French cosmetics group L'Oréal has reported solid growth for the 2025 financial year and expanded its position as the world's largest beauty company. According to the company, sales rose by four per cent to around € 44 billion thanks to stable demand for skincare, luxury perfumes and dermatological products. The Dermatological Beauty division once again performed particularly well, achieving double-digit growth rates and benefiting from rising demand for scientifically based skin care. The luxury segment also grew, supported by perfume and skin care brands and a recovery in key markets. The Consumer Products Division remained the group's biggest sales driver, benefiting from innovations in the mass market and a strong digital presence.

Growth in every quarter

"As promised, organic sales growth accelerated quarter after quarter, driven by the intensification of our product launches and supported by a gradually recovering cosmetics market," said Nicolas Hieronimus, CEO of L'Oréal. "We achieved another record year in gross and operating margins as we were able to offset negative currency and tariff effects through efficiency gains." Regional dynamics varied: while sales in North America and emerging markets continued to grow, business in China stabilised increasingly over the course of the year.

Optimistic outlook for the beauty market

Meanwhile, online sales once again grew at double-digit rates and now account for more than 30 per cent of sales. At the same time, the L'Oréal Group has been strengthened by an internal transformation, AI development has been driven forward and research and development capacities have been expanded. Among other things, investments have been made in beauty tech solutions to enable personalised premium products and new consumer experiences. The company sees this as an additional growth opportunity. "We are optimistic about the global beauty market and are confident that we will achieve another year of sales and profit growth," said Hieronimus.

Source: L'Oreal