Financial Performance - Net sales for the fiscal year ended March 31, 2020, were €1,644.1 million, an increase from €1,426.9 million in the previous year, representing a growth of 15.3%[12] - Operating profit for the same period was €187.3 million, up from €150.7 million, reflecting a growth of 24.4%[12] - The gross profit margin decreased to 81.6% from 83.2% year-on-year[12] - The operating margin improved to 11.4% from 10.6% in the previous year[12] - The company reported a net profit margin of 7.0%, down from 8.2% in the previous year[12] - The group's overall operating profit margin increased by 0.8 percentage points to 11.4%, attributed to the contribution from ELEMIS[15] - The company's net cash inflow from operations was 369.5 million[22] - The gross profit margin for the fiscal year was 81.6%, while the net profit margin was 7.0%[22] - The estimated total sales loss due to COVID-19 was approximately €56 million, representing about 18% of Q4 2020 sales and 3.4% of total sales for FY 2020[61] - Net profit for the fiscal year 2020 was €115.2 million, a decrease of 2.0% or €2.3 million from 2019[59] Sales and Market Performance - L'OCCITANE en Provence recorded a sales growth of 3.9% and an operating profit increase of 9.8%, with an operating profit margin improvement of 0.8 percentage points to 14.0%[15] - The online direct sales channel grew by 41.8% at constant exchange rates, compensating for the loss of sales due to temporary store closures during the last quarter of the fiscal year[15] - ELEMIS accounted for 10% of the total sales in the fiscal year 2020, achieving growth and profitability despite the challenges posed by COVID-19[15] - The overall sales growth for the group was 15.2%, with a contribution of 100% from various channels[32] - The resale distribution channel accounted for 30.8% of total sales, reaching €506.2 million, an increase of 44.1% at reported exchange rates and 41.6% at constant exchange rates, contributing 80.1% to overall growth[35] - The UK experienced a remarkable growth of 165.1% in sales, reaching €160.8 million, largely attributed to contributions from ELEMIS[36] - The United States saw sales of €295.8 million, an 18.0% increase, driven by strong demand and contributing significantly to overall growth[36] - ELEMIS recorded sales of €165,800,000, contributing 10.1% to total sales, with notable e-commerce growth in the UK and US[30] Operational Metrics - The company operated a total of 1,608 self-operated stores, an increase from 1,572 stores in the previous year[12] - Average inventory turnover days improved to 245 days from 273 days, showing better inventory management[12] - The current ratio decreased to 1.2 from 2.2, indicating a decline in short-term liquidity[12] - The total debt to total assets ratio increased to 37.2% from 28.8% year-on-year, indicating higher leverage[12] - Comparable store sales declined by 2.9%, significantly impacted by COVID-19 store closures in key markets[34] Corporate Governance - The board consists of ten directors, including five executive directors, one non-executive director, and four independent non-executive directors[99] - The board is responsible for long-term development and strategy, as well as controlling and evaluating the company's daily operations[97] - The company has adopted a corporate governance manual based on the Corporate Governance Code, available on the company's website[90] - The board has established audit, nomination, and remuneration committees, each with defined authority and responsibilities[111] - The company emphasizes the importance of diversity in enhancing decision-making and governance[101] Sustainability and Social Responsibility - The company aims to achieve 100% sustainable PET plastic packaging by 2025, in partnership with Loop Industries[15] - The group donated 700,000 hand sanitizers to institutions in France and the U.S. during the pandemic, demonstrating its commitment to social responsibility[85] - The group plans to implement various cost-saving measures, including reducing basic salaries for directors and senior management, and renegotiating commercial rents[86] - The company has established a sustainable policy and has been producing an annual Environmental, Social, and Governance (ESG) report since the fiscal year ending March 31, 2011[133] Employee and Management Information - The group had 9,347 employees as of March 31, 2020, an increase from 8,601 employees on March 31, 2019, reflecting a growth of approximately 8.6%[197] - The group maintains a competitive compensation structure for employees, with potential stock options and training programs available[197] - The leadership team includes individuals with extensive backgrounds in finance, marketing, and operations, contributing to a well-rounded strategic approach[150] Financial Management and Risks - The company has a comprehensive financial risk management policy outlined in the consolidated financial statements[157] - The independent auditor, PricewaterhouseCoopers, has issued an unqualified opinion on the consolidated financial statements, affirming their compliance with international financial reporting standards[200] - The company has reported significant contingent liabilities, with details provided in the consolidated financial statements[195]

