Coty Plans To Double Skincare Sales By FY25, Ups Q1 Like-for-like Sales View; Stock Up In Pre-market
Coty Inc. (COTY), a French-American beauty products firm, said on Wednesday that it is planning to double its skincare sales within three years, supported by business expansion strategies, research and development initiatives, and others.
The cosmetics company aims to hit skincare sales of $500 million to $600 million by fiscal 2025, and accelerate the sales growth in the following year and beyond.
Sue Nabi, CEO of Coty, said: “Coty’s skincare portfolio is one of the most exciting growth areas in our business. Our research & development efforts are focused on the fastest growing consumer needs and health trends… All of this gives us confidence that we can capture significant opportunities in the $150 billion global skincare market.”
The company has raised its outlook for the first quarter. The improved guidance is backed by both Prestige and Consumer Beauty, and across Europe, the Americas, and Global Travel Retail.
For the first-quarter, the company now projects a Like-for-Like sales growth of 8 percent to 9 percent against its previous outlook of 6 percent to 8 percent.
Considering a rise in demand, for the fiscal 2023, Coty reiterated its EPS growth outlook in the mid-teens percentage to $0.32 to $0.33. Analysts, on average, expect the company to post a net income per share of $0.32.
For the full-year, the firm continues to expect LFL sales growth of 6 percent to 8 percent, with adjusted EBITDA of $955 million to $965 million.
COTY is trading up by 2.70 percent at $8.00 per share in pre-market on the New York Stock Exchange.
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