Major Brazilian cosmetics firm Natura Cosmeticos SA missed quarterly profit estimates on Thursday despite solid growth in sales driven by the Latin American market, the company said.

In a securities filing, the firm posted a first quarter net income of 41.9 million reais, up 72.8 percent from the same period last year, but below a consensus estimate of 59.1 million reais compiled by Refinitiv.

“All three of our brands and businesses posted sales growth in Brazilian reais in spite of challenging conditions in some key markets, notably Brazil, demonstrating the group’s resilience and the benefits of its geographic footprint,” said Natura Chairman Roberto Marques.

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Earnings before interest, taxes, depreciation, and amortization (EBITDA) came to 336.9 million reais, slightly below a Refinitiv estimate of 344.76 million reais.
Net revenue grew by 4.6 percent to 2.9 billion reais.

Earlier on Thursday, cosmetics maker Avon Products Inc, with whom Natura has been negotiating a deal, said its loss widened to $32.7 million in the quarter ended March 31 from $20.3 million a year ago, with fewer direct sales representatives in Europe, Middle East & Africa and Brazil.