Family-owned fashion, fragrance, makeup and skincare company Puig posted record net revenues of €4,304 million (US$4,682 million) in FY2023, a +19% increase year-on-year,
The company recorded double-digit growth across all segments and regions, outperforming the beauty market. Puig delivered record EBITDA of €849 million (US$923 million) with an EBITDA margin of +20%, representing a +33% increase.
Net profit rose to €465 million (US$505 million), an increase of +16% versus 2022.
Puig’s fragrance business reached a record market share of 11% in selective distribution. Its makeup business also recorded strong growth with a +23% increase year-on-year. Skincare, with a +31% increase, was the company’s fastest-growing business segment.
The results are significantly ahead of the company’s 2021 plan to reach €3,000 million (US$3,363) in revenues in FY2023. Puig has achieved its goal of doubling 2020 net revenues one year ahead of schedule, almost tripling 2020 net revenues two years ahead of schedule.
Puig Chairman and CEO Marc Puig commented: “We have achieved these strong results thanks to our strategy of building up a portfolio of owned brands, focusing on prestige products and expanding our leadership in niche fragrances and makeup.
“Due to the strength and desirability of our diversified portfolio, we have reinforced our position in our core regions – Europe and the Americas – while continuing to invest in markets with high growth potential for our brands.
“We have kicked off 2024 with positive momentum, including the strengthening of our foothold in premium skincare with the acquisition of Dr. Barbara Sturm. We also celebrated the inauguration of our new building in Barcelona, in the presence of the King and Queen of Spain, and new offices in New York, which are a testament to our continued investment in Puig’s operations and presence in key countries.”
Rabanne reaches €1 billion net revenues
Puig’s fashion and fragrance business segment recorded a +17% increase versus 2022, contributing 72% of Puig’s net revenues in 2023 compared to 74% in 2022. Rabanne’s new brand identity helped drive the its stellar performance as it became the first Puig brand to exceed net revenues of €1 billion (US$1.9 billion).
Jean Paul Gaultier became the fastest-growing brand in the Puig portfolio. This performance was underpinned by Puig’s prestige products, such as Rabanne’s 1 Million fragrance, Carolina Herrera’s Good Girl, and the successful launches of Jean Paul Gaultier’s Le Male Elixir and Gaultier Divine.
In FY2023, Puig continued to consolidate its niche portfolio with brands such as Dries Van Noten and Byredo achieving double-digit growth despite a slowdown in retail sales in Asia.
Puig’s fashion business also recorded double-digit growth, driven by major moments across its various brands. These include Carolina Herrera’s first-ever resort show in Rio de Janeiro; British designer Harris Reed’s debut as the Creative Director of Nina Ricci; and Julien Dossena celebrating his tenth anniversary as Creative Director of Rabanne.
Charlotte Tilbury leads makeup growth
In 2023, makeup represented 18% of Puig’s total net revenues. This momentum is driven by the Charlotte Tilbury brand, which enjoyed strong growth in the UK, North America, Europe, Middle East, Australia and Singapore.
Louboutin Beauté’s gains in the Middle East and Latin America markets as well as the positive reception to the launch of Rabanne’s makeup line helped drive the segment’s growth.
Skincare now the fastest-growing business segment
Skincare now makes up 10% of Puig’s net revenues, driven partly by the success of the Charlotte Tilbury Magic Cream and the acquisition of Dr. Barbara Sturm in January 2024. This is alongside science-based dermatological products from Uriage and Apivita, which have both increased investments in innovation and technology over the last two years.
The incorporation of full-year results from recently acquired brands Loto del Sur and Kama Ayurveda was key to achieving strong double-digit growth in 2023.
Asia Pacific business remains robust
Puig’s net revenues grew +18% year-on-year across all regions, led by Asia Pacific which increased by +26%. This was followed by EMEA and the Americas both recording +18% uplift in net revenues.
EMEA accounts for 54% of Puig’s overall revenues and its growth is in line with the company’s objective to elevate its core prestige brands in the region. For example, Charlotte Tilbury expanded into new EMEA countries such as Poland, Sweden, and Saudi Arabia.
Puig also continued to consolidate its presence in Europe, its largest region by revenue, with strong growth in the UK, Spain and France.
Building on this momentum, Puig opened offices in Paris, with new London offices set to open in 2024. It also inaugurated a significant expansion to its Barcelona headquarters in the presence of Their Majesties the King and Queen of Spain.
Asia Pacific contributes 10% of Puig’s overall revenues. This follows Puig’s strategic investments in key regions including China and India – China recorded an uptick of +27% in 2023, driven by Charlotte Tilbury and Byredo.
USA, Brazil and Mexico lead Americas growth
The Americas represent 36% of Puig’s total revenues and recorded +18% growth in 2023, led by the USA, Brazil and Mexico. Carolina Herrera’s Good Girl fragrance became the number two bestselling fragrance in the USA, where Charlotte Tilbury was ranked number five makeup brand. Brazil, Mexico and Chile boosted fragrance sales, while the integration of Loto del Sur consolidated Puig’s presence in Colombia.
In 2023, Puig announced the opening of its Miami Travel Retail Hub, which will play a key role in its strategy to consolidate its foothold in Latin America and to leverage the growth of travel retail in the Americas.
Puig continues to drive ESG commitments
In 2023, Puig continued to implement its ESG roadmap with the goal of becoming a benchmark for sustainability in the industry. Puig maintained its Gold Medal in EcoVadis, placing the company among the top 5% of 125,000 companies evaluated.
It improved its Sustainalytics ESG risk rating to 20.7, ranking 9th out of 104 companies in the industry, a 42-place improvement on 2022.
In addition, Puig was awarded an A for Climate Change from CDP (Carbon Disclosure Project), placing the company among the top 2% highest-rated companies out of more than 21,000 worldwide.
Finally, Puig joined the Sustainable Markets Initiative Fashion Task Force, focused on sustainable solutions in the global fashion, textile and apparel sector. ✈
