Fashion
Beauty products brand L’Occitane saw sales momentum improve significantly in the September quarter as consumers resumed shopping in the wake of Covid-19 lockdowns in much of the world.
The year-on-year decline in sales improved from 22.2 percent in the June quarter to a more modest 4.5 percent in the subsequent three months.
Sales for the combined first half-year reached US$726.2 million, down 13.1 percent in the same period a year earlier. Growth in South Korea was the most spectacular – up 37.4 percent year on year, with China close behind, up by 30.5 percent, and Taiwan up by 15.3 percent.
While foot traffic into physical stores began to recover, the company’s online channels outperformed brick and mortar shops, soaring 80.8 percent to account for 40.7 percent of total sales in the September quarter.
L’Occitane chairman Reinold Geiger said all of the company’s brands saw significant improvements in sales momentum in the second quarter, compared to the first. L’Occitane en Provence was particularly resilient — its sales decline narrowing from 25.7 percent to 4.1 percent. The travel retail business also showed some improvements, particularly in Asia.
The group recently commenced a reorganization process aiming to be more efficient and flexible, which will likely lead to the loss of about 300 jobs, primarily in corporate roles, from its global workforce of 9000.
