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1、2024 UNIVERSAL REGISTRATION DOCUMENTANNUAL FINANCIAL REPORT INTEGRATED REPORTSUSTAINABILITY REPORT2 024 U N I V E RS A L R EG I ST RAT I O N D O C U M E N TINCLUDING THE ANNUAL FINANCIAL REPORT,THE INTEGRATED REPORT AND THE SUSTAINABILITY REPORTContents1Presentation of the Group IntegratedReport 71.

2、1LOral Groupe fundamentals81.2Beauty market231.3Value-creating model 261.42024 Financial Results and Corporate Social Responsibility commitments382Corporate governance 532.1Framework for the implementation of corporate governanceprinciples542.2Composition of the Board at 31 December 2024572.3Organis

3、ation and modus operandi oftheBoardofDirectors832.4Remuneration of Directors andcorporateofficers1062.5Summary table of AFEPMEDEF Code recommendations that are not applied1372.6Summary statement of trading by Directors andcorporate officers in LOral shares in 2024 1382.7Statutory Auditors special re

4、port on regulated agreements1393Risk factors and risk management 1413.1Definition and objectives of Internal Control1423.2Internal Control and risk management system andtax policy 1433.3Preparation and processing of accounting and financial information1533.4Preparation and processing of sustainabili

5、ty information 1553.5Vigilance Plan 1553.6Risk factors and risk management1724Sustainability Report 1874.1Introduction1884.2Climate:Mitigation and Adaptation(E1)2024.3Pollution:operations and value chain(E2)2184.4Water resources:consumption and withdrawals(E3)2234.5Biodiversityand ecosystems(E4)2294

6、.6Resource use and circular economy:formulas and packaging(E5)2334.7Own workforce(S1)2374.8Privacy and personal data protection(S1/S4)2474.9Human rights in the value chain and affected communities(S2/S3)2504.10 Product safety(S4)2544.11Transparent labelling and shift towards responsible consumption(

7、S4)2554.12 Responsible beauty marketing and advertising(S4)2584.13 Responsible leadership and ethical practices(G1)2604.14 Methodological notes 2624.15 CSRD Annexes2704.16 Issuance of a sustainability-linked bond2794.17 Glossary of acronyms and initialisms used intheSustainabilityReport2794.18 Statu

8、tory Auditors report28152024 Consolidated Financial Statements2855.1Compared Consolidated Income Statements2865.2Consolidated Statement of Comprehensive Income2875.3Compared Consolidated Balance Sheets2885.4Consolidated Statements of Changes in Equity2895.5Compared Consolidated Statements of Cash Fl

9、ows2915.6Notes to the Consolidated Financial Statements2925.7Consolidated Companies At 31December 20243435.8Statutory Auditors report on the consolidated financial statements34762024 parent company financial statements3536.1Compared income statements3546.2Compared balance sheets3556.3Statement of ch

10、anges in shareholders equity3566.4Statements of cash flows3576.5Notes to the financial statements of LOral S.A.3586.6Other information relating to the financial statements of LOral S.A.3766.7Five-year financial summary3786.8Equity investments(main changes and threshold crossings)3796.9Statutory Audi

11、tors Report on the financial statements3807Information on theCompany andthesharecapital3857.1Information relating to the Company3867.2Information concerning the share capital 3887.3Ownership structure 3917.4Long-term Incentive Plans 3947.5LOral share price performance4007.6Information and shareholde

12、r dialogue policy4058Annual General Meeting4098.1Draft resolutions and Report of the Board ofDirectors totheOrdinary and ExtraordinaryGeneralMeeting tobeheldonTuesday 29 April 20254108.2Statutory Auditors reports4329Appendices4359.1Statutory Auditors 4369.2Historical financial information incorporat

13、ed byreference 4369.3Statement by the person responsible for the Universal Registration Document and the Annual Financial Report4369.4Cross-reference table with the Universal RegistrationDocument4379.5Annual Financial Report cross-reference table4409.6Cross-reference table with the AMF tables onther

14、emuneration ofcorporate officers4409.7Management Report cross-reference table4419.8Glossary 444CSRDCSRDCSRDCSRDCSRDDetailed chapter contents can be found at the beginning of each chapter.This information is an integral part of the Annual Financial Report Sections containing information from the Sust

