional products, and very strong dynamism in new markets.
Commenting on the figures, Jean-Paul Agon, CEO of L'Oréal, said, “The first quarter was very encouraging as it marks a clear return to growth, even though the figures must be seen in the context of a weak comparison base, and continuing uncertainties in some markets. The consumer products division is pursuing its strong growth, and there has been a clear rebound in the luxury products and professional products divisions. The powerful dynamism is continuing in the new markets, where L’Oréal has again significantly strengthened its positions; in North America, the group is growing in all divisions, while there remains a more contrasting situation in Western Europe. These performances bear out our major strategic choices: the broadening of our consumer base with the target of gaining a billion new consumers, the thorough transformation of the company to make it stronger and more flexible, and the maintaining of a high level of investments in R&D and advertising and promotion to support the conquests made by our brands.The first months of the year give us confidence for the full year 2010.”
The professional products division recorded first-quarter sales growth of +5.8% like-for-like and +8.7% based on reported figures after taking into account the impact of changes in consolidation due to the acquisition of distributors in the United States, in a market which picked up very slightly at the end of the quarter. The consumer products division achieved sales growth of +6.9% like-for-like and +7.7% based on reported figures, with a good start for its three main brands. The sales of the luxury products division grew by +11.8% like-for-like and +10.3% based on reported figures, thanks to good sell-out in the stores during the end-of-year holiday period, which also accelerated in the first quarter, and a favorable comparison base. The active cosmetics division sales trend grew by +3.0% like-for-like and +4.4% based on reported figures.
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