Beauty comes at a price as sales ride China wave French skincare retailer L'Occitane International (0973) will hike product prices worldwide by 3 percent on average this year.
This comes as net profit rose 1.3 percent to 123 million euros (HK$1.3 billion) for the year to March 31 and earnings per share jumped 1.6 percent to 0.083 euro.
The final dividend has been fixed at 0.0292 euro, reflecting a payout ratio hike - to 35 percent from 30 percent.
Net sales rose 14.2 percent to 1.043 billion euros, while the current year's sales target of 1 billion euros has already been exceeded.
Net mainland sales surged 24 percent, making it the firm's second-largest market.
Chairman and chief executive Reinold Geiger said despite slower economic growth, the mainland will remain a key market.
L'Occitane currently offers 170 product varieties in the mainland and Geiger expects the figure to double by the end of next year.
Net sales in largest market Japan grew by less than 1 percent, while
same-store sales fell by 4.9 percent. But plans for more stores will not change as Japan remains profitable.
Worldwide, plans are to open 130 to 150 outlets annually, though Hong Kong and Singapore will likely miss out, Geiger said.
European business, however, was "disastrous," he said, especially in
Spain, Italy and Portugal where profits stayed flat.
http://www.thestandard.com.hk/news_deta ... 30618&fc=2
It's all about "how much you made when you were right" & "how little you lost when you were wrong"