Beauty Packaging Staff04.16.20
On April 10, Coty Inc. said that it expects fiscal third-quarter revenue to fall 20% due to the coronavirus outbreak, with profit expected to take a "meaningful impact." In response, the company has withdrawn its fiscal 2020 guidance.
Among the financial measures the company is taking to manage the pandemic, it is recommending to the board that shareholders receive 100% of their dividend in kind for the next two quarters, and JAB, the company's largest shareholder, is paying off the loan it took for the 2019 tender offer in full. A JAB affiliate, Cottage Holdco B.V., holds 60.7% of Coty shares.
CEO Pierre Laubies and CFO and COO Pierre-Andre Terisse are both taking a one-quarter cut in their base salaries for the rest of fiscal 2020.
On the other hand, demand for Coty’s products on Amazon.com Inc. has nearly doubled in the US in recent weeks in the wake of the coronavirus crisis. The beauty company is also preparing for a demand increase in Asia post-coronavirus. In Europe, Coty is preparing for the launch of Kylie Cosmetics.
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Among the financial measures the company is taking to manage the pandemic, it is recommending to the board that shareholders receive 100% of their dividend in kind for the next two quarters, and JAB, the company's largest shareholder, is paying off the loan it took for the 2019 tender offer in full. A JAB affiliate, Cottage Holdco B.V., holds 60.7% of Coty shares.
CEO Pierre Laubies and CFO and COO Pierre-Andre Terisse are both taking a one-quarter cut in their base salaries for the rest of fiscal 2020.
On the other hand, demand for Coty’s products on Amazon.com Inc. has nearly doubled in the US in recent weeks in the wake of the coronavirus crisis. The beauty company is also preparing for a demand increase in Asia post-coronavirus. In Europe, Coty is preparing for the launch of Kylie Cosmetics.
More Coronavirus News
Here’s a look at what some companies are doing to reduce the spread of coronavirus and how the epidemic will impact business in Q1 and beyond.