15、ainability Report.CSRDUniversalRegistrationDocument2024INCLUDING THE ANNUAL FINANCIAL REPORT,THE INTEGRATED REPORT AND THE SUSTAINABILITY REPORTThe Universal Registration Document was filed on 24 March 2024 with theFrench Financial Markets Authority(AMF),as competent authority underRegulation(EU)201

16、7/1129,without prior approval pursuant to article 9 ofsaid regulation.The Universal Registration Document may be used for the purposes of anoffer to the public of securities or admission of securities to trading on aregulated market if completed by a securities note and,if applicable,asummary and an

17、y amendments to the Universal Registration Document.The whole is approved by the AMF in accordance with Regulation(EU)2017/1129.This Universal Registration Document,including the Annual FinancialReport,is a reproduction in PDF,translated in English,of the official versionestablished in ESEF format a

18、nd filed with the AMF,and is available on theGroups website at www.loreal-.This reproduction is availableon the same website.This document is a free translation of the original 2024 UniversalRegistration Document issued in French Language and is provided solely forinformation purposes.In case of dis

19、crepancy between the French andEnglish versions,the French language version of the Universal RegistrationDocument shall prevail.LORAL UNIVERSAL REGISTRATION DOCUMENT 20243In an uncertain environment,LOral creates value for all and is shaping the future ofbeautyWith a further consolidated position as

20、 worldnumber one in beauty,strong earnings growth andsignificant progress in social and environmentalresponsibility,LOral demonstrates the resilience ofits model and continues to create value for all.In a volatile economic climate,I have everyconfidence in the Groups ability to consistentlydeliver i

21、ts best.The best of its people.Their dedication and immensecontribution are exemplary.LOrals 90,000 people,each in their respective field,embody agility,perseverance,boldness and commitment.They are thedriving force behind our success,and I would like toexpress my deepest admiration to them.The best

22、 of its executive team.The inspiringleadership of Nicolas Hieronimus,combined with thedetermination of his Executive Committee,weredecisive.Together,they have once againdemonstrated their ability to overcome challengesand seize opportunities in growth markets,whiledriving the Groups continuous adapt

23、ation.The best of its governance.LOral can count onreal strengths:the stability of its shareholder base,the perfectly complementary roles between theChairman and the Chief Executive Officer,and thediversity of expertise of its directors.This year,theBoard focused in particular on sustainability,as w

24、ellas the transformation driven by artificial intelligence,from its responsible use to the challenges ofcybersecurity.It also reviewed risk mapping.On thebusiness front,it conducted forward-looking workfocused on the Dermatological Beauty andConsumer Products Divisions.And tirelessly,the Group conti

25、nued to embody its corevalues,which are the cornerstone of our long-termsuccess.Our commitment to the environment,toethics and to inclusion is widely recognised andhighly praised.The culture and values that unite“LOralians”are what make us truly unique.In anuncertain world,they are as important as t

26、hemeaning they give to everything we do.The entire company is aligned to shape the future ofbeauty.We share a clear vision and unwavering principles:an enduring commitment to sustainable andresponsible growth,excellence,scientific andtechnological innovation,quality,a humanisticculture and a deep se

27、nse of duty.This is our strength.And it is what makes LOralready for the future.LORAL UNIVERSAL REGISTRATION DOCUMENT 20244JEAN-PAUL AGONChairman of the Board of Directors of LOral2024 was a pivotal year aswelaid the foundations forthe next chapter in the great LOral AdventureNICOLAS HIERONIMUSChief

28、 Executive Officer of LOralLOral has delivered another year of unwaveringperformance,amidst a turbulent global economy.Ourstrengthened leadership position andcompelling results are a testament to the resilienceof our business model,fuelled by our teamscreativity,agility and passion.We once againoutp

29、erformed the global beauty market,deliveringlike-for-like growth of+5.1%.Id like to highlight thecontinued quality of our P&L management,with arecord operating margin of 20%,up+20 basis pointsdespite a volatile environment.Consistent with our dual excellence ambition,wevecontinued to make progre

30、ss towards our social andenvironmental commitments.In 2024,4.5 millionpeople benefitted from our brands socialengagement programmes and 97%of the energypowering our sites(1)came from renewable sources.We also launched pioneering initiatives such as theSolstice fund,with Chenavari Investment Managers

