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Natura &Co Holding SA is an investment holding company based in Sao Paulo, Brazil. It develops, manufactures, distributes and sells cosmetics, fragrances, and toiletries in Brazil. The company's portfolio includes renowned brands like Natura, The Body Shop, and Aesop.
In recent news, Natura &Co has completed the sale of Aesop to L'Oréal, focusing on strengthening its balance sheet and strategic priorities. The company reported improved profit margins in Q3 2023 while deleveraging its balance sheet due to the proceeds from the Aesop sale.
Natura &Co reported a resilient Q4 performance with net revenue of
Natura &Co reported a consolidated net revenue of R$ 9 billion for Q3 2022, reflecting a 2.2% increase in constant currency but a decline of 5.7% in BRL. The adjusted EBITDA margin remained stable at 8.6%. The company emphasized strong performance in Latin America for both Natura and Avon brands but faced challenges with The Body Shop's results and Avon International's 19.8% decline in BRL revenue. The group has initiated a restructure, enhancing brand autonomy and plans to integrate operations in Latin America. Mid-term guidance has been withdrawn amid uncertain market conditions.
Natura & Co reported second-quarter consolidated net revenue of R$8.7 billion, a slight increase of 0.4% at constant currency compared to the previous year, despite the challenging economic environment. Notable growth was seen in the Natura brand, which achieved 14.8% growth in Latin America. However, net income was negative at R$766 million, and the company faced cost pressures impacting profitability. Aesop continued its robust growth with a 24.5% revenue increase, while Avon and The Body Shop experienced revenue declines. The company emphasized focusing on margin improvement and operational cash flow for the remainder of the year.
Natura &Co announced a significant reorganization of its group structure as Roberto Marques steps down as CEO and Executive Chairman by the end of the year. Fabio Barbosa, a non-executive director, will assume his role and lead the development of a new corporate structure aimed at enhancing the accountability of individual business units—Natura, Avon, The Body Shop, and Aesop. The company reported net revenues of R$40.1 billion in 2021 and aims to create a leaner operational framework while maintaining its commitment to sustainability.
Natura &Co reported a consolidated net revenue of R$8.3 billion in Q1-2022, a decline of 4.6% at constant currency and 12.7% in BRL. Net income stood at R$ (643.1) million, with an adjusted EBITDA margin of 7.2%.
Despite challenges from inflation, currency fluctuations, and the war in Ukraine, signs of recovery were noted, including a 5.3% growth for Natura in Latin America and improvements in Avon's fundamentals. Digital sales rose to 50.8% of total revenue. The company reaffirms its 2024 net revenue target of R$47-49 billion and EBITDA margin guidance of 14%-16%.
Natura & Co reported a significant turnaround in financial performance for Q4 2021, with a net income of R$695.4 million, up 292% from R$177.4 million the previous year. The full year net income reached R$1 billion, reversing a loss of R$650.2 million. Consolidated net revenue for Q4 was R$11.6 billion, a slight decline of 3% year-over-year. Digital sales now comprise 52% of total revenue, demonstrating a strong shift towards e-commerce. The company ended the year with a robust cash position of R$6 billion.
Natura &Co reported a slight sales decline of 4.2% in Q3, attributed to a high comparable base and external challenges. However, net income improved, exceeding R$1 billion in the first nine months. Avon achieved a 10.7% sales increase year-to-date, signaling positive transformation progress. The company announced a R$1.5 billion share repurchase plan and plans to evaluate a primary NYSE listing. Despite cost pressures, net revenue for nine months reached R$28.5 billion, up 14.4% year-over-year. Adjusted EBITDA margin declined to 9.1% from the previous year.
Natura &Co (NTCO) reported strong performance in Q2 2021 with net revenues of R$9.5 billion, a 36.2% increase, and net income of R$235 million. Digital sales made up 51% of total revenue. Integration of Avon is progressing well, contributing to 59.3% net revenue growth in Brazil. Adjusted EBITDA rose to R$811.2 million, with a margin of 8.5%. The company aims for high single-digit sales growth by 2023, supported by its sustainability vision.
Natura & Co reported a robust Q1 2021, with consolidated net revenue of R$9.5 billion, a 25.8% increase in Brazilian Reais. EBITDA surged to R$829.1 million, a growth of 470.7%. Digital sales soared across all brands, with total group online sales up 166%. Avon achieved a 132% rise in global online sales. Natura & Co raised its synergies target from Avon to between US$350 million and US$450 million by 2024. Additionally, a successful US$1 billion sustainability-linked bond was issued, tying environmental targets to financial goals.