L’Oréal Q3 2021: Sales up 14.9 percent LFL versus Q3 2019

L’Oréal Q3 2021: Sales up 14.9 percent LFL versus Q3 2019

THE WHAT? L’Oréal has announced its results for the third quarter of fiscal 2021. In the three months ended September 30, 2021, the French beauty giant reported sales growth of 13.1 percent versus 2020 figures (+14.9 percent LFL versus the same period in 2019) bringing its growth for the first nine months of the year to 18 percent LFL.

THE DETAILS All geographic zones reported growth, most notably North America where sales were up 22.9 percent. Sales in Latin America soared 15.7 percent, North Asia saw sales swell 13.2 percent, while Europe put on a respectable 7.5 percent and SAPMENA – SSA inched up 3.2 percent.

In terms of business divisions, Active Cosmetics was the star performer, with sales up 28.4 percent, while L’Oréal Luxe put on a similarly impressive 20.7 percent. Sales of Professional Products rose 10.3 percent while Consumer Products reported a more modest 3.2 percent rise.

THE WHY? Nicolas Hieronimus, Chief Executive Officer of L’Oréal, explains, “The Group’s sales increased by +9.3 percent like-for-like over two years, compared with the first nine months of 2019, with a remarkable acceleration in the third quarter. All Divisions increased their growth over two years quarter after quarter…

“As a result of our agility, relevant strategic choices and strong investment in our brands, L’Oréal continues to significantly outperform a beauty market that is gradually returning to pre-crisis levels.

“All Zones and all Divisions are growing and contributing to the Group’s well-balanced growth. The US recovery is confirmed, and mainland China has sustained strong quarterly growth over two years, despite a few upheavals in the summer. We have maintained an offensive product launch strategy, and our performance is evidence of our brands’ desirability and of consumer demand for cutting-edge innovations. While in-store sales have recovered, e-commerce continues to grow rapidly and accounts for 26.6 percent of sales.”