L’Oréal CEO Talks Beauty Market Dynamism

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L’Oréal's Nicolas Hieronimus discussed the category’s positive evolution, despite inflationary pressures and the slowdown of Hainan Island’s duty-free trade

market grew by close to 10 percent in the first half, so we outperformed again, which is obviously fantastic news.

In the half, sales in North Asia were up 3.9 percent on a comparable basis, after an acceleration in the second quarter, when they rose 5.9 percent versus plus-1.9 percent in the first quarter. “We significantly outperformed the market and continued to gain share,” he said, adding that further cemented L’Oréal’s clear leadership position.

“To put our exposure into context, Hianan represents less than 3 percent of our business — the total Chinese ecosystem, around 23 percent,” he said. “So mainland China has always been our focus, and we believe that the new paradigm in Hainan should have a positive impact on sellouts in the domestic market. This plays in our favor, given how strong our market share is in mainland China.”

“Despite that, we are very confident in our ability to maintain very good momentum in the second half,” Hieronimus said.believes consumer demand for beauty will remain robust. Hieronimus discussed the strength of markets in the first half.

 

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