By region, Europe, Middle East and Africa (EMEA) — which accounts for 55 per cent of Puig’s revenue — rose 13 per cent in the quarter. The US market performance (up 18.1 per cent in the quarter) was fuelled by fragrance, said Puig.
As for APAC, Puig sales rose 10.2 per cent on a reported basis versus 2023. Puig said this was largely due to newly created subsidiaries in Korea, Japan and India, yet China remains subdued.
Will fragrance lose its edge?
Fragrance and fashion continue to be the largest business segment for the conglomerate, contributing 73 per cent of Puig’s net revenue. Puig was bullish about the category’s performance in the last year and highlighted Jean Paul Gaultier as its fastest-growing brand, thanks to buy-in from younger consumers. The brand’s La Male line is a top performer among masculine fragrances. Carolina Herrera’s Good Girl line was another leader in the category. Other standouts included Byredo, which Puig acquired in 2022, and Dries Van Noten.
The group plans to remain heavily invested in its fragrance innovation pipeline for 2025, and the CEO is “very comfortable” with what’s on the way for the new year. However, the CEO is cautious regarding the continued growth acceleration of the category and the global fragrance market as a whole. He said growth percentages are slowing down (when comparing the group’s results alongside its competitors) since the pandemic. Can we predict a scent slowdown on the horizon in 2025? CEO Puig said it’s too early to determine.
In closing remarks, Marc Puig concluded, “The desirability and strength of our brands and geographic footprint have enabled us to outperform the premium beauty market as well as our mid-term revenue growth guidance.”
Comments, questions or feedback? Email us at feedback@voguebusiness.com.
