This week in beauty, we won’t see a mega Puig x Estée Lauder deal happening while Nykaa continues its impressive growth trajectory.
ESTÉE LAUDER AND PUIG END MERGER TALKS
The Estée Lauder Cos. and Puig have officially terminated discussions regarding a potential business combination, with Charlotte Tilbury’s contract renegotiation emerging as a major complication that derailed the deal. Tilbury, who holds a 21.5% stake in her namesake brand and the right to trigger an immediate sale worth several hundred million euros, used her leverage to seek more favorable terms, a price Estée Lauder was unwilling to absorb.
CHANEL RETURNS TO GROWTH IN 2025, WITH ALL DIVISIONS GROWING
Chanel reported 2025 sales of $19.3bn ,up 1.8% at constant rate, while net profit fell 14.3% to $2.9 billion. Perfume and beauty were the main drivers of the Parfums Beauté division, led by the success of Chance Eau Splendide the brand’s first new women’s fragrance in eight years as Europe and the Americas posted strong growth and China returned to growth in the fourth quarter.
E.L.F. BEAUTY FY26 SALES RISE 25% TO $1.64BN
e.l.f. Beauty reported full-year fiscal 2026 net sales of $1.64bn up 25% year-on-year. The company forecasts fiscal 2027 net sales growth of 12-14%, but expects a high-single-digit organic sales decline in Q1 due to a prior-year shipping surge. The company expects around $55m in tariff refunds, which it plans to reinvest into sharper price points after testing price cuts.
NYKAA FY26 PROFIT SURGES 183% AS REVENUE HITS €900M
Nykaa reported FY26 net revenue of €900 million, up 26% year-on-year, while profit after taxes surged 183% to €18.3 million, driven by 59% EBITDA growth to €67.6 million and a record margin of 7.5% as operating leverage finally kicked in. The beauty platform saw K-beauty GMV jump 58%, derma brands grow 40%, and owned brands like Dot & Key and Kay Beauty expand rapidly, while its retail network reached 313 stores across 99 cities.
L’ORÉAL UK & IRELAND SALES RISE 4% TO £1.62BN
L’Oréal’s UK and Ireland division reported 2025 turnover of nearly £1.62 billion, up 4% year-on-year, with operating profit rising 6.1% to £256.1 million and profit after tax increasing 4.8% to £194.2 million. The company outperformed the broader market in fragrance, haircare and makeup, but lagged in skincare, while integrating the Aesop UK retail business to strengthen its Luxe division.
MARC JACOBS BEAUTY RETURNS WITH COTY
Marc Jacobs Beauty is relaunching on May 28 with Coty, debuting a seven-product color cosmetics collection priced from 26$ to 42$ on marcjacobs.com, followed by Sephora and Selfridges, marking a maximalist new chapter for the designer following the recent sale of his brand by LVMH to WHP Global and G-III. Jacobs describes the line as “self-expression rooted in experimentation and play,” with formulas designed for layering and bold finishes.
OLIVE YOUNG TO OPEN FIRST U.S. STORE IN PASADENA
Olive Young, South Korea’s largest beauty retailer, will open its first U.S. store on May 29 in Pasadena, California, alongside a dedicated nationwide e-commerce platform. The 8,647-square-foot flagship will carry 400 brands and 5,000 products across skincare, makeup, hair care and wellness, with plans to expand further across the West Coast and East Coast.
DR. JART+ MAY RETURN TO KOREAN OWNERSHIP
Korean private equity firm PTA Partners is pursuing a joint acquisition of Dr. Jart+ owner Have & Be from Estée Lauder, potentially returning the K-beauty brand to Korean ownership after its struggles under Estée Lauder’s management. The business is valued at over 200 billion won, and PTA believes it can revive the brand by leveraging Korea’s advanced K-beauty manufacturing and marketing ecosystem.
JD.COM LAUNCHES CHANEL BEAUTY FLAGSHIP IN CHINA
Chinese e-commerce giant JD.com has launched an official CHANEL Fragrance & Beauty flagship store on its luxury platform, offering Chinese consumers access to Chanel’s fragrance, makeup and skincare products with exclusive items like the LES BEIGES Summer Essentials. The partnership strengthens JD Beauty’s position in the imported luxury beauty segment, with plans for additional product launches and limited editions targeting China’s premium gifting market.
JEAN PAUL GAULTIER LAUNCHES HIGH-END FRAGRANCE COLLECTION
Puig-owned Jean Paul Gaultier has introduced Les Ateliers Gaultier, a six-scent premium fragrance collection priced at €260 for 100 ml, paying tribute to the house’s couture heritage with juices created by master perfumers including Quentin Bisch and Marie Salamagne. The highly selective rollout begins at Printemps Paris and Charles de Gaulle airport before expanding across Europe, the Middle East and travel retail, with a U.S. launch planned for a later phase.
MARC-ANTOINE BARROIS OPENS SOHO FLAGSHIP IN NEW YORK
French couturier-perfumer Marc-Antoine Barrois has inaugurated a 300-square-meter flagship in SoHo, New York, bringing together his fragrance, ready-to-wear, couture, accessories and jewelry collections. The opening was supported by guerrilla-style IRL activations across the neighborhood.
YATSEN COMPLETES $120M FUNDRAISING BACKED BY HILLHOUSE
Chinese beauty group Yatsen Holding has completed the first part of its $120 million fundraising round, with investment firm Hillhouse joining Trustar Capital and founder Jinfeng Huang in the deal. The proceeds will support product R&D, global supply chain integration, overseas expansion and strategic acquisitions as Yatsen pursues international growth.
COSMOGEN ACQUIRES ASQUAN TO CREATE PREMIUM PACKAGING LEADER
French packaging specialist Cosmogen has acquired Asquan, forming Cosmogen & Asquan Group with combined revenue of €50 million and 80 employees, strengthening its global footprint across Europe and the US. The merger combines Cosmogen’s patented applicator expertise with Asquan’s multi-category premium packaging capabilities, serving brands including L’Oréal, Dior and independent indie brands.
NOVVIA ACQUIRES APC PACKAGING TO BOOST BEAUTY PACKAGING PLATFORM
Novvia Group has acquired Florida-based luxury beauty packaging supplier APC Packaging, strengthening its portfolio in the premium skincare and cosmetics packaging sector following its purchase of Garrett Hewitt International in 2025.
YSL BEAUTY NAMES CHARLI XCX AS US AMBASSADOR
YSL Beauty has appointed musician Charli xcx as a US Local Ambassador to front a new makeup campaign celebrating self-expression and transformation, supporting the launch of the Skin Affair Soft Glow Cushion Foundation. The partnership follows months of red carpet and music video collaborations with the brand, as YSL targets younger luxury beauty consumers through culture-led marketing.
