Net sales of the L’Occitane International cosmetics group – owner of L’Occitane en Provence and Melvita, among others – accounted for 1,436 million euros for the year ended March 31, 2019, an increase of 8.7% constant exchange rates and 8.1% at reported exchange rates. Gross margin remained high at 83.2%.
L’Occitane en Provence, the company’s main brand listed on the Hong Kong Stock Exchange, posted revenues of 1.247 billion euros, an increase of 3.5% over the previous year.
LimeLife by Alcone (“LimeLife”) became a subsidiary of the Group in January 2018, when the Group acquired a 60% interest, and its sales have been consolidated since then. On a like-for-like basis (excluding LimeLife, Le Couvent des Minimes and constant exchange rates), overall growth was 4.2%, a 3.7% improvement last year. The group recorded sales of 83.7 million euros, an increase of 325.5%. This exponential growth, however, is the product of a favorable comparison basis, since Limelife’s results were not consolidated in the last quarter of the previous year. In the other L’Occitane International brands, namely Melvita, Erborian and L’Occitane au Brésil, sales totaled 95.5 million euros, an increase of 10.8%.
L’Occitane en Provence continues to be the Group’s main brand, accounting for 87.4% of total net sales.
By region, the company’s growth was driven by a strong 31.8% increase in the US, where sales totaled 232.4 million euros, driven by the increase in L’Occitane International’s stake in Limelife.
Sales in Russia, China and Brazil rose 12.2%, 12.1% and 11.1% respectively, while in France, where sales reached 101.9 million euros, growth was significantly slower at 0.8%. The country currently accounts for 7.2% of the group’s global sales, down from 7.7%.
Brazil’s net sales for fiscal year 2019 were € 57.6 million, a decline of 4.4% over fiscal year 2018.
At constant exchange rates, growth was 11.1%, contributing with 5.8% of overall growth.
At the close of the annual balance sheet, L’Occitane International had 1,572 own stores around the world, 86 of which were in France.