Coty’s full year results for this year showed an adjusted net income of US$9.9m, which was flat with the prior-year period. The company, known for its Sally Hansen nail polish and Calvin Klein fragrances, reported a Q4 loss of $20.1m and a loss of 5 cents per share.
Colour cosmetics revenue, in particular, fell 2.5% to $375.6m. According to the company, “net revenues decreased 1.6% like-for-like and 2.1% as reported from the prior-year due to a sharp decline in the nail business.” Fragrances and skin and body care experienced modest growth, and emerging markets did well, growing 10% in the fiscal year.
The company is expanding sales in emerging markets in Latin America and Asia, which offset the 9% fall in revenue in North America. According to CEO Michele Scannavini, despite the “challenging year” and competition from low-priced brands, the company has rapidly and successfully expanded its business in emerging markets.