Coty has announced its results for the full fiscal year 2024 and the fourth quarter, which ended June 30, 2024. The company delivered results ahead of or in line with expectations for the fourth year in a row.
Coty CEO, Sue Nabi, commented:
“Our FY24 results set a new milestone in Coty’s sustained track record of top-notch execution and market outperformance. In a dynamic macroeconomic backdrop, beauty maintains its privileged position, being neither a consumer goods industry nor a luxury goods industry. Instead, beauty is at the sweet-spot of desire, well-being, self-confidence, affordability, ritual, indulgence, and many new things that we and our consumers will invent. This is what fuels the strong global beauty growth that we continue to see to this day and which we expect to continue for the quarters and years to come.”
FY24 reported a net income of $76.2 million decreased from $495.0 million in the prior year and the reported net income margin was 1.2%.
In FY24, total net revenues grew 10%. Coty continued to deliver balanced reported net revenue growth, including growth in both Prestige and Consumer Beauty, across all regions and in each of its core categories.
In 4Q24, Coty’s net revenues grew by 1%. The Q4 reported sales growth was supported by growth in both prestige and mass fragrances, prestige cosmetics, and mass skin & body care. This was partially offset by a 2% FX headwind and a 2% negative impact from the divestiture of the Lacoste license.
In the fiscal year of 2023, Prestige net revenues grew a strong 13% with reported net revenue growth in Prestige fueled by growth in fragrances, cosmetics, and skincare.
All of Coty’s largest prestige fragrance brands grew by a mid-single-digit to a double-digit percentage.
Burberry Goddess, Coty’s biggest launch ever, continues to be a global success and is the number one female fragrance innovation in FY24 in the U.S. Canada, and Germany, which drove over 50% expansion in Burberry’s total reported net revenues in FY24.
Marc Jacobs Daisy Wild and Cosmic Kylie Jenner remain top-ranked female innovations in the U.S. calendar year-to-date, reinforcing Coty’s position as a fragrance leader.
Coty’s Prestige Cosmetics reported net revenues grew by a double-digit percentage in FY24, led by Kylie Cosmetics and Burberry.
Prestige net revenues were mostly flat in 4Q24. Prestige reported net revenue growth in Q4 driven by growth in fragrances and cosmetics and included a 4% negative impact from the divestiture of the Lacoste license and a 2% negative impact from FX.
In FY24, Consumer Beauty revenues increased by 6% on both a reported basis, and an LFL basis, with growth in color cosmetics, mass fragrances, and mass skin & body care.
Consumer Beauty net revenues increased 2% on a reported basis and 4% on an LFL basis in 4Q24. This was driven by very strong double-digit growth in mass fragrance and mass skincare.
Consumer Beauty grew across each of its core categories, including cosmetics, mass fragrances, skincare, and body care led by Brazil.
Coty continues to focus on its social media advocacy strategy as it propels viral Consumer Beauty innovations including CoverGirl Simply Ageless Skin Perfector Essence and Rimmel Thrill Seeker Extreme mascara, resulting in Rimmel gaining market share globally for the last six months and CoverGirl outperforming the U.S. omnichannel market in the past quarter.
Coty’s skincare business contributed a mid-single-digit percentage of sales and generated strong sales growth in FY24.
In FY24, Lancaster delivered double-digit percentage revenue growth, with improving momentum in Europe and more than doubling its sell-out in China, supported by its unique positioning as the photo-aging prevention and repair expert.
Philosophy returned to growth, with strong momentum in its core skincare franchises and a surge in its social media advocacy rankings.
Orveda, with breakthrough innovations like the heavily awarded Omnipotent Serum, continued to drive strong productivity growth in its existing doors and DTC, paving the way for additional distribution targeted for FY25.
Coty CEO, Sue Nabi, commented:
“Our FY24 results set a new milestone in Coty’s sustained track record of top-notch execution and market outperformance. In a dynamic macroeconomic backdrop, beauty maintains its privileged position, being neither a consumer goods industry nor a luxury goods industry. Instead, beauty is at the sweet-spot of desire, well-being, self-confidence, affordability, ritual, indulgence, and many new things that we and our consumers will invent. This is what fuels the strong global beauty growth that we continue to see to this day and which we expect to continue for the quarters and years to come.”
FY24 reported a net income of $76.2 million decreased from $495.0 million in the prior year and the reported net income margin was 1.2%.
In FY24, total net revenues grew 10%. Coty continued to deliver balanced reported net revenue growth, including growth in both Prestige and Consumer Beauty, across all regions and in each of its core categories.
In 4Q24, Coty’s net revenues grew by 1%. The Q4 reported sales growth was supported by growth in both prestige and mass fragrances, prestige cosmetics, and mass skin & body care. This was partially offset by a 2% FX headwind and a 2% negative impact from the divestiture of the Lacoste license.
In the fiscal year of 2023, Prestige net revenues grew a strong 13% with reported net revenue growth in Prestige fueled by growth in fragrances, cosmetics, and skincare.
All of Coty’s largest prestige fragrance brands grew by a mid-single-digit to a double-digit percentage.
Burberry Goddess, Coty’s biggest launch ever, continues to be a global success and is the number one female fragrance innovation in FY24 in the U.S. Canada, and Germany, which drove over 50% expansion in Burberry’s total reported net revenues in FY24.
Marc Jacobs Daisy Wild and Cosmic Kylie Jenner remain top-ranked female innovations in the U.S. calendar year-to-date, reinforcing Coty’s position as a fragrance leader.
Coty’s Prestige Cosmetics reported net revenues grew by a double-digit percentage in FY24, led by Kylie Cosmetics and Burberry.
Prestige net revenues were mostly flat in 4Q24. Prestige reported net revenue growth in Q4 driven by growth in fragrances and cosmetics and included a 4% negative impact from the divestiture of the Lacoste license and a 2% negative impact from FX.
In FY24, Consumer Beauty revenues increased by 6% on both a reported basis, and an LFL basis, with growth in color cosmetics, mass fragrances, and mass skin & body care.
Consumer Beauty net revenues increased 2% on a reported basis and 4% on an LFL basis in 4Q24. This was driven by very strong double-digit growth in mass fragrance and mass skincare.
Consumer Beauty grew across each of its core categories, including cosmetics, mass fragrances, skincare, and body care led by Brazil.
Coty continues to focus on its social media advocacy strategy as it propels viral Consumer Beauty innovations including CoverGirl Simply Ageless Skin Perfector Essence and Rimmel Thrill Seeker Extreme mascara, resulting in Rimmel gaining market share globally for the last six months and CoverGirl outperforming the U.S. omnichannel market in the past quarter.
Coty’s skincare business contributed a mid-single-digit percentage of sales and generated strong sales growth in FY24.
In FY24, Lancaster delivered double-digit percentage revenue growth, with improving momentum in Europe and more than doubling its sell-out in China, supported by its unique positioning as the photo-aging prevention and repair expert.
Philosophy returned to growth, with strong momentum in its core skincare franchises and a surge in its social media advocacy rankings.
Orveda, with breakthrough innovations like the heavily awarded Omnipotent Serum, continued to drive strong productivity growth in its existing doors and DTC, paving the way for additional distribution targeted for FY25.
