Overview
- Net revenue fell 6% to $1.58 billion in fiscal Q1 and adjusted EPS came in at $0.12, below the $0.15 consensus, with retailers trimming orders under macro and tariff pressures.
- Management guided second-quarter like-for-like sales to the top end of its prior minus 3% to minus 5% range and forecast adjusted EPS of $0.18 to $0.21, citing steady demand for Calvin Klein and Hugo Boss scents.
- Coty is conducting a strategic review of its consumer beauty and Brazil businesses that could lead to asset sales, while reiterating that the prestige division is not for sale.
- The Gucci Beauty license will transfer when it expires in 2028, and Coty said it will operate the brand under the current agreement until then; industry estimates peg Gucci at roughly 8% of sales and 11% of profits.
- To offset future Gucci exposure, Coty flagged new launches including Marc Jacobs Beauty makeup in 2026 and planned fragrance lines for Swarovski, Etro and Marni, as shares remain down about 46% year to date.