The cosmetics company Puig today presented its financial results for the first quarter, reporting a net profit of 154 million euros for the first six months of the year. This figure is 27% lower than the same period in 2023.
This decrease in net profit, according to the company's press release, has been caused by the extraordinary costs of its IPO and also derived from the mergers and acquisitions that have been required to complete the operation.
Puig achieved sales of 2,171 million euros in the first half of the year, 9.6% more than in the same period last year, and obtained an adjusted net result of 238 million euros, 4.8% more, equivalent to 11% of sales.
The Catalan company's CEO, Marc Puig, explained that it has been a ‘solid’ first half of the year thanks to the strategic decisions taken. ‘Our business is managed on an annual basis and this result is in line with our expectations for the period, as we experience some seasonality,’ the CEO of the cosmetics group stressed.
Skin care: the fastest-growing sector
The most profitable business segment in the first six months was fragrances and fashion, which account for 73% of the group's total sales for the time being. The business area that has experienced the greatest increase has been the skin care division, which has reached sales of 256 million, 25% more than last year and which has represented 12% of total sales. Marc Puig explained that they expect skin care to continue this trend for the rest of the year.
On the other hand, in colour cosmetics and make-up, Puig reported a drop in sales of almost 2 points compared to the same period last year, which he attributed to the complexity of the Asian market.
Asia Pacific: Puig's Achilles heel
Europe, Middle East and Africa continues to be the company's main market and generated 53% of the group's total sales, growing by more than 12 percentage points. America accounts for 9% of the group's total sales. Asia, however, continues to be a challenge for the Catalan cosmetics company: ‘we believe that Asia-Pacific will remain weak for the rest of the year, in particular because consumption levels among Chinese customers are below expected levels,’ said the company's CEO."