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L’Oréal Surpasses Q1 2025 Sales Forecasts with 4.4% Growth

Strong performance in Europe and emerging markets offsets U.S. challenges, boosted by IT transformation and high-margin strategies.

A range of L'Oreal cosmetics are pictured in a store in Paris, France, April 3, 2025. REUTERS/Benoit Tessier/File Photo
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Overview

  • L’Oréal reported Q1 2025 sales of €11.73 billion, a 4.4% increase in reported terms and 3.5% organic growth, exceeding analyst expectations of 1.3%.
  • Europe was the largest contributor to growth, while emerging markets remained dynamic; the U.S. market faced more challenges than anticipated.
  • Sales benefited from a €100 million boost linked to the phasing of L’Oréal’s ongoing IT transformation in 2024–2025.
  • The company is leveraging localized production, high-margin Luxe and Dermatological Beauty divisions, and disciplined P&L management to mitigate U.S. tariff risks.
  • CEO Nicolas Hieronimus expressed confidence in L’Oréal’s ability to continue outperforming the global beauty market and progressively accelerate growth.