Recently, Coty’s UK and Ireland division has reported a significant pre-tax loss of £53.4 million for the financial year ending 30 June 2024, as outlined in documents submitted to Companies House. This marks a sharp decline from the £9.9 million pre-tax profit posted in the previous year. The exact reasons for the loss have not been disclosed, but a substantial one-off impairment charge of £134.7 million is noted in the financial documents.
Despite the loss, the division’s turnover showed a positive trend, increasing by 3.8% from £323 million in 2023 to £325 million in 2024. Additionally, the gross margin improved, rising to 41.4% from 39.5% during the same period. Operating profit also saw a modest increase, up from £8.1 million to £8.6 million.
Coty’s statement highlighted that the UK beauty market experienced substantial growth in value over the year, with the company’s sales remaining strong. The beauty giant’s performance is also supported by the broader trend seen within Coty, the parent company, which released its results for Q1 2025 in November.
Coty Inc. reported a modest 2 percent growth in net revenues, reaching $1.67 billion for the first quarter of fiscal year 2025。 Coty’s prestige business performed exceptionally well, driven by robust consumer demand for fragrances. The prestige fragrance segment saw a 5% increase in net revenue, bolstered by growth across all price points and strong sales in ultra-premium and mass fragrances. Coty noted double-digit like-for-like growth in many of its leading perfume brands, despite the 2% negative impact from the divestiture of the Lacoste fragrance license.
