Moodie Davitt snapshot: L’Occitane nine-month sales
– Sales up +3% to €1 billion
– Strongest growth regions: China (+23.4%), Brazil (+12.5%) and Hong Kong (+9.7%)
– Same store sales +1.4%
Source: The Moodie Davitt Report
French natural ingredient-based cosmetics brand L’Occitane International posted a +3% year-on-year net sales increase in the nine months ended 31 December 2017.
Sales for the period amounted to €1 billion, buoyed by strong growth (+23.4%) in China. Same store sales in the country rose by +17.4%.
Strong travel retail sales in Asia contributed to a +9.7% sales increase in Hong Kong.
Brazil sales grew by +12.5% in local currency terms, driven by both sell-in and sell-out channels for the L’Occitane en Provence and L’Occitane au Brésil brands.
The group said it saw a ‘significant’ improvement in same-store sales during the third quarter in most key markets, due to strong visibility during the festive season and attractive product offerings.
Same-store sales rose +1.4% in the nine months ended 31 December 2017 compared to -0.1% for the six months ended 30 September 2017.
During the nine-month period, L’Occitane International opened 16 stores and renovated 118.
L’Occitane Chairman and Chief Executive Officer Reinold Geiger said: “Our focus remains on building on this foundation, including leveraging on our new flagship stores, deepening our foothold in different product categories, and appealing to new audiences, both online and offline.
“We also welcome the latest addition to the L’Occitane family, LimeLife by Alcone*, to complement our existing product portfolio and strategy. In the next quarter, we look forward to start seeing its exciting growth be reflected in the group.”
*L’Occitane recently increased its stake in cosmetics company Limelife to 60.5%.