LOreals shares rose on Friday after the worlds biggest cosmetics group reported higherthanexpected revenue growth for the fourth quarter.
LOreals shares were up 1.4 in early trading, among the strongest performers on Frances benchmark CAC40 index.
Luxury retailers and beauty companies have been hit by store closures during the pandemic, but cosmetics groups have benefited from demand for skin care products and pampering treatments for use at home.
LOreals online revenues jumped 62 in 2020 as a whole, reaching over a quarter of total sales.
The French company reported late on Thursday that total sales reached 7.88 billion euros 9.5 billion in the October to December period, flat from last year on a reported basis but up by 4.8 on a likeforlike basis, excluding currency effects and acquisitions, with the numbers beating forecasts.
In a presentation on Friday, LOreal said its sales in China were up 27 in 2020 overall, while online sales in China grew 56.
Worldwide, the company outperformed the market in most parts of its business. Skin care products did particularly well, tapping into the boom for pampering products for people stuck at home.
That helped to offset a fall in sales of traditional makeup, less in demand during the COVID19 pandemic because consumers are socialising less.
LOréals industry outperformance demonstrates the power of its well diversified and highquality brand portfolio, said investment bank Jefferies, which kept a hold rating on the stock….