31、,in which we have invested 50 million,to supportour industrial partners in accelerating theirdecarbonisation efforts.Our efforts have beenrecognized,for instance with the EcoVadis PlatinumMedal,which ranked LOral in the global top 1%ofbest companies in terms of environmental and socialperformance.20

32、24 was a pivotal year as we laid the foundations forthe next chapter in the great LOral Adventure.Westrengthened our Research&Innovation capabilitieswith AI and tech,optimised our organisationalstructure and enhanced our operational resilience.Wealso bolstered our portfolio of desirable brands b

33、yacquiring the Miu Miu license and Dr.G,a leadingKorean skincare brand,and took minority stakes inGalderma,Amouage,and Jacquemus.All this will allow us to go ever faster and further toreach 2 billion consumers within the next decade.Toachieve this,we will invest further in markets withfavourable eco

34、nomic and demographic trends;engage dynamic consumer groups such as Gen-Z,men,and boomers;and explore promisingtechnologies,in line with our mantra to seize whatsstarting.I am confident in our growth momentum andoptimistic for the future,as we continue in ourambition to create the beauty that moves

35、the world.(1)Operated sites,excluding safety and security equipment.Watch the full interview with the CEO by scanning this QR code or go to LORAL UNIVERSAL REGISTRATION DOCUMENT 20245LORAL UNIVERSAL REGISTRATION DOCUMENT 20246+1Presentation of the Group Integrated Report1.1LOral Groupe fundamentals8

36、1.1.1Our Sense of Purpose(raison dtre)81.1.2The strategy and fundamentals of LOral91.1.3Stable governance111.1.4A tailored,agile and responsive organisation 151.1.5Significant dates in the Groups development181.1.6Key figures for 2024191.2Beauty market231.2.1The essentiality of beauty231.2.2The beau

37、ty market,rapidly expanding in an ever turbulent macroeconomic environment 241.3Value-creating model261.3.1Business model261.3.2Value chain 281.3.3Ongoing transformation to meet new aspirations301.3.4Research&Innovation:responsible,inclusive innovation,incomplete safety311.3.5Operations:a key dr

38、iver of the Groups growth341.3.6Internal Control and risk management system371.42024 Financial Results and Corporate Social Responsibility commitments381.4.12024 results381.4.2LOral for the Future programme initiated in 2020:2024 results50CSRDCSRDThis information is an integral part of the Annual Fi

39、nancial Report.Sections containing information from the Sustainability Report.CSRDLORAL UNIVERSAL REGISTRATION DOCUMENT 20247This chapter presents the well-balanced business model of the LOral Groupe,its strategic orientations,its2024 results,its non-financial performance,and its relationships with

40、its stakeholders,particularly in thecontext of the LOral for the Future sustainability programme(1).1.1LOral Groupe fundamentals1.1.1Our Sense of Purpose(raison dtre)The desire for beauty has existed since the beginning of humanity.Its a universal aspiration which crosses time,countries and cultures

41、.Beauty is a powerful force that moves us.We know that beauty is more than just looking good.Beauty gives us confidence in who we are,in who we want to be and in our relationships with others.For over a century we have been dedicated to one sole vocation:creating beauty.We remain true to the pioneer

42、ing spirit of our founder and enjoy the unwavering support of his family,who have always accompanied our development.Our goal is to offer each and every person around the world the best of beautyin terms of quality,efficacy,safety,sincerity and responsibility to satisfy all beauty needs and desires

43、in their infinite diversity.Because beauty is a permanent quest,we harness the power of our innovation to continually enhance the performance of our products and services.Because we value diversity,we leverage each of our brands to celebrate all expressions of beauty.Because we strive to be exemplar

44、y with a long-term vision,we anchor our actions in our strong values and demanding ethical principles.And because we are the global leader in beauty,we are aware that everything we do can have a meaningful impact.Therefore:We act to shape the future of beautyby leveraging the best of science and tec

45、hnology,increasingly inspired by nature.We act to drive social innovationby offering the best working conditions,training and social protection for our employees.We act to build a business with inclusivity at its heartby ensuring we are as diverse as the people we serve.We act to nurture lasting par

