Yesterday, Coty Inc. announced its financial results for the full fiscal year 2024, ending on June 30, 2024, demonstrating strong performance across its business segments. The company reported net revenues of $6,118.0 million, a 10% increase year-over-year. This growth was primarily driven by a 13% increase in Prestige segment revenues and a 6% rise in Consumer Beauty revenues. On a like-for-like (LFL) basis, net revenues grew by 11%, with Prestige and Consumer Beauty segments posting LFL increases of 14% and 6%, respectively.
In the Prestige business, which accounted for 63% of Coty’s total sales, net revenues grew by 13% to $3,857.3 million, with significant contributions from the EMEA region, Latin America, and the Travel Retail channel. The Prestige fragrance category, in particular, saw double-digit growth, fueled by strong demand across North America and Europe. Coty’s Prestige cosmetics business also performed well, with double-digit growth for the fiscal year and mid-single-digit growth in Q4, led by brands like Burberry and Kylie Cosmetics.
Coty’s Consumer Beauty segment, which made up 37% of total sales, reported revenues of $2,260.7 million, reflecting a 6% increase both on a reported and LFL basis. Growth in this segment was supported by strong performances in mass fragrances and skin & body care, especially in regions like Latin America and the EMEA.
Regionally, the Americas contributed $2,567.9 million to Coty’s sales, showing a 10% increase, while EMEA and Asia Pacific regions reported revenue growth of 11% and 9%, respectively. However, in Q4, Asia Pacific revenues declined slightly due to high prior-year comparisons and a slow market recovery in China.
Coty CEO Sue Nabi stated that Prestige fragrances remain the “queen” category, with sales of Burberry Goddess, Marc Jacobs Daisy Wild, and Cosmic Kylie thriving. Prestige makeup and skincare also performed well. However, the Prestige cosmetics markets in North America and China are slowing down.
Coty’s operating income for FY24 rose to $580.7 million, with a reported operating margin of 15.1%, a 100 basis point improvement from the previous year. Looking ahead to FY25, Coty expects continued growth, targeting a 6% to 8% increase in core business revenue, supported by strong commercial plans, innovation, and opportunities in new markets. CEO Sue Nabi expressed confidence in achieving these goals, highlighting upcoming launches like Burberry Goddess Intense as key drivers for the company’s future success.
