L'Oréal closed the second quarter of 2025 with organic growth of 2.4%, reaching sales of 10.74 billion euros, mainly driven by its hair care line and a rebound in China. However, this improvement was below analysts' expectations, who projected an increase of 2.9%, according to data from Visible Alpha cited by Jefferies.
The quarterly performance was also affected by a 1.3% drop in reported sales, due to a weaker context in Europe. The Professional Products division was the key driver of growth, with a notable increase of 11.5% year-on-year. Among the standout brands are Kérastase, thanks to the good reception of its Genesis range, as well as star products from L'Oréal Professionnel, Redken, and Matrix, such as Metal Detox, Acidic Bonding Concentrate, and Food for Soft, respectively.
Although the North Asia region showed a contraction of 8.8%, the resurgence of demand in mainland China helped cushion that impact, resulting in an overall positive evolution.
In the first half of 2025, L'Oréal achieved a 3% increase in accumulated sales, reaching 22.4 billion euros.
The company's CEO, Nicolas Hieronimus, emphasized that growth accelerated in the second quarter as expected, highlighting that the dynamism in emerging markets, the improvement in China, and the gradual recovery in North America compensated for the slowdown in Europe.