46、tnerships with our clients and suppliersbased on mutual trust and collaboration.We act to create value for all our shareholders by sustaining a robust business model.We act to champion the cause of women and to strengthen the communities with which we engage.We act to protect the beauty of the plane

47、tby fighting climate change,respecting biodiversity and preserving natural resources.At LOral,we share a common Sense of Purpose to:Create the beauty that moves the world.(1)See 1.4.2.LORAL UNIVERSAL REGISTRATION DOCUMENT 202481Presentation of the Group Integrated ReportLOral Groupe fundamentalsLOra

48、ls Sense of Purpose(raison dtre)is a core principlefor the Group,to see ourselves as a high-performing,committed,responsible,inclusive company showing solidarityin decades to come.LOrals raison dtre is included in thestrategic orientations defined by its Board of Directors and inits business model.L

49、Orals Sense of Purpose was developed following the workimplemented over almost two years,initiated and driven atthe highest level by Jean-Paul Agon and Nicolas Hieronimus,as well as several members of the Executive Committee.LOrals Sense of Purpose was the result of dialogues withthe Groups employee

50、s in three of its key countries(France,the United States and China)and many external stakeholders,including consumers.The progress made was discussedseveral times in the Executive Committee.For LOral,the aimwas to collect and formalise its contribution to the world as acompany,its values and its com

51、mitments in one document.This raison dtre was approved on 6 February 2020 by theBoard of Directors,who incorporated it into theirManagement Report published in the 2019 UniversalRegistration Document and presented to the Annual GeneralMeeting of Shareholders on 30 June 2020.LOral was presented with

52、the Award for ESG Purpose andCommitments at the 2022 General Meeting and GenderBalance Awards ceremony,organised by the Institut duCapitalisme Responsable.A single sentence epitomises LOrals Sense of Purpose:Create the beauty that moves the world.It is defined inconcrete actions made to consumers,em

53、ployees,clients,suppliers,shareholders,service providers and communities.LOral is committed to efforts to combat climate change,byrespecting biodiversity and preserving natural resources,andby championing the cause of women.The Group is using itsSense of Purpose to publicise its commitments through

54、aneponymous media campaign launched in 2021.The majority ofthe Groups brands have supported their causes since 2018,combatting violence against women with the Abuse is NotLove programme from Yves Saint Laurent Beauty,campaigning against street harassment with LOral Parisand the Stand Up programme,he

55、lping women get access toreading with Lancmes Write her Future programme orsupporting environmental causes with Biotherms WaterLovers programme.In its Management Report,disclosed in the present document,LOrals Board of Directors reports on the implementation ofthe commitments included in its raison

56、dtre,and on theprogress towards the goals set:economic performance is inseparable from corporate socialresponsibility performance.The results of the Groupssustainability performance,which are reviewed by externalauditors along with its financial performance,reflect theachievements of LOral arising f

57、rom its Sense of Purpose.Chapter 4 reports on the social,environmental and societalpolicies and progress,inclusion and ethics within the LOralfor the Future programme covering the Groupscommitments to sustainability;LOral also presents its progress and achievements innonfinancial areas through its a

58、nnual reporting made tothe United Nations Global Compact;this chapter also reports on the Groups financialperformance,particularly through its business model(seesection 1.3);andthe Groups CSR performance is one of the factorsconsidered in determining the variable portion of theremuneration of LOrals

59、 executive corporate officers(seesection 2.4)and the Groups principal executives(seesection 4.1.1).1.1.2The strategy and fundamentals of LOral1.A clear vision and strategyLOral has defined a clear vision that is broken down into twopoints:its Sense of Purpose(raison dtre),which is detailedabove,and

60、Beauty for each.LOral aims to offer women andmen around the world the best in cosmetics in terms ofquality,effectiveness,safety,sincerity and responsibility inorder to meet all their needs and all their beauty wishes intheir infinite diversity.More than ever,LOrals vision takeson its full meaning an

61、d represents a strong anchor in thisincreasingly unpredictable and complex environment.LOrals strategy is to combine both Universalisation andSingularisation.Universalisation involves the globalisation ofbrands by taking regional characteristics into consideration inorder to serve and retain consume

