L'Oréal (OR) Q3 2025 earnings summary

Executive summary

• Like-for-like sales growth accelerated to +4.9% in Q3 2025, driven by innovation, the Beauty Stimulus Plan, and strong launches in fragrances and makeup, with all divisions and regions contributing, especially North America and mainland China.

• Sales for the first nine months of 2025 reached €32.80 billion, up 3.4% like-for-like and 1.2% reported year-over-year.

• E-commerce remains a key growth driver, now representing 28% of sales and growing at +12%, with online sales posting double-digit growth and outpacing the market.

• Acquisition of Kering Beauty, including Creed and licenses for Balenciaga, Bottega Veneta, and Gucci, strengthens luxury beauty leadership and includes a new joint venture focused on well-being and longevity.

• Outperformance in Mainland China and the U.S., with CPD gaining share in all categories for the first time since 2021.

Financial highlights

• Fragrance sales grew nearly +10% year-to-date, with multiple brands in the global top 10 and strong new launches.

• Like-for-like sales growth was 3.4% for the nine months, with a 4.0% increase at constant exchange rates.

• North America adjusted sales growth was 3.8% in Q3, with cumulative adjusted growth at 3.1% for the nine months.

• Latin America market grew +8% in Q3, with company sell-out above market at +10% year-to-date.

• Europe delivered robust growth around +4% in Q3, with market share gains in three out of four divisions.

Outlook and guidance

• Market growth for 2025 estimated close to +4%, with Q4 performance dependent on Double Eleven in China and the holiday season in the U.S. and Europe.

• Beauty Stimulus Plan added 170 basis points to growth in Q3, with further impact expected in Q4 from new launches, especially in fragrances.

• Management expects to continue outperforming the global beauty market and to achieve another year of sales growth and increased profitability.