Coty Inc. (NYSE: COTY) today announced financial results for the third quarter of fiscal year 2018, ended March 31, 2018. Net revenues of $2,222.7 million increased 9.4% as reported, compared to the prior year and increased 3.4%, while adjusted operating income of $227.8 million increased 9.4% from $208.3 million. Coty CEO, Camillo Pane, attributed most of the company’s growth to the Luxury and Professional Beauty division, while “The Consumer Beauty division continued its uneven performance, but with encouraging signs of stability,” he shared.
Coty, which has recently relaunched the CoverGirl, Max Factor, and Clairol brands and acquired Burberry, ghd, and Younique Cosmetics, recently divested fourteen of its Consumer Beauty brands over the past year. Pane explained, “We continued to reshape our growth profile by strengthening our iconic global brands, supported by recent relaunches. We are also fueling smaller brands with high growth potential and stabilizing the remaining portfolio including the conclusion of our previously communicated portfolio rationalization program.” Regarding the sales of successful brands such as Cutex, Guess and Jennifer Lopez fragrances, he added, “This streamlining of our portfolio is an important milestone that will allow us to focus on those brands where we believe we are particularly suited to drive long term revenue growth.”