L'OCCITANE INTERNATIONAL S.A. Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.
L'OCCITANE INTERNATIONAL S.A.
49, Boulevard Prince Henri L-1724 Luxembourg
R.C.S. Luxembourg: B80359
(Incorporated under the laws of Luxembourg with limited liability)
(STOCK CODE: 973)
UNAUDITED QUARTERLY UPDATE
FOR THE PERIOD ENDED 31 MARCH 2021
L'Occitane International S.A. (the ''Company'') is pleased to present the unaudited 2020/2021 (''FY2021'') quarterly update of the Company and its subsidiaries (the ''Group'') for the three months ended 31 March 2021 (''FY2021 Q4'') and twelve months ended 31 March 2021 (''FY2021 12M''). This announcement is made pursuant to Part XIVA of the Securities and Futures Ordinance (Cap. 571 of the Laws of Hong Kong) and Rule 13.09 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited.
Highlights
. The Group achieved encouraging sales growth of 12.5% at constant rates in FY2021 Q4, driven by the core brand L'Occitane en Provence (+10.2%), ELEMIS (+24.2%) and LimeLife (+29.2%).
. Overall sales for FY2021 12M were €1,550.9 million, -1.1% as compared to FY2020 12M on a like-for-like basis (excluding ELEMIS's sales in March 2019 of FY2020 12M).
. In terms of geographic areas, China, Russia, Taiwan, Brazil, and the US posted encouraging growth at constant rates of 60.0%, 23.6%, 17.4%, 9.4% and 9.0% respectively in FY2021 Q4.
. Online channels remained robust and grew 60.5% at constant rates in FY2021 Q4.
Performance by Brand
The following table presents the net sales and net sales growth by brand for the periods indicated:
Contribution | ||||||||||||||||
to Overall | ||||||||||||||||
FY2021 | FY2020 | Growth at | Growth at | Growth at | ||||||||||||
Q4 | Q4 | reported rates | constant rates | constant rates | ||||||||||||
€'000 | % | €'000 | % | % | % | % | ||||||||||
L'Occitane en Provence | 274,691 | 76.0 | 261,477 | 77.3 | 5.1 | 10.2 | 63.1 | |||||||||
ELEMIS | 42,395 | 11.7 | 35,389 | 10.5 | 19.8 | 24.2 | 20.3 | |||||||||
LimeLife | 23,055 | 6.4 | 19,318 | 5.7 | 19.3 | 29.2 | 13.4 | |||||||||
Others(2) | 21,325 | 5.9 | 21,860 | 6.5 | (2.4) | 6.3 | 3.2 | |||||||||
Total | 361,466 | 100.0 | 338,044 | 100.0 | 6.9 | 12.5 | 100.0 | |||||||||
Contribution | ||||||||||||||||
to Overall | ||||||||||||||||
FY2021 | FY2020 | Growth at | Growth at | Growth at | ||||||||||||
12M | 12M | reported rates | constant rates | constant rates | ||||||||||||
€'000 | % | €'000 | % | % | % | % | ||||||||||
L'Occitane en Provence | 1,207,505 | 77.9 | 1,295,188 | 78.8 | (6.8) | (3.1) | (142.3) | |||||||||
ELEMIS(1) | 158,910 | 10.2 | 165,809 | 10.1 | (4.2) | (0.8) | (4.5) | |||||||||
LimeLife | 102,155 | 6.6 | 84,790 | 5.2 | 20.5 | 25.7 | 77.5 | |||||||||
Others(2) | 82,313 | 5.3 | 98,296 | 5.9 | (16.3) | (8.8) | (30.7) | |||||||||
Total(3) | ||||||||||||||||
1,550,883 | 100.0 | 1,644,083 | 100.0 | (5.7) | (1.7) | (100.0) | ||||||||||
- ELEMIS's sales in FY2020 12M included March 2019. Excluding this month, sales growth at constant rates would be +5.8% in FY2021 12M.
- Others include Melvita, Erborian and L'Occitane au Brésil.
- Excluding ELEMIS's sales in March 2019 of FY2020 12M, the Group's overall like-for-like sales growth would be -1.1% in FY2021 12M.
