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Clichy, 15 April 2021 at 6.00 p.m. First quarter 2021 gross sales Strong return to progress at +10.2% 1 Sales: 7.61 billion euros +10.2% like-for-like 1+11.5% at fixed trade charges+5.4% primarily based on reported figures Significantly outperforming the market Three Divisions in double-digit growthRemarkable progress in Asia Pacific at +23.8 % 1, pushed by mainland China at +37.9% 1Strong restoration in North AmericaE-commerce progress at +47.2% 2Commenting on the figures, Mr Jean-Paul Agon, Chairman and Chief Executive Officer of L’Oréal, stated: “In spite of the well being disaster and the continued related measures in some international locations, notably in Western Europe, the sweetness market continues to get well. Against this backdrop, L’Oréal has began the yr with very robust progress at +10.2% like-for-like 1 within the first quarter, considerably outperforming the market. The Group is subsequently persevering with its acceleration, initiated within the third quarter of 2020, and is rising by +5.0% like-for-like in comparison with the primary quarter of 2019. The efficiency of the Professional Products, L’Oréal Luxe and Active Cosmetics Divisions is outstanding, all displaying double-digit progress. The Professional Products Division is posting vital progress everywhere in the world. The progress of L’Oréal Luxe is pushed by the success of its skincare manufacturers, notably Lancôme, Kiehl’s and Helena Rubinstein. Active Cosmetics continues to construct on the robust momentum already seen in 2020. The Consumer Products Division is secure, nonetheless held again by its excessive publicity to the make-up class which stays lacklustre. All geographic Zones are rising, aside from Western Europe nonetheless impacted by the measures related to the well being disaster. North America is performing nicely each on-line and offline. All Zones within the New Markets are rising above 10% 1, particularly the Asia Pacific Zone which is returning to the extraordinarily dynamic pre-pandemic progress charges, pushed most notably by a fast-growing mainland China. E-commerce progress is at +47.2% 2 and accounts for 26.8% of gross sales. In an surroundings that’s bettering progressively because of the vaccination programmes, and because of the dedication and willpower of the groups everywhere in the world, L’Oréal is in a preventing spirit mode, centered on product launches and investments in progress drivers to assist progress of its manufacturers. We are subsequently assured in our means to outperform the market and obtain a yr of progress in each gross sales and income.” First quarter 2021 gross sales Like-for-like, i.e. primarily based on a comparable scope of consolidation and fixed trade charges, L’Oréal group gross sales noticed a return to progress at +10.2%.The internet influence of modifications within the scope of consolidation amounted to +1.3%.Growth at fixed trade charges was +11.5%. Currency fluctuations had a unfavorable influence of -6.1%. By extrapolating the trade charges as of 13 April 2021, i.e. with €1 = $1.194 up till 31 December, the influence of foreign money fluctuations will probably be round -2.7% on 2021 full-year gross sales.Based on reported figures, the Group’s gross sales, at 31 March 2021, amounted to 7.61 billion euros, a rise of +5.4%. Sales by Division and geographic Zone Quarterly salesEvolution€m1st quarter 20201st quarter 2021Like-for-likeReportedBy Division Professional Products751.1848.3+21.0%+12.9%Consumer Products3,169.82,973.3-0.7%-6.2percentL’Oréal Luxe2,464.42,769.7+14.6%+12.4%Active Cosmetics839.91,023.3+28.7%+21.8%Group total7,225.27,614.5+10.2%+5.4%By geographic Zone Western Europe1,997.71,995.8-2.4%-0.1%North America1,847.21,813.6+6.3%-1.8%New Markets, of which:3,380.33,805.1+20.6%+12.6% – Asia Pacific2,335.12,780.0+23.8%+19.1% – Latin America 394.8387.8+15.1%-1.8% – Eastern Europe479.6469.1 +10.7%-2.2% – Africa, Middle East170.7168.1+12.7%-1.5%Group total7,225.27,614.5+10.2%+5.4%Summary by Division PROFESSIONAL PRODUCTS At the top of March, the Professional Products Division was at +21.0% like-for-like and +12.9% reported, in a market nonetheless impacted by the well being disaster.The Division has once more strengthened its management within the trade, benefiting from the underlying tendencies within the sector: the digitalisation of salons, the event of impartial stylists, and the explosion of e‑commerce.All geographic Zones achieved gross sales progress, with report efficiency within the United States, pushed by the ability of the SalonCentric distribution channel. The Division additionally confirmed its success in mainland China with very robust progress in e-commerce and in salons. Western Europe maintained its progress momentum, notably in Germany and France. Haircare stays the very best progress contributor, led by a