As the world’s largest beauty group, L’Oréal recently handed in its 2024 full-year revenue report, reaching 43.5 billion euros (about NT$1.6 trillion), a record high, and its latest market value reached 186.9 billion euros (about NT$6.7 trillion), firmly establishing itself as one of the world’s top 100 companies. It is worth noting that its Australian fragrance and skincare brand Aesop continues to perform strongly, and the group continues to demonstrate its determination to expand its business through acquisitions.
According to L’Oréal’s 2024 revenue report, the group’s full-year revenue increased by 5.6% to 43.5 billion euros (about NT$1.6 trillion). Looking at the revenue distribution by department, the “dermatological science and beauty business department” including its brands La Roche-Posay, CeraVe, and Vichy grew the fastest, increasing by 9% compared with the same period last year, breaking the 7 billion euro (about NT$250.9 billion) mark for the first time.
In this financial report, L’Oréal also specifically mentioned the Australian fragrance and skincare brand Aesop. Both in the fragrance and skincare fields, they have achieved good results, which has further consolidated L’Oréal’s position as a global beauty leader. Since the group spent US$2.5 billion (approximately NT$82.4 billion) to acquire Aesop in 2013, it has continued to play an important and special role, continuously deploying around the world, and creating a distinct market positioning through localized store shaping and product development.
In addition to the revenue growth of its brands, L’Oréal has also actively expanded its business territory. Recently, through its corporate venture capital fund BOLD, it invested in the popular Korean perfume Borntostandout. The brand was founded in 2022 and has become famous for its unique originality and artistic spirit. In just two years, it has entered top retail stores in 60 countries. This investment undoubtedly values the brand’s value-added potential, and it has become another strategic investment for L’Oréal in the high-end fragrance territory.
In addition to expanding the fragrance business, L’Oreal heir Francoise Bettencourt Meyers acquired some shares of the American fashion brand The Row in October last year. This American fashion brand, founded in 2006, has been steadily growing at a revenue growth rate of 20% to 30% every year, with annual revenue of at least US$250 million (approximately NT$8 billion) and profits of more than US$60 million (approximately NT$1.9 billion). In addition to expanding the business, the group also adjusted its profit strategy.
It is worth noting that in the past year, L’Oréal spent 14 billion euros (about NT$502.2 billion) on “advertising and promotion”, equivalent to 32.2% of the group’s overall annual revenue, a record high in nearly a decade. In particular, in today’s slowing global economic market, in addition to traditional and social platform promotions, L’Oréal is also actively promoting its brands. Only in this way can it continue to sit firmly on the throne of the world’s largest beauty group.