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Performance by Geographic Area
The following table presents the net sales and net sales growth by geographic area for the periods indicated:
Contribution | ||||||||||||||||
to Overall | ||||||||||||||||
FY2021 | FY2020 | Growth at | Growth at | Growth at | ||||||||||||
Q4 | Q4 | reported rates | constant rates | constant rates | ||||||||||||
€'000 | % | €'000 | % | % | % | % | ||||||||||
Japan | 56,391 | 15.6 | 58,590 | 17.3 | (3.8) | 2.4 | 3.3 | |||||||||
Hong Kong(1) | 15,824 | 4.4 | 17,927 | 5.3 | (11.7) | (4.0) | (1.7) | |||||||||
China | 64,960 | 18.0 | 41,050 | 12.1 | 58.2 | 60.0 | 58.3 | |||||||||
Taiwan | 10,863 | 3.0 | 9,509 | 2.8 | 14.2 | 17.4 | 3.9 | |||||||||
France | 18,737 | 5.2 | 19,444 | 5.8 | (3.6) | (3.6) | (1.7) | |||||||||
United Kingdom | 32,033 | 8.9 | 30,731 | 9.1 | 4.2 | 5.1 | 3.7 | |||||||||
United States | 59,745 | 16.5 | 59,681 | 17.7 | 0.1 | 9.0 | 12.7 | |||||||||
Brazil | 7,020 | 1.9 | 9,030 | 2.7 | (22.3) | 9.4 | 2.0 | |||||||||
Russia | 15,737 | 4.4 | 15,431 | 4.6 | 2.0 | 23.6 | 8.6 | |||||||||
Other geographic areas(2) | 80,156 | 22.1 | 76,651 | 22.6 | 4.6 | 6.0 | 10.9 | |||||||||
Total | 361,466 | 100.0 | 338,044 | 100.0 | 6.9 | 12.5 | 100.0 | |||||||||
Contribution | ||||||||||||||||
to Overall | ||||||||||||||||
FY2021 | FY2020 | Growth at | Growth at | Growth at | ||||||||||||
12M | 12M | reported rates | constant rates | constant rates | ||||||||||||
€'000 | % | €'000 | % | % | % | % | ||||||||||
Japan | 215,273 | 13.8 | 231,870 | 14.1 | (7.2) | (4.4) | (36.6) | |||||||||
Hong Kong(1) | 94,589 | 6.1 | 124,822 | 7.6 | (24.2) | (20.2) | (89.5) | |||||||||
China | 263,642 | 17.0 | 197,159 | 11.9 | 33.7 | 36.0 | 252.7 | |||||||||
Taiwan | 47,464 | 3.1 | 41,074 | 2.5 | 15.6 | 15.5 | 22.7 | |||||||||
France | 86,688 | 5.6 | 104,148 | 6.3 | (16.8) | (16.8) | (62.1) | |||||||||
United Kingdom | 154,444 | 10.0 | 160,835 | 9.8 | (4.0) | (2.1) | (11.8) | |||||||||
United States | 258,552 | 16.7 | 295,786 | 18.0 | (12.6) | (8.0) | (83.9) | |||||||||
Brazil | 34,453 | 2.2 | 57,591 | 3.5 | (40.2) | (15.9) | (32.6) | |||||||||
Russia | 50,966 | 3.3 | 58,642 | 3.6 | (13.1) | 6.1 | 12.7 | |||||||||
Other geographic areas(2) | 344,812 | 22.2 | 372,156 | 22.7 | (7.3) | (5.4) | (71.6) | |||||||||
Total | 1,550,883 | 100.0 | 1,644,083 | 100.0 | (5.7) | (1.7) | (100.0) | |||||||||
- Includes sales in Macau and to distributors and travel retail customers in Asia.
- Includes sales from Luxembourg.
The following table provides a breakdown, by geographic area, of the number of own retail stores, their contribution percentage to overall growth and same store sales growth in FY2021 12M compared to the same period last year:
Own Retail Stores | % contribution to Overall Growth(1)(2) | |||||||||||||||
Net openings | Net openings | Non- | Same Store | |||||||||||||
YTD | YTD | comparable | Comparable | Total | Sales Growth | |||||||||||
31 Mar 2021 | 31 Mar 2021 | 31 Mar 2020 | 31 Mar 2020 | Stores | Stores | Stores | % (2) | |||||||||
Japan(3) | 157 | (6) | 163 | 9 | (20.1) | (12.1) | (32.2) | (1.9) | ||||||||
Hong Kong(4) | 33 | (2) | 35 | (1) | (9.6) | (12.1) | (21.7) | (17.0) | ||||||||
China | 198 | (5) | 203 | 13 | 25.6 | 76.9 | 102.5 | 20.3 | ||||||||
Taiwan | 53 | (2) | 55 | 2 | 10.8 | 16.3 | 27.2 | 17.9 | ||||||||
France(5) | 85 | (2) | 87 | 1 | 4.5 | (43.0) | (38.5) | (22.1) | ||||||||
United Kingdom | 70 | (2) | 72 | (2) | (5.8) | 18.0 | 12.2 | 8.4 | ||||||||
United States | 147 | (25) | 172 | (12) | (54.0) | (35.9) | (90.0) | (8.7) | ||||||||
Brazil(6) | 176 | (23) | 199 | 17 | (8.8) | (12.5) | (21.4) | (9.6) | ||||||||
Russia(7) | 112 | - | 112 | 5 | 0.5 | 0.9 | 1.4 | 0.6 | ||||||||
Other geographic areas(8) | 492 | (18) | 510 | 4 | (27.1) | (30.0) | (57.1) | (4.5) | ||||||||
Total(9) | ||||||||||||||||
1,523 | (85) | 1,608 | 36 | (84.1) | (33.6) | (117.6) | (1.1) | |||||||||
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- Represents percentage of overall net sales growth attributable to Non-comparable Stores, Comparable Stores and Total Stores for the geographic area and period indicated.
