By Giulia Petroni
L'Oreal SA reported full-year 2020 results on Thursday. Here's what you need to know:
SALES: The French cosmetics and consumer-products company reported sales of 27.99 billion euros ($33.94 billion) compared with EUR29.87 billion a year earlier. On a like-for-like basis, sales fell 4.1% on year. In the fourth quarter, sales came in at EUR7.88 billion.
WHAT WE WATCHED:
-FOURTH QUARTER: The group returned to growth in the second half, with fourth-quarter results beating market expectations and outperforming the sector, according to analysts. Sales in the quarter recorded a like-for-like growth of 4.8% on year, mainly driven by the active-cosmetics business which rose 31% like-for-like.
-E-COMMERCE: The channel boomed during the pandemic, recording a 62% sales jump across all regions and divisions. E-commerce sales accounted for 26.6% of the group's total sales for the year.
-GUIDANCE: The company didn't provide quantitative guidance for 2021, but analysts expect progressive improvements assuming no lockdowns in place. "For FY21, we forecast a 13.5% like-for-like growth and a 75 basis points adjusted Ebit margin expansion up to 18.7%," UBS says.
Write to Giulia Petroni at firstname.lastname@example.org
(END) Dow Jones Newswires
February 12, 2021 06:59 ET (11:59 GMT)Copyright (c) 2021 Dow Jones & Company, Inc.