L’Oreal, the world’s biggest cosmetics group, forecast a strong rebound in makeup sales when the COVID-19 pandemic gives way to a ‘roaring 20s’ when people get dressed up and go out again to socialise.
Shares in L’Oreal, owner of brands such as Maybelline, Lancome and Garnier, rose on Friday after the group reported higher than expected fourth-quarter sales growth, broadly outperforming a cosmetics market hit hard by the pandemic.
The company said that with many hair salons still closed and millions of consumers in lockdown, it was cautious about prospects for the market.
It forecast though that the 4.8 per cent comparable sales growth seen in the past three months of 2020 would continue into the first quarter.
L’Oreal CEO and Chairman Jean-Paul Agon said sales would accelerate sharply as COVID-19 vaccines are distributed and levels of infection subside.