In 2022, L’Oréal’s Russian beauty division, home to renowned brands such as Lancôme, Giorgio Armani, Yves Saint Laurent, Biotherm, Garnier, and Maybelline, reported revenue totaling 60.2% of the group’s activity in that market. This figure marked a decline of 6.5 percentage points versus 2021, measured in billion rubles, even as it exceeded 2020 by about 7%. The data comes from L’Oréal JSC indicators in the SPARK-Interfax database as cited by Kommersant, highlighting a period of volatility amid geopolitical shifts and market adaptations (Kommersant, SPARK-Interfax).
Net profit for 2022 reached 10.62 billion rubles, a rise of 45% compared with 2021 and more than double the result from 2020. Industry observers note that the stable profitability was bolstered by diverse distribution strategies, including the sale of L’Oréal products produced in Russia through non-traditional channels and multi-brand retailers. The company manufactures about 54% of the goods sold in Russia at the Vorsino facility in the Kaluga region, underscoring an outward-facing production footprint that supports local employment and supply chain continuity. Approximately 45% of these items reach large chains such as Letual, Il de Beaute, and Golden Apple, while the remainder is distributed through third-party partners serving non-chain retailers and various marketplaces (Kommersant, SPARK-Interfax).
Direct retail operations in Russia were paused by L’Oréal roughly a year prior, reflecting the broader impact of the Ukraine conflict on multinational cosmetic groups and their channel strategies. The absence of a direct consumer-facing store did not, however, halt product availability through other sales routes, illustrating how global beauty brands reconfigure their presence in constrained markets. In early 2023, the brand’s innovations kept making headlines—demonstrated by the CES showcase of a smart lipstick applicator and eyebrow-drawing tools that signaled continued investment in consumer-friendly tech and design, even as marketplace dynamics evolved (Kommersant, SPARK-Interfax).