Published on 7 May 2024 on Zacks via Yahoo Finance
Coty Inc. COTY posted mixed third-quarter fiscal 2024 results, with the bottom line missing the Zacks Consensus Estimate and declining year over year. The top line surpassed the consensus mark and grew year over year.The company saw robust growth in Prestige and Consumer Beauty segments across every region and core categories, including fragrances, color cosmetics, skin care and body care. The uptick was bolstered by a diverse portfolio of its top-performing brands. Management raised the high end of its guidance range for the fiscal 2024.
Quarter in Detail
Coty delivered adjusted earnings per share (EPS) of 5 cents, missing the Zacks Consensus Estimate of 6 cents a share. The bottom line slumped from 19 cents reported in the year-ago quarter.Coty’s net revenues came in at $1,385.6 million, up 7.5% year over year. The metric surpassed the Zacks Consensus Estimate of $1,373.8 million. Like-for-like (LFL) revenues rose 10% on growth in the Prestige and Consumer Beauty business segments. Results benefited from growth in fragrances, color cosmetics, skin care and body care. We had expected LFL revenues to increase by 6.5%.In the fiscal third quarter, Coty's e-commerce channel saw a net revenue growth of nearly 20%, following a rise of more than 20% in the first half of fiscal 2024. Consequently, the year-to-date e-commerce penetration increased by approximately 190 basis points (bps), reaching around 20%.