Financial Performance - For the six months ended September 30, 2020, net sales amounted to €727.2 million, up from €595.4 million in 2019, representing a growth of approximately 22.1%[13]. - Operating profit for the same period was €41.8 million, significantly increased from €5.8 million in the previous year, indicating a substantial improvement in operational efficiency[13]. - The company reported a net profit margin of 3.5%, up from 0.9% in the previous year, showcasing enhanced profitability[13]. - Net profit for the period was €25.2 million, up from €5.6 million, resulting in a net profit margin of 3.5% compared to 0.9% in the previous year[23]. - The group's sales revenue for the first half of the fiscal year 2020 increased by 22.1% at reported rates and 19.0% at constant rates, driven by strong growth across all brands and major regions[29]. - The company reported a net profit of €25,238 thousand for the period ending September 30, 2019, compared to €5,588 thousand in the same period of 2018, representing a significant increase[102]. Profitability Metrics - The gross profit margin decreased to 81.2% from 82.4% year-on-year, reflecting changes in cost structures and pricing strategies[13]. - The return on capital employed improved to 1.7% from 1.3%, demonstrating better utilization of capital resources[13]. - Operating profit rose by €36,000,000 to €41,800,000, representing a growth of 618.7%, with an operating margin increase of 4.7 percentage points to 5.7%[63]. - The gross margin was reported at 81.2%, slightly down from 82.4% in the previous year, indicating a focus on maintaining profitability despite market challenges[23]. Sales and Market Expansion - The total number of directly operated stores increased to 1,593, compared to 1,555 in the previous year, indicating ongoing expansion efforts[13]. - The contribution of the core brand L'OCCITANE en Provence to overall sales decreased from 86% in FY2019 to 76% in FY2020, highlighting the growth of other brands like ELEMIS[17]. - ELEMIS achieved double-digit growth in its home market and is expected to sell 1 million units of its star product by the end of the fiscal year, having sold 500,000 units in the first half[17]. - The fastest-growing market was the UK, with growth exceeding 200%, primarily due to ELEMIS, while the US saw a growth of 26.0% driven by ELEMIS[29]. - The company maintained a selective global retail expansion strategy, adding 21 self-operated stores primarily from L'Occitane en Provence[32]. Online and Digital Strategy - The company is expanding its online presence in China with new WeChat mini-programs and an official e-commerce website to enhance its digital sales strategy[17]. - The online direct sales channel grew by 40.8%, contributing 16.2% to total direct sales, while excluding ELEMIS, the growth was 17.0%[32]. - The group plans to expand ELEMIS's successful "digital-first" strategy into multiple Asian markets, including launching a store on Tmall Global[84]. Inventory and Receivables Management - Average inventory turnover days improved to 286 days from 302 days, reflecting more efficient inventory management[13]. - Trade receivables turnover days increased to 38 days from 33 days, indicating a longer collection period[13]. - Average inventory turnover days decreased by 16 days to 286 days, primarily due to ELEMIS's inventory turnover days being significantly lower than the group average, contributing 40 days[73]. - Accounts receivable turnover days increased by 5 days in the first half of fiscal year 2020, attributed to the inclusion of ELEMIS and adverse foreign exchange impacts[74]. Financial Position and Liquidity - The current ratio decreased to 1.2 from 2.6, suggesting a tighter liquidity position[13]. - The debt-to-asset ratio increased to 39.6% from 7.1%, indicating a rise in leverage[13]. - Cash and cash equivalents as of September 30, 2019, were €80,400,000, down from €299,400,000 a year earlier[71]. - The net cash outflow from financing activities for the first half of the fiscal year 2020 was €67.6 million, compared to a net cash outflow of €1.9 million in the same period last year[73]. Sustainability Initiatives - The company aims to achieve 100% sustainable PET plastic packaging by 2025, advancing its commitment to sustainability and circular economy initiatives[17]. - The group aims to transition to 100% sustainable PET plastic packaging by 2025, having expanded its supply agreement with Loop Industries[89]. Strategic Focus - The management remains focused on the Pulse strategy to drive sustainable sales growth and profitability despite external economic and political challenges[17]. - The company implemented the second year of its "Pulse" strategy, focusing on team empowerment, retail fundamentals, omnichannel approaches, customer interaction, and brand commitment[81]. Acquisitions and Investments - The acquisition of ELEMIS contributed 0.7 percentage points to the increase in general and administrative expenses[62]. - The acquisition of ELEMIS was completed for a total consideration of €753.6 million, aimed at expanding business in key regions and new distribution channels[158]. - The company invested €114,224,000 (approximately $128,000,000) to acquire a 60.48% stake in LimeLife USA, with the identifiable net assets valued at €19,400,000[169].

