Puig Reports 4.1% Q2 Sales Growth Driven by Fragrance and Makeup

Puig is moving forward with confidence as an independent luxury beauty enterprise following the termination of transaction talks.

“Particularly after the recent dynamic months, we have greater confidence than ever in our stand-alone story,” said Jose Manuel Albesa, Puig chief executive officer, during a call with financial analysts and journalists.

Albesa was referencing strategic merger discussions between Puig and The Estée Lauder Companies, which were officially called off on May 21.

“We remain laser-focused on delivering our strategic priorities,” Albesa said as he presented the Spanish beauty and fashion group's second-quarter financial results.

During the second quarter, growth trends for the Barcelona-based owner of Rabanne, Carolina Herrera, and Dries Van Noten remained steady compared to the first three months of the year.

Puig’s sales in the three months ended June 30 rose 4.1 percent on a reported basis to 1.14 billion euros ($1.24 billion), driven by solid momentum across fragrance, fashion, color cosmetics, and dermocosmetics. Like-for-like sales growth matched reported figures as foreign exchange headwinds abated. The quarterly result slightly beat consensus market expectations, which had anticipated a 3.6 percent gain.

In the first six months of 2026, group sales expanded 2.4 percent in reported terms and 4.4 percent on a like-for-like basis to 2.35 billion euros. Reported net profit decreased 4.4 percent to 263 million euros, while the net profit margin improved by 15 basis points to 19.5 percent.

“Once again, we outperformed the premium beauty market, gaining market share across categories and geographies, and further strengthening the foundation of our business,” Albesa said, noting that all operating segments and geographic regions delivered expansion.

Ongoing geopolitical conflicts in the Middle East reduced first-half revenue by an estimated 14 million euros, representing roughly 0.6 percent of group sales. “It’s slightly better than we had initially expected,” Albesa said. “Local markets are showing a healthy recovery, while the travel-retail channel experienced the primary impact.”

Fragrance and fashion remained Puig’s dominant division, generating 73 percent of total sales at 1.7 billion euros over the six-month period—representing a like-for-like increase of 3.8 percent. The division's growth lifted Puig’s global fragrance market share to 11.1 percent, up 0.3 percentage points year-over-year.

“Asia-Pacific, travel retail, and North America were the strongest contributors in this period,” Albesa explained, noting that both prestige and niche fragrances propelled growth. Broad resilience across luxury groups was also reflected in LVMH's first-half sales, where selective retail and beauty distribution helped navigate regional market volatility.

Color cosmetics recorded 359 million euros in revenue, up 9.1 percent, representing 15 percent of Puig’s total net sales in the half. Performance was anchored by Charlotte Tilbury, which expanded its market share in premium makeup by 0.4 percentage points. The brand maintained its top spot in the U.K. with healthy sell-out trends while solidifying its position among the top three in core European markets.

Charlotte Tilbury expanded into roughly 30 Boots store locations across the U.K. during the second quarter, a physical footprint expansion expected to reflect in third-quarter sell-out trends.

Skincare represents Puig’s smallest business segment, accounting for 12 percent of total company sales at 279 million euros, up 2.3 percent like-for-like. Dermocosmetics brand Uriage led division growth, delivering double-digit gains across key territories.

“The latest market data suggests that Uriage continues to be one of the fastest-growing dermocosmetics brands in 2026,” Albesa said, adding that substantial room for expansion remains.

In the second quarter, skincare revenue dipped 0.3 percent to 132 million euros. “While dermocosmetics, led by Uriage, continued to deliver double-digit growth and local skincare wellness brands gained market share, performance was offset by softer demand in premium skincare,” Albesa explained, citing consumer shifts toward value- and efficacy-focused offerings. A product portfolio adjustment for Charlotte Tilbury skincare also weighed on the quarter, echoing broader industry trends seen in L’Oréal's second-quarter sales as consumers calibrate prestige spending.

Around the World

The CEO highlighted Puig’s global execution, emphasizing growth across international territories.

Europe, the Middle East, and Africa (EMEA) remains Puig’s largest division, representing 52 percent of sales at 1.2 billion euros—a 2.6 percent like-for-like gain. Puig’s fragrance market share in Europe reached 11.2 percent.

The Americas generated 859 million euros, up 2.6 percent like-for-like, accounting for 37 percent of group revenues. Results reflected sustained momentum in North America, where Puig holds an 8.3 percent fragrance market share, alongside strong sell-out in color cosmetics.

“Latin America remained resilient,” Albesa noted, where Puig maintained its top ranking in fragrance with a market share exceeding 20 percent despite an intense promotional climate.

Asia-Pacific posted the group’s strongest regional growth, surging 20.9 percent like-for-like to 273 million euros, or 12 percent of total sales. “This outstanding performance was driven by exceptional momentum in niche fragrances and sustained consumer demand across the region,” Albesa said.

Looking Ahead

“Our first-half performance reinforces our conviction in the attractiveness of our brands, the relevance of our innovation pipeline, and the compelling long-term fundamentals of our end markets,” Albesa concluded.

Reaffirming its full-year 2026 guidance, Puig expects to continue outperforming the broader premium beauty market on a like-for-like basis while maintaining stable adjusted EBITDA margins in line with 2025.