62、rs.Singularisation,or“Beauty for each”,takes into account a growing global trendtowards self-affirmation for both men and women byproviding a diverse range of offers and personalisation.Thegoal is to offer inclusive beauty by responding to the specificaspirations of consumers in every region of the

63、world.Incontrast to standardisation,it is based on careful attention toconsumers and a deep respect for their differences.2.One single business:beauty,nothing butbeauty and all beautyFor over a century,LOral has carried out a single business:creating beauty.Cosmetics are rich in meaning.They allowea

64、ch person to boost their self-confidence,express theirpersonality and open up to others.Focusing on a single business represents a major competitiveadvantage for LOral in a dynamic,resilient market.TheGroup boasts more than one hundred years of cosmeticexpertise,talented specialists and an in-depth

65、knowledge ofconsumers.This is built on a detailed knowledge of beautycultures,needs,desires and aspirations.LOral covers allcontinents across more than 150 countries,all productcategories(1),all distribution channels including ecommerceand Travel Retail,and all price segments.By focusing its energy

66、on a single business,along with anobsession for seizing the opportunities,LOral is able toidentify new consumer trends and respond rapidly.The digitalrevolution in particular,in perfect alignment with socialbeauty,connected and shared,acts to speed up thedevelopment of the beauty market driven by ec

67、onomic,technological,demographic and sociological developments.(1)Hair colour,skincare,sun care,make-up,perfumes,hygiene products etc.LORAL UNIVERSAL REGISTRATION DOCUMENT 202491Presentation of the Group Integrated ReportLOral Groupe fundamentals3.The challenge of innovation:the strength of Research

68、,Innovation(R&I)and TechnologyInnovation has been and remains the core of the LOral model:the Group was born from a breakthrough innovation safehair dye invented by its founder Eugne Schueller.LOralbelieves that beauty happens when science and creativitycome together to meet the needs of consume

69、rs who expectnew experiences over and above products and services.Thediscoveries of R&I,as well as the unique intuition and creativityof the marketing teams,mean that products are constantlyevolving to meet consumers needs.Because LOral records asignificant share of its net sales with new produc

70、ts everyyear,the Group has a duty to be the champion of cosmeticsinnovation.The beauty of the future is now focused on the GreenSciences programme on the one hand,which is based on fourpillars:sustainable cultivation,biotechnology andfermentation,green chemistry and green extraction to givethe Group

71、s products a competitive advantage,and on BeautyTech on the other hand,to enhance science using cutting-edge technologies on a large scale and offer unparalleledbeauty experiences.Innovation is at the heart of the modeland,coupled with technology,is a driving force for growth anddiscovery of new are

72、as of beauty.Data,artificial intelligence,robotics and nanotechnologies will strengthen and speed upthe Groups innovations to help make it a champion of BeautyTech.LOral also draws on some of the biggest strategicdata partnerships,most notably with Bakar Labs,thebiotechnology incubator of the Univer

73、sity of California,Berkeley.In early 2024,scientists from LOral AdvancedResearch and the University of Oregon pioneered the firstsuccessful development of a revolutionary artificial skin modelthat closely resembles natural human skin.LOral invents the beauty of the future while becoming thecompany o

74、f the future.See also the“Transformation toBeauty Tech to invent the beauty of the future”section in1.3.3.4.Marketing of brands,products,services and of the customer experienceOver the next decade,the cosmetics market will become moredigital and competitive,with the arrival of new playersnotably fro

75、m new markets,from a host of local independentbrands on social media(“indies”),or from other industries suchas fashion,luxury and e-commerce.In this context,LOralsexpertise and excellence in creating and developing majorbrands that are prized by consumers all over the world will beessential assets.L

76、Oral has always been able to create starproducts,from brand new franchise launches to innovationsthat evolve into icons over time.The skills of the marketingdepartments for our brands and R&I laboratories are keyassets in the collaborative,agile design of new products,services and unique consume

77、r experiences.5.Adapting and seizing every opportunity through multi-polar growth in each region and Division LOrals global footprint enables it to optimise its growth bycontinuously adapting to the context it faces,seizeopportunities as they arise and minimise exposure to areaswhere business is slo

78、wer.In terms of Zones,Europe remainsthe historic cradle of the Groups business,and the nervecentre of its operations.North America,currently the worldslargest beauty market,is boosted by its demographics,increasing ethnic diversity and therefore expectations ofbeauty,and the ongoing acceleration of