very dynamic Kérastase, the success of Genesis and Blond Absolu, and good efficiency from Acidic Bonding Concentrate by Redken. In hair color, Shades EQ by Redken recorded one other quarter of robust progress. CONSUMER PRODUCTS The Division recorded a primary quarter at -0.7% like-for-like and -6.2% reported.The extension of public well being measures continued to influence the make-up market and therefore the Division’s enterprise as the worldwide market chief on this class. The Division accelerated in all different main classes, sustaining double-digit progress in hair color. Haircare posted a really dynamic quarter due to the revolutionary Elvive Dream Lengths Wonder Water, Elvive Full Resist and the robust begin for Ultra Doux stable shampoo by Garnier. Face care additionally accelerated, with L’Oréal Paris Revitalift Filler hyaluronic acid serum which is the top-selling serum in lots of international locations, in addition to the Pure Active anti-imperfections franchise and tissue masks by Garnier. In make-up, the manufacturers are gaining vital market share, notably in Europe and the United States, due to the spectacular starting of improvements akin to Sky High by Maybelline New York, Infallible powder by L’Oréal Paris and Shine Loud by NYX Professional Makeup. The Division outperformed the market in all main Western European international locations, Brazil and mainland China. In the United States, regardless of the burden of make-up and non permanent logistics issues, consumption picked up sharply on the finish of the quarter, and our manufacturers are recording a energetic restoration. L’ORÉAL LUXE L’Oréal Luxe closed the quarter at +14.6% like-for-like and +12.4% reported, considerably outperforming the market.In a steadily bettering context, L’Oréal Luxe gained market share in virtually all geographic Zones. Note that Asia Pacific is off to an excellent begin notably in mainland China – which stays notably buoyant -, Europe is powerful, and North America is confirming its restoration. The Division considerably outperformed the market in its three classes, particularly in skincare, pushed by the ability of its Lancôme, Kiehl’s and Helena Rubinstein manufacturers and the efficiency of Biotherm. The lately acquired Japanese model Takami has additionally had an excellent begin to the yr. In the perfume class, Giorgio Armani, Valentino and Yves Saint Laurent all carried out extraordinarily nicely. The Prada licence was built-in on 1 January. The make-up class recovered and was secure, with clear indicators of restoration rising in Asia and the United States. ACTIVE COSMETICS In an bettering market, the Active Cosmetics Division recorded robust progress at +28.7% like-for-like and +21.8% reported and continued to achieve vital market share.The Division continues to construct on the robust momentum recorded within the second half of 2020, which lies on stable foundations together with shut relationships with healthcare professionals, a portfolio of manufacturers which might be completely aligned with the well being aspirations of shoppers, and powerful positions in skincare. E-commerce continued to submit distinctive outcomes and stays the principle progress driver. Offline gross sales additionally accelerated strongly, recording double-digit progress.The Division gained market share in all Zones, with distinctive efficiency in North America, Asia and Latin America, and a notable affirmation of strong progress in Western Europe. All main manufacturers recorded progress within the interval, with CeraVe doubling in measurement whereas SkinCeuticals and La Roche-Posay continued to register extraordinarily dynamic progress, particularly in North America and Asia. Vichy maintains its management within the anti-ageing section in Europe, constructing on the profitable acceleration of its Liftactiv franchise. Summary by geographic Zone WESTERN EUROPE The Zone was at -2.4% like-for-like and -0.1% reported. Sales have been once more impacted by the closure of perfumeries, department shops and hair salons in a number of international locations and the restrictions aiming to restrict social interplay. L’Oréal outperformed the market within the overwhelming majority of nations and considerably strengthened its management in Germany, the United Kingdom, France and Italy, thanks particularly to very robust progress in on-line gross sales.The Consumer Products Division gained market share, particularly in make-up, and likewise in haircare, with vital progress for Garnier, a model that’s extremely attuned to shopper expectations by way of naturalness and sustainability. Although adversely affected by the well being state of affairs and the sharp downturn in Travel Retail, L’Oréal Luxe continued to achieve market share in fragrances and noticed an enchancment in make-up and skincare due to Biotherm. The Active Cosmetics Division