Puig said revenues grew 9.6 percent to EUR 2.2 billion for the first half, with the Spanish beauty and fashion giant noting sales were impacted by a sluggish China.
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On a like-for-like basis, sales rose 8.5 percent for the six-month period ending June 30.
In Asia Pacific, sales inched forward just 0.7 percent to EUR 204 million, contributing 9 percent to the firm’s overall sales for the six months.
Puig, the owner of Nina Ricci, Dries Van Noten, and Byredo brands said it faced a challenging market environment, particularly in China, where economic conditions impacted consumer spending.
Puig said its niche fragrance business did gain market share in Asia during the first-half, noting its establishment of new subsidiaries in Japan, Korea and India shows its “long-term commitment to the region, positioning the company for future growth as
economic conditions stabilise.”
By business segment, skincare continued to be Puig’s fastest-growing segment globally, with revenues reaching EUR 256 million, up 25.2 percent, bolstered by the
acquisition of Dr. Barbara Sturm in the first quarter.
The firm’s makeup segment dipped 1.8 percent to EUR 334 million, hurt by a challenging market environment, coupled with a lower performance of its Christian Louboutin Beauty brand in Asia. Charlotte Tilbury was a bright spot in the U.S. and UK.
Fragrances and fashion remained Puig’s largest business, up 10.7 percent to EUR 1.6 billion, driven by prestige fragrance brands from Jean Paul Gaultier, Rabanee, and Carolina Herrera, and solid gains in its niche fragrance segment.
“We delivered a strong first half of the year with sales growth of 9.6 percent, outperforming the premium beauty market. We are particularly pleased with our performance across our core geographies despite a challenging economic environment marked by geopolitical tensions. Our continued focus on the premium beauty sector, as well as the strength and desirability of our brands alongside disciplined financial execution have ensured that our profitability remains compelling,” said Marc Puig, chairman and CEO of Puig.
“While our fragrances and fashion business remains our largest segment, we
further diversified into skincare — our fastest growing business segment during the first half-with a strong organic growth component and a strategic brand acquisition.”
Looking ahead, the company maintained its growth projections unveiled at its IPO earlier this year remain the same. The company expects 6 to 7 percent growth annually through 2027.