Coty’s Q3 Revenue Falls 1%, Net Loss Widens to $473.7 Million; Sees 2–3% Q4 Drop
COTY•Coty’s Q3 net revenue dipped to $1.28 billion, with prestige flat at $830.9 million and consumer beauty down 4%, while a 1.4% Middle East drag widened its net loss to $473.7 million. It foresees a 2–3% Q4 sales decline due to the conflict and implements Coty Curated to slash launches and cut marketing costs.
1. Q3 Financial Results
Coty reported third-quarter net revenue of $1.28 billion, down 1% year-over-year. Prestige sales held steady at $830.9 million, while consumer beauty fell 4% to $450.7 million, contributing to a net loss of $473.7 million versus $309 million a year earlier.
2. Middle East Business Drag
The escalation of regional conflict imposed a 1.4% headwind on like-for-like sales in Q3 and is expected to reduce fourth-quarter sales by 2–3%. Fragrance, a key Middle East category, drove a more pronounced impact on Coty’s prestige segment.
3. Coty Curated Strategy and Portfolio Review
Under interim CEO Markus Strobel, Coty Curated focuses on fewer product launches, reduced marketing asset costs through AI and more targeted investments. The company is also reviewing its mass color cosmetics division and Brazil operations to sharpen its portfolio and improve execution.
