Natura grows 7% in the third quarter and gives green light to Avon acquisition
The Brazilian cosmetics giant has achieved a profit of 68.6 million Brazilian reais (16.4 billion dollars) in the first half of the year.
Natura ends third quarter at double speed. The Brazilian cosmetic group has ended the period, with a profit of 68.6 million Brazilian reais (16.4 billion dollars) weighed down by the acquisition of Avon’s US business.
The group, which also owns The Body Shop and Aesop, registered and etbitda of 398.9 million reais (955.6 million dollars), down 17.4% drop compared to the previous year, when the company achieved 483 million reais (1.1 billion dollars).
The Body Shop revenues increased 1.87%, to 1,288 million reais (308 million dollars), while Aesop jumped 12.3% in the third quarter, to 331.5 million reais (79.4 million dollars). The chairman of Natura, Roberto Marques, said in the statement that the group “recorded a remarkable result in sales, exceeding market forecasts.”
The executive stated, “all our businesses and brands have returned to contribute to growth despite a market that continues to be a challenge in Brazil, where Natura continues to increase market share, and Hong Kong, whose protests affected The Body Shop and Aesop.”
Natura gives green light for the purchase of Avon. The Brazilian cosmetics giant has received the approval of the Brazilian Economic Defense (Cade) for the acquisition of the US company.
The approval of the agency is one of the main steps of the deal, which is subject to the approval of other authorities and is expected to be completed in the first quarter of 2020. The deal, valued at 2 billion dollars, began last May. The agreement makes the company the fourth largest group in the sector in the world by revenue, with an annual result of 10 billion dollars.
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