Puig Q4 Sales Gain 14.3%, Driven by Fragrance, EMEA and Americas
PARIS — Puig posted double-digit sales growth in the fourth quarter of 2024, exceeding financial analysts’ expectations.
The Spanish owner of Rabanne, Carolina Herrera, Byredo and Charlotte Tilbury said sales in the three months ended Dec. 31 amounted to 1.36 billion euros. Those were up 14.3 percent in reported terms and 14.1 percent on a like-for-like basis, while analysts’ consensus had forecast an organic sales increase of 9.2 percent.
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“We view this strong finish to the year as confidence-building that current consensus expectations for FY25 are well underpinned,” wrote Jefferies analyst Molly Wylenzek in a research note. Those include 8 percent like-for-like gains and plus-20 basis points EBITDA (earnings before interest, taxes, depreciation and amortization) margins.
Puig’s trading update was released after the market closed Thursday.
For full-year 2024, the company registered sales of 4.79 billion euros, representing an 11.3 percent rise in reported terms and 10.9 percent on an organic basis. This was boosted by a further acceleration in the fourth quarter, versus the prior nine months of 2024.
Details of Puig’s full-year results and outlook will be presented on Feb. 27.
Marc Puig, chairman and chief executive officer of Puig, called 2024 a historic year for the group during a call with analysts and journalists Thursday evening. “We celebrated our 110th anniversary and became a publicly listed company,” he said.
“Once again, we delivered record sales, driven by the exceptional performance of our core fragrance business and our core geographies, EMEA and the Americas,” Puig explained. “We also continued developing our makeup and skin care segments, achieving meaningful milestones, such as the acquisition of Dr. Barbara Sturm and the extension of our partnership agreement with Charlotte Tilbury till 2031.
“The desirability of our brands and the strength of our geographic footprint have enabled us to outperform the premium beauty market as well as our midterm revenue growth guidance,” he continued.
At the time of the IPO announcement in mid-April, Puig gave midterm guidance of high-single-digit like-for-like increases.
Puig said full-year results were spurred by exceptional momentum in its fragrance and fashion activity, which generated 3.54 billion euros, advancing 13.6 percent both on a reported basis and at constant perimeters. Strong momentum was noted in the fourth quarter, propelled by Europe, Middle East and Africa and the Americas.
Prestige fragrances continued to fuel the double-digit gains. Jean Paul Gaultier was Puig’s fastest-growing perfume brand, and in 2024 entered the top-10 ranking of fragrance lines. “It is estimated that Le Male has become the number-three masculine fragrance line worldwide,” said Puig.
The company also estimates Carolina Herrera’s Good Girl scent maintained its status as the second-placed feminine fragrance franchise worldwide. For the first time, that perfume became the number-one women’s fragrance line in the U.S.
Puig today has three fragrance brands — including Rabanne — in the top 10.
All of Puig’s niche perfume brands, which count L’Artisan Parfumeur, Penhaligon’s and Dries Van Noten among them, posted double-digit sales rises, as well. Byredo’s sales accelerated, according to Puig.
“Our fashion business, which remains a lighthouse of creativity for our brands, continued to perform well, while still representing less than 5 percent of net revenues for 2024,” he said.
The company’s strong fragrance growth was partially mitigated by makeup’s negative performance. The category’s sales dipped 1.3 percent — on both a reported and organic basis — to 763 million euros.
“This was a result of specific sell-in, sell-out dynamics, which slowed the segment over the course of the year, and the voluntary withdrawal of the [Charlotte Tilbury] Airbrush Flawless Setting Spray, as we have previously disclosed,” said Puig.
That took place in December and had a negative midsingle-digit percentage impact. Puig’s makeup revenues closed the fourth quarter down 7.2 percent.
“Importantly, the situation has been managed, and Charlotte Tilbury has begun reshipping the product to retailers, as anticipated,” said Puig.
Charlotte Tilbury registered flat sales in 2024 year-on-year. “This was a result of several factors, including a tougher comparison with a strong ’23 performance,” said Puig. Still, the brand maintained its number-one ranking in the U.K. and reached number three among makeup brands in the U.S. for the full year, having climbed two positions versus 2023.
“While makeup performance this year has been muted, we remain excited by the prospects for the Charlotte Tilbury brand for the long term,” said Puig.
During 2024, the group’s skin care activity generated 516.2 million euros, up 19.8 percent in reported terms and 7.4 percent like-for-like.
“In particular, dermocosmetics continued to perform strongly, with Uriage delivering double-digit organic growth, supplemented by successful launches and hero franchise accelerations,” said Puig. He added the company continued the skin care segment’s expansion and diversification with the incorporation of Dr. Barbara Sturm.
EMEA remained Puig’s largest market, with sales of 2.62 billion euros, followed by the Americas, with 1.71 billion euros, and the Asia-Pacific region, with 455.1 million euros.
“We continue to feel encouraged by our consolidated performance across our complementary brands and segments, which balance different and evolving market dynamics,” said Puig. “All our businesses have delivered an excellent performance in 2024, led by the performance in our core business, with good momentum through the holiday period.
“Based on our preliminary estimations, the Christmas campaign sell-out for the overall market was healthy, although it represents some moderation in growth versus the rest of 2024,” said Puig, who noted a deceleration throughout the year.
“Our brands showed strength through this period with their out-performance,” he said.
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