L'Occitane is going from strength to strength. The French group has reported results for the first half of its 2024 fiscal year, with sales up almost 25%. This increase in sales has allowed the group to reach over one billion euros and to post an operating profit that has risen by more than 11%.
The group's best-selling brand was Sol Janeiro, which increased its sales by 188.8%, while Elemis also increased, with a lower percentage of 7.6%.
The increase in sales in China, achieving 22%, has enabled the brand to see a stronger performance and improved profit and sales figures in the first six months of the 2024 fiscal year. In the case of its Elemis brand, sales in the Asian country have risen by more than 200% thanks to investment in online social channels. This has allowed the company to see its sales surpass the €1 billion mark and grow by 19% compared to the same period last year.
L'Occitane's vice chairman and chief executive officer confessed that these strong results are due to increased investment in marketing strategy and are paying off by driving sales, especially in these holiday sales: "We are cautiously optimistic about our prospects in the second half of FY2024 as we approach the holiday and gifting seasons. Despite its short-term impact on our margins, our increased marketing investments are already paying off by driving brand awareness and engagement, and remain vital to support our ability to outperform the overall premium beauty market in China and other key markets. Through our portfolio of unique premium beauty brands and our commitment to investing for the long term, we are well positioned to continue to drive sustainable growth and profitability for our shareholders and stakeholders," said André Hoffmann.