79、e-commerce.InNorth Asia,China continues to suffer from challenging marketconditions but will remain a major contributor to Group netsales,with its consumers representing a significant source ofgrowth for the long term.Emerging markets,including LatinAmerica,South-East Asia,India and the Middle East,

80、represent a major accelerator for the Group,with a rapidlygrowing population and current trends of urbanisation,digitalisation and empowerment of women.LOral continuesto expand in Africa.The Groups four Divisions enable it to meet all consumerexpectations.The Groups primary Division,ConsumerProducts

81、,aims to give the best of beauty a more premium feelwhile also making it accessible to more people.It is theGroups main asset in its attempts to conquer the emergingmarkets.The Luxe Division responds to the desire for qualityand experiences in the upper-middle classes.DermatologicalBeauty meets incr

82、easingly high expectations in terms ofskincare and remains the fastest-growing Division.Lastly,Professional Products enhances the sophistication of themarket and the salon sector.6.The dual goal:economic and corporate excellence to create lasting value for allEconomic and financial performance is no

83、t enough forLOral.Because there will be no economic growth withoutsustainability in the future,LOral has set itself the dual goalof excellence,in both the economic and societal domains.Itwill be the condition for its success and its long-termexistence.Because LOral is the global leader in beauty,ith

84、as the duty to contribute to the beauty of the planet and bea champion of CSR.And it is because LOral is a social,environmental,societal and ethical leader that it will achievegreater performance in the future.The two performances gohand in hand and mutually enhance each other,as LOralhas demonstrat

85、ed to date.7.Prioritising people and social harmonyAs the Groups founder,Eugne Schueller,declared withconviction:a company is not walls and machines,but people,people and more people.In keeping with the tradition of ourfounder,individuals and social harmony are at the heart ofLOral and must remain o

86、ur priority in a climate whereattracting talent is becoming increasingly complex.TheGroups values have always been humanist in nature.Inentrepreneurial culture,passionate and committed teams arestrategic intangible assets that always have and always willmake all the difference.LORAL UNIVERSAL REGIST

87、RATION DOCUMENT 2024101Presentation of the Group Integrated ReportLOral Groupe fundamentalsLOrals human and social project constitutes both thestrength and the appeal of its model in an ever-changingworld.It is based around two priorities:the attention paid todeveloping each employee through ongoing

88、 learning,accelerated career paths or international careers;and aunique social model that combines competitive socialperformance and shared growth(profit-sharing,incentives,employee shareholding plan,etc.).Social innovation is at theheart of this approach,with the Share&Care programmebeing a not

89、able example(see chapter 4).For more than 20 years,LOral has been committed todiversity,equity and inclusion and is recognised for its actionsworldwide.The Groups policy in this area is explained ingreater detail in section 4.7.4.1.1.1.1.3Stable governanceThe stability of the Groups governance in a

90、changing world makes it possible to work towards long-term objectives and to ensureregular growth.1.1.3.1Loyal shareholders,stable capital structureSHAREHOLDERS AS AT 31 DECEMBER 2024(1)Consisting,in addition to Franoise Bettencourt Meyers,of Jean-Pierre Meyers,Jean-Victor Meyers and Nicolas Meyers,

91、along with Tthys SAS and FinancireLArcouest SAS.(2)Concerns the current and former employees of LOral.The percentage also includes the performance shares granted in accordance with Article L.2251971 of theFrench Commercial Code.Of which 1.05%of the share capital as part of the LOral Employee Savings

92、 Plan and employee investment funds as defined by ArticleL.225-102 of the French Commercial Code.1.1.3.2A balanced and committed Board of Directors,which fully plays its role of reflection and strategic impetusThe Board of Directors defines the strategic orientations ofLOral and monitors its impleme

93、ntation,in accordance withits corporate interest,taking the social and environmentalchallenges of its business activity into consideration.Itoversees the management of both financial and sustainabilityaspects,and ensures the quality of the information providedto shareholders and to the market.The co

94、mposition of LOrals Board makes it possible to takeinto account the specific nature of its shareholding structurewhile guaranteeing the interests of all its stakeholders.At31 December 2024,the Board of Directors comprised16members:the Chairman,Jean-Paul Agon;the Chief Executive Officer,Nicolas Hiero