accelerated its progress, pushed by the speedy growth of CeraVe within the United Kingdom particularly, and by the dynamism of La Roche-Posay. The Professional Products Division recorded stable progress regardless of the closure of salons in a number of international locations, due to the buoyancy of on-line gross sales and the Kérastase and Redken manufacturers. NORTH AMERICA The Zone was at +6.3% like-for-like and -1.8% reported. The quarter began underneath pandemic restrictions, adopted by report snowstorms disrupting the provision chain. In March, enterprise was boosted by financial stimulus checks and the beginning of the vaccination programme, giving shoppers the boldness to return to brick-and-mortar shops. E-commerce was nonetheless dynamic and now accounts for greater than 20% of the enterprise. The strongest restoration was in make-up, pushed by highly effective improvements and elevated socialisation. March was a turning level for the Consumer Products Division, which gained market share due to make-up, with the rebound pushed by the restoration of NYX Professional Makeup and profitable improvements akin to Sky High Mascara by Maybelline New York and Infallible Powder by L’Oréal Paris. L’Oréal Luxe grew due to e-commerce, the restoration of make-up and really robust progress in fragrances, with Lancôme, Kiehl’s and IT Cosmetics performing notably nicely. The Professional Products Division delivered a superb quarter, pushed by haircare and hair color, with the profitable launch of Redken Acidic Bonding Concentrate and market share captured by SalonCentric as impartial stylists achieve traction and salons start to reopen. The Active Cosmetics Division continued to carry out extraordinarily nicely on-line and offline, rising market share. NEW MARKETS Asia Pacific: the Zone was at +23.8% like-for-like and +19.1% reported. In this primary quarter, the state of affairs nonetheless varies significantly from one nation to a different. While in Australia, New Zealand and Vietnam the results of the pandemic are lessening and gross sales are rising, different international locations akin to Japan and Indonesia are being hit by new waves of Covid. The absence of tourism continues to influence Thailand and Hong Kong, whereas the state of affairs in India stays unstable in some states. The Active Cosmetics Division noticed robust progress throughout the Zone. The Professional Products and L’Oréal Luxe Divisions additionally recorded stable progress. The Consumer Products Division, nonetheless affected by the decline of the make-up market, posted progress in haircare and skincare, buoyed by the robust efficiency of Garnier in South Asia. The Japanese model Takami, acquired within the first quarter, made a robust begin in Japan and China. Travel Retail started to get well largely due to Hainan. Mainland ChinaIn a really dynamic market, with a robust restoration offline, L’Oréal China achieved very robust progress at +37.9% like-for-like, with all Divisions gaining market share. L’Oréal accelerated in bricks-and-mortar largely due to in‑retailer Chinese New Year and International Women’s Day campaigns, additional strengthening its place in each the selective and mass distribution markets. L’Oréal additionally bolstered its positions in e-commerce, with L’Oréal Paris and Lancôme recording robust progress, rating no 1 and quantity 2 respectively on Tmall on International Women’s Day. Kiehl’s and Helena Rubinstein additionally carried out very nicely, as did Yves Saint Laurent and Giorgio Armani, which topped the Tmall Selective make-up model rankings for Valentine’s Day and International Women’s Day. The Consumer Products Division carried out nicely due to L’Oréal Paris in skincare and haircare, whereas 3CE Stylenanda continued to recruit shoppers and submit robust progress within the on-line make-up market. The Active Cosmetics Division recorded vital market share positive aspects, pushed by SkinCeuticals and La Roche-Posay. The Professional Products Division virtually doubled gross sales, due to a profitable on-line activation and offline restoration. Latin America: the Zone was at +15.1% like-for-like and -1.8% reported. With all the continent nonetheless closely impacted by the pandemic and retailer closures, all Divisions and international locations continued to develop, particularly Brazil, Mexico, Chile and Argentina. E-commerce greater than doubled. This progress was pushed by our superior improvements in addition to our iconic manufacturers and merchandise, most notably in haircare and skincare. L’Oréal gained market share in make-up, though the class stays unfavorable in a difficult market context. Eastern Europe: the Zone was at +10.7% like-for-like and -2.2% reported, despite the pandemic, which continues to largely have an effect on Central European international locations. In a barely unfavorable market