In January, the US subsidiary of cosmetics group L’Occitane filed for chapter 11 bankruptcy protection as a prelude to restructuring L'Occitane en Provence’s business, a reorganisation that has recently been completed.
Due to the pandemic, L’Occitane has had to restructure. But thanks to e-tail and China, the multinational beauty group has proven resilient, and hopes this dark period will foster more responsible business practices.
In the first half of the current financial year, sales at L’Occitane International (the owner of L'Occitane en Provence and Erborian) dropped by 15.2%, to €616.6 million, affected by the Covid-19 crisis.
In H1 of the current financial year, L’Occitane International (owner of L’Occitane, Erborian and Melvita) posted a 22% revenue rise, largely driven by skincare brand Elemis, bought by the group in March 2019.
Hong Kong-listed beauty group L’Occitane said this week that its net profit in the year to March 31 soared almost 22% to at €117.6m, even though its revenue rise was more modest, up just over 8% to almost €1.43bn.
In the fiscal year ended 31 March 2019, the cosmetics group – owner of L'Occitane en Provence and Melvita, among others – saw its revenues jump 8.7%, boosted by strong performances in the US, China, Brazil and Russia.