Finance
L'Oreal Shares Rise 5% in Pre-Market Trade After Strong First Quarter
Published by Global Banking & Finance Review®
Posted on April 23, 2026
2 min readLast updated: April 23, 2026
Add as preferred source on GoogleQuick Summary
L’Oréal shares jumped ~5% in pre-market Tradegate trading on April 23 after the group reported its strongest quarterly growth in two years—6.7% like‑for‑like sales growth in Q1—driven by robust demand for premium haircare and fragrances across key regions.
L'Oreal shares rise 9% after strong first quarter
Strong Performance and Market Reactions
By Dominique Patton
First Quarter Sales Growth Exceeds Expectations
PARIS, April 23 (Reuters) - Shares in L'Oreal jumped almost 9%, on track for their best day since 2008, after the French cosmetics group posted first-quarter sales growth of 6.7% on Wednesday, beating expectations with its fastest quarterly growth in two years.
Global Demand for Premium Products
The group said consumers in the U.S., China and Europe all bought more of its premium hair products and perfume in the quarter and it was optimistic about 2026 growth in both sales and profits, despite growing concerns about consumer confidence in the face of the Middle East war.
Analyst Reactions and Stock Movement
"L'Oreal has returned to form," said analysts at RBC, who had estimated growth at 5.6%.
Shares were up 8.9% at 375 euros by 0726 GMT. They had been down about 6% year to date, with worries about the ripple effects of the Middle East conflict weighing on the sector.
Regional Market Insights
China and Emerging Markets Drive Growth
However, the maker of Kerastase shampoo, La Roche-Posay creams and YSL Libre perfume said first-quarter sales in China had improved, driven by demand for luxury products, while its emerging markets and particularly Vietnam saw high growth.
European Market Resilience
In Europe, its largest market, consumers were resilient and buying cosmetics to feel better in stressful times, CEO Nicolas Hieronimus told analysts, adding there was no change to consumption patterns since the outbreak of the Iran war.
Future Outlook
Analyst Forecasts for Full-Year Growth
"We are encouraged by the strength and breadth of Q1," said analysts at JPMorgan, adding they had raised their forecast for full-year sales growth to 4.8% from 4.1% earlier, despite an expected slowdown in the second quarter.
(Reporting by Dominique Patton; Editing by David Goodman and Clarence Fernandez)
Key Takeaways
- •Q1 like‑for‑like sales rose 6.7%, the fastest pace in two years, with reported sales reaching ~€12.15 billion (investing.com)
- •Growth was broad‑based: strong performance in the U.S., China, Europe and emerging markets, led by premium haircare and fragrance segments (loreal.com)
- •L’Oréal outpaced market growth in its two largest markets, North America and China, bolstering investor confidence amid geopolitical and macroeconomic uncertainty (loreal.com)
References
Frequently Asked Questions about L'Oreal shares rise 5% in pre-market trade after strong first quarter
1Why did L'Oreal shares rise in pre-market trading?
L'Oreal shares rose about 5% after the company reported a 6.7% sales growth in the first quarter, its fastest increase in two years.
2Which markets contributed to L'Oreal's sales growth?
Consumers in the U.S., China, and Europe contributed to L'Oreal's first-quarter sales growth by purchasing more premium hair products and perfumes.
3What products drove L'Oreal's sales growth?
Premium hair products and perfume were the main drivers of L'Oreal's first-quarter sales growth.
4What outlook did L'Oreal provide despite global concerns?
L'Oreal remained optimistic about growth despite concerns about consumer confidence related to the war in the Middle East.