95、nimus;three Directors(one of whom is the Boards Vice-Chairman)from the Bettencourt Meyers family,which owns 34.76%ofthe share capital Franoise Bettencourt Meyers,Jean-Victor Meyers and Nicolas Meyers;two Directors(one of whom is the Boards Vice-Chairman)linked to Nestl,which owns 20.14%of the share

96、capital Paul Bulcke and Batrice Guillaume-Grabisch;seven independent Directors:Sophie Bellon,FabienneDulac,Ilham Kadri,Virginie Morgon,Patrice Caine,JacquesRipoll and Alexandre Ricard.50%of the Directors aretherefore independent(seven out of 14 excluding theDirectors representing the employees);andt

97、wo Directors representing the employees:Thierry Hameland Benny de Vlieger.The Board takes steps to ensure that the Directors come fromdifferent backgrounds and that they complement oneanother due to their different professional experience,theirskills and their international exposure(see 2.2.1.2)The

98、diversityof skills and expertise on the Board enables it to understandrapidly and in detail the development challenges that LOralfaces.LOral is attentive to compliance with the principle ofbalanced gender representation on the Board:43%of itsmembers are women(1)and two Board Committees out of fourar

99、e chaired by women.(1)Excluding the Directors representing the employees,in accordance with the French Commercial Code(Code de commerce).Franoise Bettencourt Meyers and family(1)NestlInternational institutional investorsFrench institutional investorsIndividual shareholdersEmployees(2)20.14%30.18%6.8

100、5%6.07%2.00%34.76%LORAL UNIVERSAL REGISTRATION DOCUMENT 2024111Presentation of the Group Integrated ReportLOral Groupe fundamentalsCOMPOSITION OF THE BOARD AT 31 DECEMBER 2024Board CommitteesAgeGenderNationalityNumber of directorships in listed companies*IndependenceFirstappointedTerm of of ice expi

101、res(AGM)Seniority on the Board(years)Strategy and SustainabilityAuditHR and RemunerationNominations and GovernanceChairmanJean-Paul Agon68MFrench25/04/2006 202618CChief Executive Of icerNicolasHieronimus60MFrench20/04/2021 20253Franoise.Bettencourt Meyers and her familyFranoise Bettencourt MeyersVic

102、e-Chairwoman71WFrench12/06/1997202527 Jean-Victor Meyers38MFrench13/02/2012202812Nicolas Meyers36MFrench30/06/2020 20284Directors linked to NestlPaul Bulcke*Vice-Chairman70MBelgian-Swiss120/04/2017 20257Batrice Guillaume-Grabisch60WFrench20/04/2016 20288Independent DirectorsSophie Bellon63WFrench222

103、/04/201520279CPatrice Caine54MFrench117/04/201820266CFabienne Dulac57WFrench118/04/201920275Ilham Kadri55WFrench-Moroccan230/06/2020 20284Virginie Morgon55WFrench26/04/2013 202511CAlexandreRicard52MFrench120/04/2021 20253JacquesRipoll58MFrench23/04/2024 2028 290 BILLION(1)Despite a challenging globa

104、l environment,the sectorcontinues to grow,driven by the vitality of many regions andthe unfailing appeal of beauty to consumers.With its rich cultural and economic diversity,the SAPMENAZone is emerging as a key growth driver for the industry,drawing strength from the rise of the middle classes,a you

105、ngand connected population,and a growing appetite for bothtraditional and innovative beauty products.Beauty has become an essential for many consumers,makingthe industry less sensitive to economic fluctuations.Theindustry is able to adapt to new market realities by focusingon innovation,digital tech

106、nology and diversification of itsdistribution channels.THE MAIN WORLDWIDE PLAYERS2023 net sales in USD billions.Companies are ranked by volume of sales of beauty products for the calendar year 2023.Estimated figuresare given for companies whose financial year does not run from 1 January 2023 to 31 D

107、ecember 2023(1).In 2023,the top 10 cosmetics companies generated aggregate net sales of approximately USD 146 billion,or 59.4%of the totalrevenue of WWD Beautys Top 100.(1)Source:Beautys Top 100,WWD,April 2024.BY GEOGRAPHIC AREABY PRODUCT CATEGORYNorth Asia 27%North America 29%Europe 24%Latin Americ