general, all Divisions gained market share, each on-line and offline, with the Professional Products, L’Oréal Luxe and Active Cosmetics Divisions reaching double-digit progress. The overwhelming majority of nations reported progress, particularly Turkey, the Czech Republic/Slovakia/Hungary hub and Israel. Africa, Middle East: the Zone was at +12.7% like-for-like and -1.5% reported. In the Middle East and North Africa, the well being state of affairs varies from one nation to a different. The magnificence market continues to be unfavorable throughout the Zone. All Divisions grew and gained market share general. The efficiency was pushed by Morocco, Pakistan, Egypt and South Africa. Important occasions throughout the interval 01/01/21 to 31/03/21 On 29 January, for the fourth consecutive yr, L’Oréal was recognised by the 2021 Bloomberg Gender-Equality Index for its dedication to feminine management, expertise range and gender pay parity. On 1 February, L’Oréal finalised the acquisition of Takami Co introduced on 23 December 2020. On 4 March, for the fourth consecutive yr, L’Oréal ranked among the many prime 5 corporations within the Equileap Global Gender Equality Ranking 2021, which assessed virtually 4,000 corporations in 23 international locations. L’Oréal is ranked fourth general, first within the shopper items sector and first in France. On 5 March, L’Oréal introduced two modifications inside the Group’s Executive Committee. Omar Hajeri has been appointed President of the Professional Products Division and joins the Executive Committee. He succeeds Nathalie Roos, who has chosen to take her profession in a brand new course. Ersi Pirishi will probably be appointed President of the Latin America Zone and can be part of the Executive Committee in autumn 2021. She will take over from Javier San Juan, who has determined to retire. On 16 March, the 2020 Universal Registration Document was filed with the Autorité des Marchés Financiers. It is made out there to the general public in line with the phrases of the laws in power and could also be considered on the www.loreal-finance.com web site. On 16 March, L’Oréal introduced that its Annual General Meeting would happen behind closed doorways, with out the bodily presence of the shareholders and different individuals entitled to attend, at 10.00am on Tuesday 20 April 2021. The convening discover was revealed within the Bulletin des Annonces Légales Obligatoires (BALO) on Monday 15 March 2021 and consists of the agenda, draft resolutions and foremost phrases of participation and voting on the Annual General Meeting. On 23 March, L’Oréal’s enterprise capital fund Business Opportunities for L’Oréal Development (BOLD) introduced that it had taken a minority stake within the Swiss environmental tech startup Gjosa. “This information launch doesn’t represent a proposal to promote, or a solicitation of a proposal to purchase L’Oréal shares. If you want to acquire extra complete details about L’Oréal, please seek advice from the general public paperwork registered in France with the Autorité des Marchés Financiers, additionally out there in English on our web site www.loreal-finance.com.This information launch might include some forward-looking statements. Although the Company considers that these statements are primarily based on affordable hypotheses on the date of publication of this launch, they’re by their nature topic to dangers and uncertainties which might trigger precise outcomes to vary materially from these indicated or projected in these statements.” This is a free translation into English of the 2021 quarterly outcomes information launch issued within the French language and is supplied solely for the comfort of English-speaking readers. Contacts at L’Oréal (Switchboard: +33 1 47 56 70 00) Individual Shareholders Financial Analysts and and Market Authorities Institutional Investors Journalists Mr Christian MUNICH Ms Françoise LAUVIN Ms Domitille FAFINTel: +33 1 47 56 72 06 Tel: +33 1 47 56 86 82 Tel: +33 1 47 56 76 [email protected] [email protected] [email protected] For extra data, please contact your financial institution, dealer or monetary establishment (I.S.I.N. code: FR0000120321) and seek the advice of your normal newspapers, the web site for shareholders and buyers, www.loreal-finance.com or the L’Oréal Finance app; alternatively, name: +33 1 40 14 80 50. Appendix L’Oréal group gross sales 2020/2021 (€ million) 20202021First quarter7,225.27,614.5Second quarter5,851.3 First half total13,076.5 Third quarter7,036.8 Nine months total20,113.3 Fourth quarter7,878.8 Full yr total27,992.1 1 Like-for-like: primarily based on comparable construction and similar trade charges. 2 Sales achieved on our manufacturers’ personal web sites + estimated gross sales achieved by our manufacturers similar to gross sales by our retailers’ web sites (non-audited knowledge). Like-for-like.
