Core Insights - L'Oréal experienced sequential acceleration in like-for-like growth, with a reported sales increase of 1.6% to €22.47 billion in the first half of 2025, and a like-for-like growth of 3.0% [5][9] - The company's operating margin improved by 30 basis points to 21.1%, driven by effective management of operating expenses and strong brand support for upcoming product launches [4][49] Sales Performance - Sales growth was supported by emerging markets, a rebound in mainland China, and recovery in North America, which offset a slowdown in Europe [2][3] - By division, Professional Products led growth with a like-for-like increase of 6.5%, while Consumer Products grew by 2.8%, Luxe by 2.0%, and Dermatological Beauty by 3.1% [11][15][20][24] - Emerging markets showed double-digit growth, particularly in Brazil, Mexico, and India, while North America showed early signs of recovery [16][39] Regional Performance - In Europe, sales grew by 3.4% like-for-like, with strong momentum in Spain-Portugal and Germany-Austria-Switzerland clusters [28] - North America saw a modest growth of 2.0% like-for-like, with improvements in the premium haircare segment [33] - North Asia experienced a decline of 1.1% like-for-like, although mainland China showed a recovery with approximately 3% growth in the second quarter [36][37] - SAPMENA-SSA region reported a robust growth of 10.4% like-for-like, driven by all divisions and categories [39] - Latin America also performed well with a 10.3% like-for-like growth, particularly in haircare and fragrances [42] Financial Highlights - The net profit excluding non-recurring items increased by 1.0% to €3.783 billion, with earnings per share rising by 1.2% to €7.07 [54][55] - Operating profit rose by 3.1% to €4.740 billion, representing 21.1% of sales, an increase of 30 basis points compared to the first half of 2024 [49][53] - The company continued to invest in acquisitions, strengthening its portfolio with the purchase of Medik8 and Color Wow [59][60] Innovation and Strategy - L'Oréal was recognized as the most innovative company in Europe by Fortune, highlighting its commitment to research and development [67] - The company is focusing on sustainability and digital transformation, with initiatives such as the Sustainable Innovation Accelerator and collaborations with AI technology [67][68]