L’Oréal Reports Slower Growth in Makeup as Mass and Dermocosmetics Lead Amid Market Uncertainty

THE WHAT?  L’Oréal is seeing diverging category performance across its global business, with mass market and dermocosmetics driving growth, while makeup slows and premium segments face pressure.

THE DETAILS Speaking to Bloomberg, CEO Nicolas Hieronimus said global beauty market growth has decelerated compared to last year, with current expansion at around 2% globally and 4% in the UK. Demand remains solid in mass and dermatological beauty, while the middle market is underperforming. Haircare and fragrance are performing strongly in both the U.S. and UK, while makeup is weaker across both markets.

E-commerce now accounts for over 27% of L’Oréal’s global revenue, with the figure expected to rise. Growth is particularly strong in emerging markets, where online sales have accelerated sharply from a low base. Brick-and-mortar channels are seeing slower momentum by comparison.

L’Oréal has built up inventory of some luxury products, especially fragrance, ahead of potential U.S. tariff hikes. Currently, around 50% of the group’s U.S. sales volume is manufactured domestically, with an additional 15% sourced from Canada and Mexico.

Hieronimus also commented on the company’s recent acquisition of Medik8 and its 10% stake in Galderma, which gives the group insight into the medical aesthetics space. The company continues to assess adjacent opportunities in supplements, devices, and injectables.

THE WHY? L’Oréal’s latest market observations reflect wider shifts in consumer behaviour under inflationary and geopolitical pressure. Sales are moving toward accessible price points and clinical skincare, while makeup lags and regional performance varies. The company is adjusting supply and category focus to match these conditions.

Source: Bloomberg

The post L’Oréal Reports Slower Growth in Makeup as Mass and Dermocosmetics Lead Amid Market Uncertainty appeared first on Global Cosmetics News.