WWD BeautyInc(Women’s Wear Daily, a professional beauty media) announced a list of the top 100 global beauty companies by sales in 2021, ranking the top three companies as L’Oreal, Unilever, Estee Lauder, of which seven Chinese companies are on the list, namely YSG, Shanghai Jahwa, PROYA, JALA, CHICMAX, Bloomage Biotech and MARUBI.
Recently, WWD BeautyInc released a list of the top 100 global beauty companies by sales in 2021, which shows a buoyant industry with sales surpassing 2020 levels.
According to statistics, after divesting the non-cosmetic business, in fiscal year 2021, the top 10 global cosmetics companies in terms of revenue are L’Oreal, Unilever, Estee Lauder, P&G, Johnson & Johnson, Shiseido, Natura&CO, LVMH, Beiersdorf and Kao, with the overall volume of revenue of the 10 companies reaching $139.089 billion.
Among them, LVMH has the fastest growth rate, its cosmetics division including Dior, Guerlain, Givenchy, Benefit, fresh and other brands, including revenue growth of up to 27% year-on-year. China’s Hainan duty-free stores have made a significant contribution to it.
“We find in 2021 that Chinese customers buy more from LVMH than in 2019, despite the fact that they cannot travel abroad.” said Bernard Arnault, Chairman and Chairman of LVMH.
In 2021, the L’Oréal Group achieved double-digit growth in China, twice the growth rate of the global cosmetics market at large; in the past year, Estée Lauder’s retail sales for its single brand exceeded 10 billion yuan in the Chinese online channel alone.
Kao, which owns brands such as Biore and Curel, has achieved strong growth in China through e-commerce channels and Natura&Co is now preparing for the full entry of its Aesop and The Body Shop into the Chinese offline market, with The Body Shop’s first store in China likely to land in 2022.
The strategic importance of the Chinese market to the growth of global cosmetics companies needs no introduction.
In fact, the first quarter 2022 earnings reports of major beauty companies have recently been released.
L’Oreal released financial data for the first quarter of 2022. The data showed that L’Oréal Group sales in the first quarter were $9.82 billion, reporting a 19% increase year-on-year. With double-digit growth in mainland China, L’Oréal continues to outperform the beauty market average by a wide margin. This was made possible by our successful campaigns during the Chinese New Year, Valentine’s Day and Women’s Day. The Group further consolidated its leading position in mainland China, continuing to win market share both online and offline. The travel retail market in Hainan remained dynamic, and L’Oréal also performed strongly in this market.
Johnson & Johnson (JNJ.US) announced its Q1 2022 results. According to the financial report, Johnson & Johnson’s Q1 revenue was $23.426 billion, up 5% year-on-year; net profit was $5.149 billion, down 16.9% year-on-year. During the reporting period, the Q1 revenue of the consumer health segment, including cosmetics, was $3.586 billion, down 1.5% year-on-year, which was the only segment in which Johnson & Johnson’s performance declined during the quarter. The main reason for the decline was that the division’s skin health/beauty, oral care and baby care businesses lost some of their market shares due to supply chain issues, which led to capacity constraints for the goods to meet consumer demand in a timely manner.
Overall, among the global Top 10 cosmetic companies, three are in the U.S., two in France, one in the U.K., two in Japan, one in Germany, and one in Brazil. But among the global Top 100 companies, seven Chinese companies are on the list, namely YSG, Shanghai Jahwa, PROYA, JALA, CHICMAX, Bloomage Biotech and MARUBI.. Among them, Bloomage Biotech ranked first among the 100 companies with a growth rate of 146.6%.
The 2021 annual report disclosed by Bloomage Biotech in March showed that the revenue of Bloomage Biotech rose 87.93% to $783 million in 2021, and the net profit attributable to shareholders of the listed company was $124 million, up 21.13% year-on-year. The reason for the large increase in revenue is that in 2021, based on the main cosmetics business segment, Bloomage Biotech continued to launch market demand products, such as Biohyalux and Quadha, which are well known among young people, to achieve sales revenue of functional skin care products compared with the previous year. The sales revenue of functional skin care products increased by US$312 million or 146.57% compared with the previous year.