Core Insights - The global beauty market is facing a "value return" challenge, with the Chinese market undergoing significant structural adjustments, moving from rapid growth to a more competitive landscape [1][2][6] - L'Oréal has demonstrated strong resilience and growth in this challenging environment, achieving "mid-single-digit growth" in the Chinese market, which is a notable performance amidst overall market stagnation [2][6][7] Financial Performance - L'Oréal's Q3 financial report shows a 3.7% year-on-year growth, with total sales reaching €32.8 billion, outperforming the sluggish market [5][6] - The online sales channel has seen double-digit growth, indicating L'Oréal's strong digital presence and market dominance [5] Market Strategy - L'Oréal's growth is driven by a robust recovery in the high-end cosmetics sector, capitalizing on the premium market segment [7] - The "Beauty Stimulus Plan" focuses on innovation and product line mobilization, enhancing the proportion of new products in the market [7][11] Innovation and R&D - L'Oréal is committed to long-term investment in China, marking the 20th anniversary of its R&D center, which has evolved from "in China" to "with China" and now "for China" [4][11] - The company showcased 26 new product launches at the recent expo, including three Asian debuts and four global launches, highlighting its innovation capabilities [11][12] Strategic Partnerships - L'Oréal has formed a strategic partnership with Kering, acquiring high-end fragrance brands and enhancing its position as a global leader in luxury beauty [10][15] - The "BIG BANG Beauty Tech Co-Creation Program" has successfully connected with numerous startups, fostering innovation in the beauty tech sector [13][21] Societal Impact and ESG - L'Oréal's commitment to ESG principles is evident, with a focus on creating jobs and driving economic growth, claiming to generate over 334,000 jobs in China [23][25] - The company has launched initiatives like the "New Age Beauty" concept, addressing societal issues related to aging and promoting a holistic view of beauty [24][25] Thought Leadership - L'Oréal aims to redefine beauty as a core economic driver, launching a book on the economics of beauty, which quantifies its impact on job creation and economic growth [20][23] - The company is positioning itself as a thought leader in the beauty industry, moving beyond product sales to influence industry standards and societal perceptions of beauty [17][18]

Core Viewpoint - The article discusses the emergence of a "Longevity Era" driven by advancements in life sciences and AI, highlighting L'Oréal's innovative project "The Beauty of Longevity" aimed at redefining beauty standards in the context of longevity [3][5][11]. Group 1: Project Overview - L'Oréal's "The Beauty of Longevity" project encompasses three dimensions: scientific health, cognitive reshaping, and cultural economy, aiming to revolutionize traditional longevity concepts [5][11]. - The project is metaphorically described as a "tree of life," where scientific health serves as the roots, cultural concepts as the branches, and social economy as the leaves, symbolizing a new understanding of beauty and age [5][11]. Group 2: Scientific Approach - L'Oréal's integration of longevity science into skincare has garnered significant attention, marking a pivotal shift in the beauty industry towards a longevity-driven paradigm [7][19]. - The company has published 43 research papers on longevity science over the past 15 years, indicating a strong commitment to this field [14][35]. Group 3: Market Trends and Demographics - The average human lifespan has increased by 30 years over the past century, with projections indicating that by 2040, 20% of the global population will be over 60 years old [11]. - The demand for healthy and fulfilling lives is driving the growth of the longevity industry, with skin health being a critical factor for quality longevity [11][12]. Group 4: Technological Innovations - L'Oréal has developed an AI-driven diagnostic tool, the Lancôme "Cell Bioprint," which analyzes skin biomarkers to provide personalized anti-aging solutions [26][27]. - The company has created a "Longevity AI Cloud" that maps over 267 skin longevity biomarkers, revealing complex mechanisms affecting skin vitality [25][26]. Group 5: Strategic Collaborations - L'Oréal collaborates with various biotech companies to innovate active ingredients and enhance product offerings, such as the partnership with Swiss biotech company Timeline [30][31]. - The company emphasizes the importance of integrating with China's vibrant tech ecosystem to accelerate the commercialization of longevity science [34][41]. Group 6: Cultural Resonance - The "New Age Beauty" concept aligns with traditional Chinese wellness philosophies, emphasizing a holistic approach to health and beauty [45][46]. - The naming of the project reflects a deep understanding of Chinese culture, focusing on biological age and lifelong beauty rather than just superficial aesthetics [46][47]. Group 7: Future Implications - L'Oréal's strategic focus on longevity science is expected to set a new standard in the beauty industry, promoting a model that prioritizes scientific-driven and proactive health solutions [41][42]. - The company's efforts in this domain are not only commercially driven but also aim to enhance the quality of life, merging beauty with overall life quality [47].

