Spanish trend and perfume firm Puig reported a 14.3 % rise in fourth-quarter gross sales on Thursday, beating analyst expectations for the important thing vacation interval.
The Barcelona-based firm behind fragrance manufacturers Rabanne, Carolina Herrera and Jean Paul Gaultier stated web gross sales for the three months to Dec. 31 have been 1.36 billion euros ($1.42 billion), above the 1.30 billion euro common forecast from analysts polled by LSEG.
Puig, which generates most of its income from perfume gross sales, is closely reliant on the vacation season, with analysts estimating that just about half of its status perfumes are offered within the quarter that features Black Friday and Christmas.
The corporate, which additionally owns luxurious skincare and make-up manufacturers Byredo and Charlotte Tilbury, stated full-year gross sales reached 4.79 billion euros ($4.99 billion), up 11 % from 2023, surpassing its objective of accelerating gross sales sooner than the 6-7 % forecast for the worldwide premium magnificence market.
The typical of analyst estimates was for gross sales of 4.72 billion euros in 2024, provided that it’s much less uncovered to sluggish demand in China and that greater than half of Puig’s income comes from Europe, the Center East and Africa whereas 18 % comes from the US.
The 2024 efficiency of bigger rivals comparable to Estée Lauder and L’Oréal was hampered by muted demand from China, the place a property disaster and excessive youth unemployment have curbed shopper spending.
Puig stated gross sales in its core perfume and trend enterprise grew by 21 % within the vacation quarter.
Gross sales within the make-up division fell 7.2 %, with its Charlotte Tilbury model affected by a voluntary withdrawal of choose batches of Airbrush Flawless Setting Spray in December over what Puig described as “an remoted high quality concern in a restricted variety of batches” detected throughout routine product testing.
Reporting by Corina Pons; Modifying by David Latona and David Goodman
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Puig Shares Drop After Withdrawal of Some Batches of Charlotte Tilbury Spray
Shares in Puig dropped sharply in early Friday commerce after the luxurious magnificence and trend firm stated its Charlotte Tilbury model was voluntarily withdrawing choose batches of its make-up setting spray.
