Yesterday, Spanish beauty and fashion company Puig reported second-quarter 2025 sales of €1.09 billion, reflecting a 3.9% increase on a reported basis and 7.7% growth like-for-like, despite notable currency headwinds, particularly from a weak U.S. dollar that negatively impacted results by 3.8%. The company reaffirmed its full-year guidance, maintaining expectations of 6% to 8% like-for-like sales growth, outpacing the premium beauty market.
By product category, Puig’s fragrance and fashion division grew 6.7% organically to €788.3 million, slightly underperforming analysts’ expectations of 8% growth. However, this was offset by stronger-than-expected results in other segments: makeup sales rose 10.5% to €173.8 million, boosted by Charlotte Tilbury, and skin care advanced 10.2% to €131.3 million, both outperforming market forecasts.
In a note, Jefferies analyst David Hayes acknowledged the minor miss in fragrance but highlighted that strong results in makeup and skincare “completely compensated” for it. He added that the reaffirmed guidance should support Puig’s market performance relative to peers.
For the first half of 2025, Puig recorded net sales of €2.3 billion, up 5.9% reported and 7.6% like-for-like. CEO Marc Puig emphasized during an earnings call that the company continues to outperform the premium beauty sector, attributing the growth to a solid performance across fragrance, an acceleration in makeup, and steady skincare gains.
Puig addressed potential headwinds, including the U.S. proposal of 30% tariffs on European imports. While current guidance assumes 20% tariffs, Puig stated that any impact in 2025 would be minimal due to pre-stocked inventory in the U.S., though future years may see more significant effects. Additionally, the company plans mid-single-digit price increases in August, regardless of final tariff outcomes.
