L’Occitane International reports profit rise 34 per cent in the fiscal half year

French skincare products maker L’Occitane International saw its interim net profit jump 33.9 per cent from a year earlier, as it banks on emerging economies and lucrative online marketplaces for growth amid a turbulent economic backdrop.

Earnings for the six months ended September 30 climbed to 25.99 million euros from 19.41 million euros year on year, while net sales edged marginally up by 1.3 per cent to 551.7 million euros.

Emerging economies Brazil, Russia and China were singled out as the top performing markets for the Provence-based company, as increasingly discerning consumers there turned to natural and organic beauty products.

“We are seeing accelerating store traffic in China and a tremendous growth in our sales on the Tmall market platform,”said Andre Hoffmann, president of the Asia-Pacific region for L’Occitane in a post-earnings briefing with reporters on Tuesday.

At constant exchange rates, total sales from the mainland gained 5.4 per cent to 50.8 million euros from a year ago, accounting for 9.2 per cent of L’Occitane’s net revenue.

The upscale cosmetics brand also extended its footprint by adding new shops in Japan, South Korea, and Brazil, where it saw a 20.5 per cent surge in sales for first half of the financial year.