Coty retains Adidas with a renewal of its long-term agreement. The US beauty giant is renewing its licence with sports brand Adidas for the distribution, manufacturing and marketing of personal care, wellness, lifestyle and fragrance products.
Although details of the deal have not been disclosed at this time, Coty CEO Sue Naby explained in the company's own press release that she is very pleased to have renewed its contractual relationship with Adidas. Naby detailed that in recent months, Coty has helped elevate Adidas' body care business and made the brand a more premium brand.
Adidas renews this agreement with Coty and will focus especially on development and innovation in personal care, wellness, sports, sports lifestyle. An example of this will be perfumery and fragrances. In 2022, Adidas presented Active Skin & Mind Range, a more 'premium' line that was very well received in the market. Coty hopes to build on the momentum of this launch by stimulating and encouraging growth in China.
Coty raised its annual profit forecast in May after completing a third fiscal quarter of 2023 ahead of expectations. This growth was led by the group's strategic investments in its Prestige and Consumer Beauty divisions. Sales for the third quarter ended 31 March 2023 increased by 9% despite the negative impact of the Russian exit and market uncertainty caused by a hit to consumer wallets. Sales in EMEA increased by 7%, while in the Americas, sales almost doubled with a growth of 13%.