Puig Brands (PUIG) Q4 2024 TU earnings summary

Executive summary

• Achieved record net revenue of €4,790 million for FY2024, up 11.3% reported and 10.9% like-for-like, outpacing the premium beauty market and surpassing midterm revenue guidance.

• Growth was driven by the core Fragrance and Fashion business, with EMEA and Americas as key geographies.

• Celebrated 110th anniversary and became a publicly listed company in 2024.

• Expanded makeup and skincare segments, including the acquisition of Dr. Barbara Sturm and extended partnership with Charlotte Tilbury.

Financial highlights

• FY2024 net revenue reached €4,790 million, up 11.3% reported and 10.9% like-for-like; Q4 net revenue was €1,362 million, up 14.3% reported and 14.1% like-for-like.

• Hyperinflation adjustment in Argentina contributed a 1.1% uplift to FY like-for-like growth and a 4% uplift to Q4 like-for-like growth.

• Exchange rates negatively impacted FY growth by 0.8%.

• Pricing in the fragrance category increased by 4% in 2024.

Outlook and guidance

• Confident FY2024 results will align with midterm guidance; full year 2024 results and 2025 outlook to be presented in February 2025.

• Medium-term guidance targets high single-digit like-for-like revenue growth, exceeding premium beauty market.

• Adjusted EBITDA margin expected to remain stable in 2024, with upside potential in the medium term.

• Net debt/Adjusted EBITDA ratio targeted not to exceed 2.0x; ~40% dividend payout ratio planned.

• Adequate inventory levels post-holiday season; no significant destocking expected in H1 2025.