Beauty market leader L’Oréal reported a pick-up in demand in the US and China in the second half of 2025, raising hopes that the industry is emerging from a global downturn.
Improving conditions in the beauty industry’s two biggest markets drove a 6 per cent rise in organic sales in the fourth quarter for L’Oréal compared with the previous year, to €11.25bn. That increase, however, was just short of consensus expectations for growth of 6.3 per cent.
The beauty market has suffered a slowdown since a pandemic-era surge in demand. Analysts from Bernstein estimate that industry growth was about 4 per cent last year, roughly half the rate seen in 2021 and the slowest pace for at least a decade.