L'Oréal achieves 2023 like-for-like sales growth of 11 percent

L'Oréal sales of 41.18 billion euros in the financial year 2023, increased by 7.6 percent reported and 11 percent like-for-like.

The company’s operating margin improved to 19.8 percent, up 30bps; while operating profit reached 8,143.3 million euros. Earnings per share of 12.08 euros, rose by 7.3 percent.

L'Oréal’s board of directors has announced a dividend of 6.60 euros, an increase of 10 percent.

Commenting on the annual figures, Nicolas Hieronimus, CEO of L'Oréal, said in a statement: “2023 was a very successful year for the group. In a challenging environment of geopolitical tensions, inflationary pressures, and a stagnating beauty market in China, we delivered our best like-for-like growth in more than 20 years (excluding 2021).”

Highlights of L'Oréal’s full year results

The company’s professional products division reported growth of 7.6 percent like-for-like and 4 percent reported.

The consumer products division increased 12.6 percent like-for-like and 8.2 percent reported.

L'Oréal Luxe grew 4.5 percent like-for-like, 2 percent reported and the dermatological beauty division increased sales by 28.4 percent like-for-like and 25.5 percent reported.

Across geographies, sales in Europe were up 16 percent like-for-like and 13.7 percent reported, sales in North America advanced 11.8 percent like-for-like and 9.7 percent reported, while sales in North Asia contracted 0.9 percent like-for-like and 5.8 percent reported.

L'Oréal’s sales in the SAPMENA-SSA region witnessed growth of 23.2 percent like-for-like and 16.4 percent reported, and sales in Latin America achieved sales rise of 24.4 percent like-for-like and 22.8 percent reported.

L'Oréal announces new board nominations

At a meeting on February 8, 2024, the company’s board of directors chose to propose Jacques Ripoll as a new independent director at the annual general meeting. Ripoll is a partner at Eren Groupe, which harnesses technological innovation to save natural resources.

The company added that beyond the financial acumen he has honed over the course of a career with leading banks including Société Générale, Banco Santander and Crédit Agricole, Ripoll will bring strategic vision on innovation, expertise in new climate-related technologies, and a commitment to sustainable development. He is set to join the audit committee after the annual general meeting on April 23, 2024.

The board also plans to recommend renewing the tenures of Béatrice Guillaume-Grabisch, Ilham Kadri, Jean-Victor Meyers and Nicolas Meyers and also acknowledged Belén Garijo's decision to step down as director due to professional commitments, effective after the AGM, two years before the end of her current term.

If the AGM approves the proposed resolutions, the company’s board will continue to comprise 16 directors.

In February, L'Oréal announced the appointment of Ezgi Barcenas as chief corporate responsibility officer to continue the group’s environmental and societal transformation. She succeeds Alexandra Palt who will be leaving her responsibilities on April 1, 2024, having established, and anchored the foundations of this transformation during her 12 years with the group. Palt, the company said, remains CEO and administrator of the L’Oreal Foundation.