Financial Performance - Net sales for the fiscal year ended March 31, 2019, were €1,426.9 million, an increase from €1,319.4 million in 2018, representing a growth of 8.1%[29] - Operating profit for the same period was €150.7 million, up from €141.0 million, reflecting a growth of 4.9%[29] - Net profit increased to €117.6 million from €96.5 million, marking a significant rise of 22%[29] - The gross margin was reported at 83.2%, slightly down from 83.3% in the previous year[29] - Operating profit increased to €150.7 million, up from €141.0 million in the previous fiscal year, reflecting a stable operating margin of 10.6%[40] - The net profit margin improved to 8.2%, compared to 7.3% in the prior year, indicating enhanced profitability[40] - The cost of sales increased by €18.9 million to €239.9 million, representing an 8.6% increase, while the gross margin remained high at 83.2%, slightly down by 0.1 percentage points[70] - Distribution expenses rose by €60.9 million to €700.4 million, a 9.5% increase, accounting for 49.1% of net sales, up by 0.6 percentage points[71] - Marketing expenses increased by €6.8 million to €186 million, a 3.8% rise, while the percentage of net sales decreased by 0.6 percentage points to 13.0%[72] - Research and development expenses rose by €300,000 to €17.9 million, a 1.9% increase, maintaining a stable percentage of 1.3% of net sales[75] Store and Market Expansion - The company operated a total of 1,572 self-operated stores, an increase from 1,555 stores in the previous year[29] - The total number of retail points increased by 135, reaching 3,420 stores, with a focus on selective global retail network expansion[43] - The company opened 17 new self-operated stores during the fiscal year, with a net increase of 16 stores in Brazil and 10 in Japan[45] - The company plans to continue expanding its market presence and investing in new product development to drive future growth[29] Sales Performance by Region - The U.S. market saw a significant sales increase of 35.0%, reaching €232,404,000, contributing 31.8% to overall growth[52] - In the fiscal year 2019, sales in China reached €178.1 million, representing an 11.9% increase compared to fiscal year 2018, with a fixed exchange rate growth of 12.1% contributing 16.8% to overall growth[57] - Japan's sales for fiscal year 2019 amounted to €222.1 million, showing a growth of 1.5%, while local currency growth was only 0.1% due to a sluggish retail market[58] - Hong Kong's sales netted €137 million in fiscal year 2019, up 9.9% from fiscal year 2018, with a fixed exchange rate growth of 8.6% contributing 9.4% to overall growth[58] - Taiwan's sales for fiscal year 2019 were €38.2 million, down 3.2% (reporting exchange rate) or 2.7% (fixed exchange rate), primarily due to a decline in same-store sales[60] Product Development and Innovation - The company sold over 800,000 units of the new product, the Immortelle Reset Serum, within a year, with expectations to exceed one million units in the following year[34] - The launch of the new hero product, Immortelle Reset Serum, strengthened the brand image of L'OCCITANE en Provence in facial care, contributing to sales momentum[101] - The upcoming product launches include the Immortelle Reset Eye Serum, 86 Champs Élysées Luxury Perfume, and a new hair care line, aimed at driving sustainable growth[112] - The company is committed to sustainable growth and innovation, with ongoing investments in product development and marketing strategies[34] Financial Position and Ratios - Return on invested capital was 15.9%, up from 15.1% in the previous year, indicating improved efficiency[29] - The current ratio decreased to 2.2 from 3.1, suggesting a tighter liquidity position[29] - The debt-to-asset ratio increased to 29.4% from 6.8%, indicating a higher leverage level[29] - The company transitioned from a net cash position to net debt status following the acquisition of Elemis, resulting in a debt-to-equity ratio of 40.0%[96] Corporate Governance - The board consists of ten directors, including five executive directors, one non-executive director, and four independent non-executive directors[124] - The board has established three committees: Audit Committee, Nomination Committee, and Remuneration Committee to exercise its responsibilities[123] - The company has implemented a diversity policy to evaluate potential board candidates based on various factors, including skills and experience[137] - The board's diversity policy aims to enhance performance and improve corporate governance by considering various factors such as skills, experience, and background[126] Shareholder Engagement - Shareholders holding at least 5% of the paid-up capital can request a general meeting, which must be held within three months of the request[149] - Shareholders can submit inquiries to the board in writing, which will be forwarded to the chairman for consideration[150] - The company values communication with shareholders and provides updates through various channels, including meetings with analysts and institutional investors[152] Sustainability and Social Responsibility - The company has established a sustainable policy and annual Environmental, Social, and Governance (ESG) report since the fiscal year ending March 31, 2011[156] - The company is committed to charitable initiatives and sustainable resource allocation, with reports available on its website[156] - The company signed a multi-year supply agreement with Loop Industries to transition to 100% sustainable PET plastic packaging by 2025[111]