L’Occitane net sales bolstered by Elemis acquisition

L’Occitane net sales bolstered by Elemis acquisition

L’Occitane has announced a 16.2 percent increase in net sales for the three months ended June 2019, bolstered by the acquisition of spa brand Elemis in March this year.

Net sales were €352.5 million, with Elemis sales having been consolidated since April 2019. According to a company statement, “Sell-in sales accounted for 31.4% of the Group’s total sales and amounted to €110.5 million, an increase of 43.1% at constant rates as compared to the same period last year. The increase was primarily driven by Elemis.”

Reinold Geiger, Chairman and Chief Executive Officer of L’Occitane, said, “We are pleased about the accelerating sales growth of L’OCCITANE en Provence. It is also encouraging to see decent growth in more mature markets, such as Japan and Europe. Our growth in China remained robust despite the prevailing global macroeconomic uncertainties and a high base.
“ELEMIS, our recent acquisition, is already having a pronounced impact on our top-line and will support our profitability in FY2020. We look forward to expanding this brand into new regions such as the Asia-Pacific in the coming months to maximise its potential. We also look forward to announcing new exciting product launches in the near future, which should further strengthen our foothold in the premium beauty market.”

Geographically, the UK, Other Countries, Russia and Brazil all posted encouraging growth at 253.0%, 18.7%, 16.4% and 13.6% respectively, meanwhile China saw growth of 8.3% driven by a successful digital strategy of e-commerce, marketplace and web partner channels. Hong Kong saw a decline in retail sales.

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