- Excludes foreign currency translation effects.
- Includes 35 and 31 Melvita stores as at 31 March 2020 and 31 March 2021 respectively.
- Includes 3 L'Occitane stores in Macau and 10 Melvita stores in Hong Kong as at 31 March 2020 and 2 L'Occitane stores in Macau, 8 Melvita stores and 3 ELEMIS stores in Hong Kong as at 31 March 2021.
- Includes 7 Melvita and 2 Erborian stores as at 31 March 2020 and 5 Melvita and 2 Erborian stores as at 31 March 2021.
- Includes 90 and 64 L'Occitane au Brésil stores as at 31 March 2020 and 31 March 2021 respectively.
- Includes 11 Erborian stores as at 31 March 2020 and 31 March 2021.
- Include 8 Melvita and 2 Erborian stores as at 31 March 2020 and 6 Melvita, 2 Erborian and 2 ELEMIS stores as at 31 March 2021.
- Include 60 Melvita, 90 L'Occitane au Brésil and 15 Erborian stores as at 31 March 2020 and 50 Melvita, 64 L'Occitane au Brésil, 15 Erborian and 5 ELEMIS stores as at 31 March 2021.
In the announcement of the Company dated 26 January 2021, the Group disclosed that its subsidiary in the US, L'Occitane, Inc., had commenced a voluntary case under Chapter 11 of the US Bankruptcy Code. The subsidiary is now in relevant proceedings and its reorganisation is well underway. Even though the US operations continue as usual, the Group is required to deconsolidate L'Occitane, Inc. from the date of filing until the completion of proceedings, in accordance with International Financial Reporting Standards (IFRS). However, for the purpose of proper comparison, the related sales of L'Occitane, Inc. (totaled €13.0 million in February and March 2021) remain included in the Group's overall sales in this announcement. The impacts of the deconsolidation will be reflected in the Group's FY2021 financial statements to be published in June 2021, which are expected to be favourable and result in a higher operating profit than initially targeted at the start of FY2021.
The Group's net sales were €1,550.9 million for FY2021 12M, representing a slight decrease of 1.7% at constant rates or a decrease of 1.1% on a like-for-like basis as compared to FY2020 12M. This result is considered strong against a backdrop of COVID-19 restrictive measures worldwide. China, Taiwan and Russia were particularly resilient, recording growth at constant rates of 36.0%, 15.5% and 6.1% respectively. China ended the year with sales of €263.6 million and became the largest market of the Group. The Group's online channels (including own e-commerce, marketplace, digital direct selling and webpartners) continued to outperform and ended FY2021 12M with impressive growth of 69.2% and accounted for 37.4% of total net sales (FY2020 12M: 21.7%).
FY2021 Q4 saw accelerated sales momentum, with key brands posting double-digit growth. L'Occitane en Provence, ELEMIS and LimeLife grew 10.2%, 24.2% and 29.2% respectively at constant rates in FY2021 Q4. Geographically, some markets anniversarised the impact of COVID-19 and recorded strong growth. More than half of the growth was contributed by China, which recorded a staggering 60.0% growth in FY2021 Q4, thanks to the strong growth in both online and offline channels. Russia, Taiwan, Brazil, the US and the UK also posted good growth at constant rates of 23.6%, 17.4%, 9.4%, 9.0% and 5.1% respectively. The retail channel continued to improve in FY2021 Q4 despite trading with fewer stores as compared to the same period last year and the resumption of lockdown measures in some European countries. Retail sales in FY2021 Q4 decreased slightly by 1.1% as compared to the same period last year, with around 15% of the Group's shops closed temporarily due to lockdowns during the quarter. The Group also closed 85 underperforming stores during FY2021 12M.
By Order of the Board
L'Occitane International S.A.
Reinold Geiger
Chairman
Hong Kong, 4 May 2021
As at the date of this announcement, the executive directors of the Company are Mr. Reinold Geiger (Chairman and Chief Executive Officer), Mr. André Hoffmann (Vice-Chairman), Mr. Thomas Levilion (Group Deputy General Manager, Finance and Administration), Mr. Karl Guénard (Company Secretary), Mr. Séan Harrington (Chief Executive Officer of ELEMIS) and Mr. Yves Blouin (Group Managing Director), the non-executive director of the Company is Mr. Martial Lopez and the independent non-executive directors of the Company are Mrs. Valérie Bernis, Mr. Charles Mark Broadley, Mr. Pierre Milet and Mr. Jackson Chik Sum Ng.
Disclaimer
The financial information and certain other information presented in a number of tables have been rounded to the nearest whole number or the nearest decimal. Therefore, the sum of the numbers in a column may not conform exactly to the total figure given for that column. In addition, certain percentages presented in the tables reflect calculations based upon the underlying information prior to rounding and, accordingly, may not conform exactly to the percentages that would be derived if the relevant calculations were based upon the rounded numbers.
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L'Occitane International SA published this content on 04 May 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 04 May 2021 08:56:13 UTC.
