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Coty expects Q2 sales at top end of forecast on steady fragrance demand

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Coty expects Q2 sales at top end of forecast on steady fragrance demand


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Reuters

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November 5, 2025

CoverGirl-parent Coty forecast like-for-like sales for the second quarter at the top end of its prior outlook, betting on steady demand for Calvin Klein and Hugo Boss fragrances even as customers curb spending on broader makeup and skincare items.

Calvin Klein

The company had previously forecast second-quarter sales to fall between 3% and 5%.

Coty said earlier this year it has launched a strategic review of its beauty business that could lead to the sale of brands such as Rimmel and CoverGirl, as it aims to refocus on its fragrances segment amid persistently weak demand for color cosmetics.

Fragrances and scenting is a very resilient category for Coty, and is performing well across the spectrum from $5 mass options to ultra-premium at $500, Chief Financial Officer Laurent Mercier said in an interview with Reuters.

Last week, peer Estee Lauder also signaled strong demand for its fragrances and an uptick in China.

Coty, however, missed first-quarter profit estimates as retailers cut back on orders amid ongoing macroeconomic and tariff uncertainty.

French beauty conglomerate and industry leader L’Oreal, which is set to buy Kering‘s beauty business, including rights to Gucci, reported weaker-than-expected third-quarter sales last month, weighed down by its performance in North America and Latin America.

Coty, which currently holds the licensing to Gucci Beauty, will continue to operate the brand for the term of the agreement, Mercier said.

The company posted adjusted profit per share of 12 cents during the first quarter, compared with analysts’ average estimate of 15 cents, according to data compiled by LSEG. Its net sales fell 6% to $1.58 billion.

For the second quarter, it forecast adjusted profit between 18 and 21 cents per share, while analysts expected 19 cents. Coty shares have fallen nearly 46% so far this year.

© Thomson Reuters 2025 All rights reserved.



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EU-funded RegioGreenTex pushes 25 SME pilots to commercialisation

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EU-funded RegioGreenTex pushes 25 SME pilots to commercialisation



A total of 25 pilot investments led by small and medium enterprises (SMEs) have progressed from the lab to near-market stage under RegioGreenTex, a three-year European Union (EU)-funded project that recently concluded. Most of these are expected to be commercialised within one to three years.

Twenty five pilot investments led by SMEs moved from lab to near‑market under RegioGreenTex, an EU-funded project that ended recently.
Most of these are expected to commercialise in one to three years.
Five regional hubs mapped SME needs and developed services and value chains as well as tools to help SMEs.
These are now open for collaboration and the pilot portfolio is primed for investors and adopters.

At least 70 per cent of the EU grant was allocated to SMEs. A total of 43 partners from 11 regions across eight countries participated in the project, leveraging their expertise towards a common goal of advancing industry and research.

RegioGreenTex was one of the first projects funded under the Interregional Innovation Investments (I3) Instrument programme that focused on process, service and business model innovation, developing advanced textile recycling technologies, regional recycling hubs, and a digital ecosystem for matchmaking and capacity building.

Five regional hubs mapped SME needs and developed services and value chains as well as tools that keep helping SMEs, an official release said.

The RegioGreenTex Digital Tool keeps matchmaking, sharing trainings and hosting the participants’ knowledge base.

The Waste Wizard shows how artificial intelligence-enhanced matchmaking can link leftover textiles with the right reuse or recycling routes.

From recycled-content yarn processes (Tintex) to Recycrom low-impact dyeing (Officina39), ultrasonic quilting for full recyclability (Rovitex) and hybrid recycled-fibre yarns (Hilaturas Mar), the pilots showed concrete, repeatable ways to cut impact without losing performance.

The hubs are now open for collaboration, the digital tools are live and the pilot portfolio is primed for investors and adopters.

Fibre2Fashion News Desk (DS)



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Higher energy costs to slow India FY27 growth to 6.5%: ICRA

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Higher energy costs to slow India FY27 growth to 6.5%: ICRA



India’s gross domestic product (GDP) growth is expected to moderate to 6.5 per cent in fiscal 2026-27 (FY27) from the projected 7.5 per cent in FY26 owing to the adverse impact of elevated energy prices and concerns around energy availability, according to ICRA Ratings.

While trends in high frequency indicators for January-February 2026 appear favourable, the heightened uncertainty around the duration of the Middle East conflict casts a shadow on the near-term macroeconomic outlook for India amid high import dependency for items like crude oil, natural gas and fertilisers, it noted.

India’s FY27 GDP growth is likely to slow to 6.5 per cent from the projected 7.5 per cent in FY26 owing to the impact of higher energy prices and concerns around energy availability, ICRA Ratings said.
The heightened uncertainty around the duration of the Iran war casts a shadow on the near-term macroeconomic outlook for India.
If the conflict lasts longer, the adverse effects could widen across sectors.

If the conflict lasts for an extended period, the adverse implications of the same could widen across sectors, amid an uptick in input costs and the consequent impact on profitability of the India corporate sector.

Amid the projected uptrend in the consumer price index-based inflation in FY27 with risks tilted to the upside, ICRA Ratings expects an extended pause on the policy rates by the central bank’s monetary policy committee in the fiscal despite the anticipated softening in the GDP growth. However, it expects the Reserve Bank of India to continue to intervene on the liquidity front during FY27.

The available data for January–February FY2026 indicate a positive trend across most non-agricultural indicators, with the year-on-year performance of 12 out of 18 indicators improving compared to the third quarter of FY26, while the remaining six deteriorated.

Fibre2Fashion News Desk (DS)



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Indonesia’s apparel exports at $8.7 bn; 56% shipments to US

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Indonesia’s apparel exports at .7 bn; 56% shipments to US




Indonesia’s apparel exports rose modestly to $8.705 billion in 2025 from $8.316 billion in 2024, reflecting gradual recovery.
The US remained dominant, accounting for over 56 per cent of shipments, highlighting growing market dependence.
While Japan, South Korea and Europe offered stability, exports stayed concentrated in key products and segments.



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