Beautycare giant L’Oréal reported weak half-year sales of $9.17 billion (7.397 Euros), up 3.6%, but at the low end of analysts’ forecasts.
The company’s stock price dropped 4.5% on Friday to 61.70 euros after L’Oréal posted its results last Thursday. Analysts had forecast sales at 7.37 to 7.478 billion euros, up from 7.136 euros in the same period one year ago, according to news reports.
Consumer products grew 7.7% based on a strengthened market position, particularly in the U.S. Professional products grew 8.6%, luxury products 4.2% and active cosmetics 11.9%. New product launches have appealed to new groups of customers, which have broadened the customer base, the company said.
The company, which markets such brands as Lancome, Maybelline, Biotherm, Fructis and Garnier, reaffirmed its targets for the full year.
“In 2003, thanks to further market share gains, L’Oréal was able to maintain a growth rate very close to the average achieved over the past ten year, despite an exceptionally unfavorable economic climate,” said Chairman and CEO Lindsay Owen-Jones in a statement. “These figures mean that we can confirm our targets for the annual results.”
Network
