Coty sales are a vision as consumer demand for cosmetics defies rising inflation

Swapping face masks for lip kits… Saturday nights are back. As more of us get glammed up for social soirees, multistep skin-care routines are taking a back seat. Beauty giant Coty — home to names like CoverGirl and Kylie Cosmetics — saw sales jump 15% last quarter. It’s expecting an even bigger profit bump this year thanks to the return of IRL events.

• Like bees to honey: Coty's portfolio of luxe fragrance lines grew 20% as middle-seat-bound travelers splurged on name-brand sprays from Burberry and Gucci.
• Clean face: Coty’s CEO said natural cosmetics (think: vegan, eco-friendly ingredients) were also a key growth driver, a trend that took off during the pandemic.

Welcome to the makeup renaissance… where cosmetic giants from Estée Lauder to L’Oréal post record sales as you ditch the couch for a night out. In the US, shoppers are using their extra $$ to splurge on TikTok-inspired beauty trends and eye-popping palettes. Last year, US “prestige beauty” sales (think: department-store brands like Clinique) rose 30% from the year before, topping pre-pandemic levels. Now:

• In stores: Beauty retailers like Sephora and Ulta have seen foot traffic jump 25% compared to last year.
• Online: Coty said its e-commerce sales rose double digits, even after hiking prices to keep up with higher packaging and ingredient costs.