Financial News

Coty Shares Fall After Wider-Than-Expected Q4 Loss

Share price tumbles as much as 17% following the disappointing results.

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By: TOM BRANNA

Chief Content Officer

Coty’s share price tumbled 17% after the market closed on Wednesday. The beauty company posted Q4 losses of $72.1 million. The adjust EPS loss was 5 cents. Analysts forecast 1 cent profit. Net sales fell 8% to $1.25 billion, but that was above Wall Street estimates.

“While Q4 was broadly in line with expectations as we set the baseline for a strong launch calendar in FY26, and we expect our organizational changes will start yielding results in the coming year, there is more to do,” said CEO Sue Nabi. “We are entering the next phase of our strategy with a sharper focus on our core strengths and the most attractive categories where we can deliver outsized returns.”

More Declines Expected in Fiscal Q1 2026

For fiscal Q1 2026, Coty projects like-for-like sales will fall 6-8%, followed by a drop of 3-5% in Q2. The company is optimistic growth will return in the second half of fiscal 2026.

Despite the rough start, it’s full-speed ahead on product launches. In prestige Coty is launching Boss Bottled Beyond and extending the Hugo Boss brand. In mass, new innovations are coming for Adidas, Nautica, Vera Wang and Bruno Banani.

In April, Coty revealed plans to cut up to 700 jobs as it revisits a strategy launched during the pandemic.

For the past several months, rumors swirled that Coty seeks a buyer. The company refused to comment.

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