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| Statement |
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| And it's very healthy from a profitability standpoint because indeed, e-com and all players, all channels is strongly margin accretive |
| The outperformance in this division has been achieved, thanks to a very good, I have to say, balance of new launches and strong performance of the base business, which is also supported by the halo from the launches |
| So that's indeed part of our gross margin model and very positive for the equation |
| Indeed, it's a very good quarter, specifically driven by the Prestige performance |
| So in China, we had also a very good performance, specifically driven by Prestige, which is the immense majority of our net revenue |
| So we are doing very well |
| And this is really a fantastic achievement for the brand |
| So in fact, this, I would say, outstanding performance we're having behind our innovation is also benefiting other brands |
| Obviously, your results have been very strong as you continue building out your businesses there |
| And we are realizing that by supporting both, we are increasing the productivity in a tremendous way |
| So in fact, the big difference between the Coty of years ago and the Coty of today is that we are able to grow innovations across several years |
| And just to reiterate that mid- to high single-digit fragrance of both category, I mean, it's a very robust growth and confirm that this category is very dynamic, especially when you compare versus the trends that were existing before COVID |
| So it's good news because it's in our hands |
| So all of these give us the confidence that we will hopefully continue to outperform this very dynamic market |
| So again, as you can imagine, we are really very proud about this 14th quarter of reserves that are in line to ahead of both guidance and expectations |
| So it's really - it's a very positive cycle |
| So with these three brands, we really make the market in a very nice way |
| So this price increase was very successful |
| By demographic, I would just highlight that, as you can easily understand that it's really very strong on GenZ and that's very powerful because this is also a way to increase penetration from GenZ |
| So this is very powerful |
| So this was really very good execution, very precise, very granular, and indeed it worked very well |
| So if you take all these elements into consideration, you see that we continue to have a very nice EBITDA margin improvement on both semesters and definitely on the full year, confirming this 10 to 40 basis points |
| So indeed, on H2, the model is that, indeed, we are going to benefit from gross margin expansion, a significant gross margin expansion, which is really a combination of COGS inflation softening |
| So this is definitely a strong improvement |
| And we have already strong examples, and I can tell you definitely the work and all the initiatives that are in place will really continue to this journey So that's why also it's one of the big driver of our gross margin expansion in H2, definitely combined with inflation softening and definitely, in addition of carryover pricing from last year and also all the strategic revenue management element |
| And now we are really - the work we have done also over the last years was also to get the capabilities and to get also the tools, okay? So now we have a very strong digital team, well equipped and definitely able to measure and really to focus our investments |
| So how are we embracing e-com digital, community management, TikTok, et cetera? Indeed, the performance of e-com during the quarter have been outstanding |
| The bus collection is doing fantastically well in the Middle East, in Asia, in many Travel Retail locations |
| Burberry Signatures is doing very, very well in the different areas around the world |
| So on inventory, I can tell you that we are absolutely in control on our inventory with our supply chain with very strong forecast accuracy |
| Statement |
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| Two questions related to expectations for some slowing in the category growth, particularly on the prestige side |
| Regarding the trading down, the trading has been in China, the case for many, many, I would say, quarters because of the promotionality of the market |
| But the reality is that the competition between international mass brands and local brands is fiercer than ever, and this is really a question mark for those who have big brands over there |
| But this is something that we are really seeing is that there is a shift and consumers are waiting to see how brands are going to be held |
| And another element that you need also to take into account that as we have a headwind effect from Lacoste exit, which is impacting mostly H2 |
| So it's not a good idea |
| It's not to go fast, is to do the right thing |
| And now we are in a kind of era where it's, I would say, normalizing where we are seeing the brands respecting more and more their own brand equity, affecting their brand equity, sometimes growing less fast than what they should - what they want to do |
| First, you mentioned in your prepared remarks a more tempered consumer environment in China and that you're making - you're tweaking to accommodate these changes |
| Please refer to Coty's earnings release and the reports filed with the SEC for the company list factors that could cause actual results to differ materially from these forward-looking statements |
| I mean, it's not a slowing in prestige fragrance category |
| And that's also way to really make sure that the bad habits, if you may call it, of the past, are behind us and even if we never went into this game, thank, God |
| So just curious what that means and things still on track to double the business |
| Two questions on that |
| So definitely, we make sure, especially because we started this project more than a year ago in a context, where supply chain was still challenged, we make sure, of course, that we have sufficient components, sufficient products |
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