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Puig Income Up 12% for 2012
Posted: April 25, 2013
Puig recorded net revenues up by 11% in 2012, with a matching 12% increase in net income. The increases helped the company reach net revenues of €1,488 million and net income of €173 million. And international markets generated 83% of the business, whereas five years ago that figure was 64% for the company.
Specifically for its fragrance division in 2012, Puig increased its market share to 8.1%, raising it to sixth place worldwide in the selective perfume industry. The 2012 growth in fragrances was bolstered by the launch of CH Men Sport by Carolina Herrera and the steady success of 1 Million by Paco Rabanne, along with the brand’s more recent launches, such as Black XS L’Excès and Lady Million EdT. The launches of Prada Luna Rossa by Prada and Valentina Assoluto by Valentino also had a positive impact. Meanwhile, the Antonio Banderas (Her Secret) and Shakira (Elixir) brands turned in excellent performances, enabling Puig to maintain its prominent position in the masstige fragrance category in Spain and abroad.
In 2012, 45% of Puig sales were generated beyond U.S. and European borders thanks to a commitment Puig made to emerging markets several years ago. This is one of the largest percentages of the entire fragrance industry. The Russian subsidiary, founded in 2011, grew by 69% in 2012 and the Brazilian subsidiary, created in 2010, saw its sales surge 45% in 2012. Currently, Puig products are sold in more than 130 countries; the company has wholly owned subsidiaries in 21 countries.
For 2013, as the European market slows down, Puig expects more moderate growth, and estimates that by the end of the year, more than 50% of its sales will come from outside Europe and the U.S. A new subsidiary will open in 2013 in Saudi Arabia, thus raising the number of countries with wholly owned subsidiaries to 22, and in September 2013, Puig will open its new French offices on the Champs-Élysées in Paris. Additionally, as planned, Puig will also inaugurate its new headquarters in Barcelona in 2014.