L’Oréal gross profit surges by 9.7% in Q2 2012

Cosmetics manufacturer L’Oréal Group has reported a 9.7% increase in gross profit to €7.91bn for the second quarter ended 30 June 2012, up from €7.26bn during the same quarter in 2011.

The firm posted a revenue of €11.21bn, an increase of 10.5% for the current quarter from €10.15bn in the corresponding quarter of the previous year .

L’Oréal’s operating profit for the second quarter increased to €1.9bn, compared to €1.7bn in second quarter of 2011.

L’Oréal CEO and chairman Jean-Paul Agon said the growth in results confirms the relevance of firm’s business model.

"Bolstered by these results, and despite the uncertainties of the economic environment, we confirm for 2012 our ambition to outperform the market, and achieve another year of growth in sales, results and profitability," added Agon.

The firm’s cosmetics divisions total has reported a growth of operating income 20.3% to €2.12bn, compared to €1.93bn for the same quarter in the prior year.

L’Oréal said cosmetics branch total has posted an operating income €1.84bn, compared to €1.67bn for the same period in the earlier quarter.

L’Oréal Group is a France based cosmetics and beauty company, whose portfolio includes hair colour, skin care, sun protection, make-up, perfumes and hair care.

The company also operates in the dermatological, tissue engineering and pharmaceutical fields and is a nanotechnology patent-holder in the US.