PARIS — L’Oréal said Wednesday that third-quarter sales declined 0.8 percent to 5.48 billion euros, or $7.26 billion, after being hit by negative currency effects and a slowdown in North America — where there was significant de-stocking.
Currency fluctuations negatively impacted revenues by 6 percent. On a like-for-like basis, sales grew 4.1 percent in the period ended Sept. 30.
During a conference call with financial analysts and journalists on Wednesday night, L’Oréal chairman and chief executive officer Jean-Paul Agon said it has been a “pretty good quarter everywhere, in terms of regions and divisions — except in one spot, which is the consumer division in the United States.”
Sales in North America were 1.31 billion euros, or $1.74 billion, down 2.7 percent on a reported basis and up 0.6 percent in like-for-like terms.
Agon said the consumer division had a robust start to 2013 in the U.S., with a full pipeline of launches and initiatives, but then the market slowed markedly and retailers in the country severely reduced their stock.
“The cuts in inventory were bigger than we had anticipated,” continued Agon. “But now…[at] the end of September year-to-date the situation is pretty healthy for us.”
He said, “It’s true that the market has quite significantly decelerated in the U.S.,” but said that the situation should rebalance there.
Agon expects the global cosmetics market will end the year up around 3.5 percent or 3.6 percent, about one point lower than in 2012.
Dollar figures are converted at average exchange for the period to which they refer.
“My personal philosophy to beauty is paying attention to oneself. I love to be outdoors, lots of fresh air, trying to take care of yourself as best you can. I always notice that comes through,” says Felicity Jones, the global face of @shiseido-owned @cledepeaubeauteus, which launches today. Head to WWD.com to read more about the actress’ love for beauty and how she prepared for her new role in “The Basis of Sex,” playing the young Ruth Bader Ginsburg. #wwdbeauty (📷: @dandoperalski)
For men’s fall 2018, @giuseppezanotti drew on elements from streetwear, sport, biker, combat and rock ‘n’ roll. Pictured here are a pair of shoes from the collection, featuring zippers, rhinestones, and silver hardware. Head to WWD.com to see a roundup of the accessories from Milan’s men’s fall 2018 shows. #wwdfashion (📷: Andrea Delb)
To celebrate the 25th anniversary of @ralphlauren’s snowboarding collection, the brand is mining its archives. The iconic brand is reintroducing vintage styles and dropping new designs for a color capsule that will be available in Ralph Lauren stores and @openingceremony on January 25. The capsule will consist of 10 pieces, including the Snow Beach Pullover, pictured here, which is a collector’s item that rapper Raekwon wore in Wu-Tang Clan’s “Can It Be All So Simple” video. #wwdfashion (📷: Tom Gould)
For @rochasofficial’s pre-fall 2018 collection, creative director Alessandro Dell’Acqua channeled the sophisticated and intriguing Catherine Denevue in the film “Belle de Jour.” Polished collarless coats, midi skirts, suits and ’60s graphic motifs were all featured in the collection, adding a sense of discreet luxury. See the rest of the photos on WWD.com #wwdfashion
“We tried to produce clothing of that couture quality, but the most daunting part was that we only had a matter of days [to do it],” said costume designer Lou Eyrich, who recreated Gianni Versace’s iconic looks for @americancrimestoryfx. Eyrich searched online retailers and vintage shops for original pieces from the design house and for @penelopecruzoficial, who plays Donatella Versace. Head to WWD.com to read how she created the Versace world. #wwdfashion
Only three months after her stellar debut catwalk season, @kaiagerber has inked her first big design collaboration –– with @karllagerfeld. The collection blends Lagerfeld’s Parisian chic aesthetic and the model’s signature West Coast casual style via RTW, accessories, footwear and more. The #KarlLagerfeldxKaia collection will launch in September with a series of events. Get all the details on WWD.com. #wwdnews #wwdfashion
Harrods plans to remove the famous statue of Princess Diana and Dodi Al Fayed from the bottom of the Egyptian escalators and hand it back to Mohamed Al-Fayed. “We are very proud to have played our role in celebrating the lives of Diana, Princess of Wales and Dodi Al Fayed at Harrods and to have welcomed people from around the world to visit the memorial for the past 20 years,” said Michael Ward, Harrods managing director. “With the announcement of the new official memorial statue to Diana, Princess of Wales at Kensington Palace, we feel that the time is right to return this memorial to Mr. Al Fayed and for the public to be invited to pay their respects at the palace.” More on the news, with reporting by @loreleimarfil, at WWD.com. #wwdnews