Coty(US:COTY) 21世纪经济报道·2025-11-16 09:12Core Viewpoint - The dispute over Gucci's beauty and fragrance licensing between Coty and Kering Group highlights the complexities of brand management and the strategic shift towards leveraging specialized partners for beauty products, as Kering collaborates with L'Oréal for a long-term exclusive agreement post-2028 [1][2][10]. Group 1: Licensing Dispute - Coty has filed a lawsuit against Kering and Gucci regarding the beauty and fragrance licensing agreement, asserting its rights until the contract's expiration [1][4]. - Kering and L'Oréal's partnership will take over Gucci's beauty business after Coty's current license expires in 2028, indicating a significant shift in Gucci's beauty strategy [1][5]. - Kering has stated it will continue to honor existing agreements with Coty, while Coty maintains that it will operate under the current licensing terms [1][2][10]. Group 2: Financial Implications - Coty's Q1 2026 financial results show a net revenue of $1.578 billion, a 6% decline, with the high-end beauty segment contributing $1.07 billion, down 6% year-over-year [5]. - Gucci accounts for approximately 8% of Coty's total sales and 11% of its revenue, indicating a significant potential impact on Coty's financials if the licensing agreement is lost [5][10]. - Kering's beauty segment has shown growth, with a 9% increase in revenue to €150 million in the first half of 2025, contrasting with a 16% decline in overall revenue [7][8]. Group 3: Industry Trends - The collaboration between luxury brands and specialized beauty companies reflects a trend towards optimizing resource allocation and enhancing operational efficiency in the beauty sector [8][11]. - The shift towards licensing and partnerships is seen as a strategic move to maximize growth potential in the beauty market, especially for luxury brands that may lack the expertise in beauty operations [2][8]. - The ongoing litigation may affect the collaborative atmosphere between Coty and Kering, potentially impacting future negotiations and partnerships [8][10].