Core Viewpoint - L'Oréal Group reported a notable performance for the first half of 2025, with overall revenue increasing by 3% to €22.47 billion (approximately ¥186.2 billion) and operating profit rising by 3.1% to €4.74 billion (approximately ¥39.28 billion), despite challenges in the high-end beauty market and global economic pressures [2][4][5]. Group Performance - The group's revenue and operating profit have shown growth over the past five years, with double-digit growth from 2021 to 2023. However, growth rates have significantly slowed in recent years, with revenue and operating profit growth dropping to single digits in 2024 and further declining in 2025 [4]. - The CEO, Nicolas Hieronimus, attributed the slowdown to global economic pressures but expressed optimism for the second half of the year, anticipating a gradual recovery in the global beauty market [5]. Division Performance - Professional Products division saw a sales increase of 6.5% to €2.55 billion, marking the strongest performance across all divisions. The Dermatological Beauty division grew by 3.1% to €3.86 billion, with La Roche-Posay being a significant contributor [7]. - Consumer Products division reported a 2.8% increase in sales to €8.41 billion, while the Luxury division experienced a 2% growth to €7.66 billion, indicating ongoing challenges in the high-end beauty market [7]. Regional Performance - The fastest-growing regions for L'Oréal in the first half of 2025 were SAPMENA-SSA and Latin America, with sales growth of 10.4% and 10.3%, respectively [8]. - The North American market grew by 2% to €5.82 billion, while the North Asia market saw a decline of 1.1% to €5.30 billion, with a notable drop of 8.8% in the second quarter [8]. Strategic Developments - L'Oréal announced the acquisition of majority stakes in the high-end haircare brand Color Wow and the skincare brand Medik8, enhancing its brand portfolio in the Professional Products and Luxury divisions [8]. - The company is collaborating with NVIDIA to leverage AI in beauty technology, showcasing innovations at the Viva Technology exhibition [10]. - L'Oréal launched a new "Sustainable Innovation Accelerator" project, planning to invest €100 million over five years to address key industry challenges and enhance sustainability efforts [10]. Upcoming Events - L'Oréal will participate in the upcoming China International Import Expo for the eighth consecutive year, showcasing new brands, products, and technologies, marking its largest presence in the event's history [11].

Core Insights - L'Oréal introduced the "New Age Beauty" concept at the 2025 IMCAS China Conference, representing a structural redefinition of beauty that connects longevity with beauty through scientific health, cultural understanding, and socio-economic dimensions [1][3] Group 1: Market Trends - The aging population in China is projected to reach nearly 40% by 2060, prompting a shift in societal perceptions of beauty and aging [3] - 91% of consumers believe age is just a number, and 77% are willing to try new things at an older age, indicating a growing acceptance of aging [3] Group 2: Consumer Behavior - Consumers are increasingly using social media and e-commerce to enhance their understanding of products, considering brand credibility, product quality, and age compatibility in their purchasing decisions [3] - Factors such as product texture, absorption, and fragrance are becoming critical decision-making elements for this demographic when choosing beauty products [3] Group 3: Global Perspective - L'Oréal recognizes the diversity in beauty standards across different countries, with varying focuses on issues like wrinkles, skin laxity, and pigmentation [5] - The company emphasizes the importance of skin health for achieving vibrant aging and plans to offer integrated skin management solutions based on the understanding of diversity [5] Group 4: Company Overview - Founded in 1909 and headquartered in Paris, L'Oréal entered the Chinese market in 1997 and currently operates 32 brands, a research and innovation center, and two factories in Suzhou and Yichang [5] - China is now L'Oréal's second-largest market globally and serves as a key hub for the North Asia beauty sector [5]

Core Viewpoint - L'Oréal introduced the "Beauty of Longevity" concept at the 2025 IMCAS China Conference, emphasizing the integration of science and aesthetics in the beauty industry [1][5]. Group 1: New Concept of "Beauty of Longevity" - The "Beauty of Longevity" concept represents a structural redefinition of beauty, focusing on three dimensions: scientific health, cultural perception, and socio-economic factors [3][4]. Group 2: Scientific Health - Advances in science have ushered humanity into an unprecedented era of longevity, reshaping perceptions of beauty and aging. L'Oréal's approach has evolved from symptom improvement to root cause intervention, emphasizing lifelong beauty [4][7]. Group 3: Cultural Perception - The current societal view of beauty is often limited, with a narrow focus on youth. L'Oréal advocates for a broader understanding of beauty that embraces aging as a valuable experience rather than a limitation [4][7]. Group 4: Socio-Economic Factors - As the aging society becomes more prominent, new demands and challenges arise. L'Oréal likens the "Beauty of Longevity" to a tree, where scientific health is the roots, cultural perception is the trunk, and socio-economic factors are the leaves [4][5]. Group 5: Forum Insights - The roundtable forum titled "Longevity Revolution: New Frontiers in Beauty Science" highlighted L'Oréal's commitment to addressing aging at its biological roots, utilizing advanced AI diagnostic tools to detect early signs of skin aging [5][7].