Loading...
•
Sep 30, 2021
Coty Q1 2022 Earnings Report
Achieved strong financial results and made progress across strategic growth pillars.
Key Takeaways
Coty Inc. reported a strong first quarter for fiscal year 2022, with revenues surpassing guidance, driven by growth in the Prestige business and e-commerce. Gross margins expanded, and cost reductions fueled reinvestment in marketing. The company raised its FY22 sales growth outlook to low to mid teens.
Revenues increased 22%, or 20.6% LFL, surpassing guidance.
Prestige business delivered superior 35% reported and 34% LFL growth.
Consumer Beauty revenues increased 4% as reported and 3% LFL.
Reported gross margins expanded 460 bps to 63.2%.
Revenue by Segment
Revenue by Geographic Location
Forward Guidance
Coty raised its FY22 LFL sales outlook to low-to-mid teens percentage growth and expects FY22 adjusted EBITDA of $900 million at a minimum.
Positive Outlook
- Beauty market momentum continues, including strength in the U.S. and China.
- Strong rebound in Travel Retail.
- Steady improvement in Western Europe.
- Very strong performance of Coty's recent product launches.
- FY22 adjusted EPS in the $0.19-0.23 range is anticipated.
Challenges Ahead
- Inflation impact is expected to step up in the second half of FY22.
- Select component shortages.
- Supply chain bottlenecks.
- Inflationary pressure in materials.
- Inflationary pressure in freight.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...