108、a 9%SAPMENA-SSA 11%Skincare 39%Haircare 21%Make-up 17%Perfumes 13%Hygiene products 10%44.526.215.215.08.98.38.16.96.46LOralUnileverEsteLauderProcter&GambleShiseidoCotyNatura&CoChanelLVMHBeiersdorfLORAL UNIVERSAL REGISTRATION DOCUMENT 2024251Presentation of the Group Integrated ReportBeauty m

109、arketUniversalisation involves the globalisation of brands by taking regional characteristics into consideration in order to serve and retain 1.5 billion consumers.Singularisation takes into account a growing global trend towards self-affirmation for both men and women by providing a diverse range o

110、f offers and personalisation.The goal is to offer inclusive beauty by responding to the specific aspirations of consumers in every region of the world.In contrast to standardisation,it is based on careful attention to consumers and a deep respect for their differences.UNIVERSALISATION AND SINGULARIS

111、ATIONNO.1 IN BEAUTYOur sole business:beauty,nothing but beauty and all beautyA unique portfolio of brands A balanced,multi-polar model(Zones,Divisions,categories,distribution networks)A global industrial footprintSteady and sustainable economic and financial performance Recognised social and environ

112、mental performanceCommitted and qualified employeesLoyal shareholders and stable governanceCulture of ethics,based on four Principles:Integrity,Respect,Courage and TransparencyOutlook and challengesA resilient,growing marketBeauty is an essential need for humanityIncreasing demand from the middle cl

113、asses in emerging countriesPremiumisation of beautyIncreasing digitalisation towards the provision of personalised,connected and shared beauty solutionsSustainability mattersNeed for an ecological and inclusive transition in the context of limited natural resources and climate change Consumer orient

114、ation towards more sustainable choicesResponsible marketing and advertisingImpacts,risks and opportunitiesCreate the beautyBEAUTY FOR EACHLOral aims to offer women and men around the world the best in cosmetics in terms of quality,effectiveness,safety,sincerity and responsibility in order to meet al

115、l their needs and all their beauty wishes in their infinite diversity.(see chapter 4 and section 1.1.6)(see section 1.1.3.)Our StrategyOur StrengthsOur Sense of Purpose(raison dtre)The Beauty Industry(see double materiality assessment in section 4.1.3)1.3Value-creating model1.3.1Business model(1)(1)

116、This paragraph incorporates by reference the information required by the CSRD(ESRS 2 SBM-1)for the sustainability report(section 4.1).CSRDLORAL UNIVERSAL REGISTRATION DOCUMENT 2024261Presentation of the Group Integrated ReportValue-creating modelLORAL UNIVERSAL REGISTRATION DOCUMENT 2024271Presentat

117、ion of the Group Integrated ReportValue-creating modelECONOMIC AND CORPORATE EXCELLENCEto create sustainable value for allthat moves the world6 DRIVERSTRANSFORMING OUR BUSINESSCONTRIBUTING TO GLOBAL CHALLENGESSustainability commitmentsResearch&Innovation and the Green Sciences programmeOperation

118、al and safety excellenceCreativity at the service of our brandsDigital and Beauty TechMulti-channel distributionEMPOWERING OUR ECOSYSTEM IN OUR TRANSFORMATION(see section 1.4.2.)(see section 4.5.3.1.2)Our Dual ObjectiveOur StrategicDriversEmployees 45,000 employees out of more than 90,000areLOral sh

119、areholders 25,000 job opportunities created for young people under 30 each yearScientific community and start-ups 1.3bn invested in Research&Innovation More than 20 minority investments made by BOLD over the beauty value chain including brands,tech,platforms and biotechSuppliers 50 million inves

120、ted intheSolstice debt fund,co-created with Chenavari to support the decarbonisation of industrial suppliers 49%of plastic packaging refillable,reusable,recyclable or compostable in 2024Customers and distributors Partnerships with customers and distributors as part of the Green Joint Business Plans

121、to encourage more sustainable consumption habits,for example using refillable products and the decarbonisation of product transportation.Creating value for our stakeholders66%of our ingredients in formulas are biobased,derived from abundant minerals or from circular processes97%achievement of renewa

122、ble energy at operated sites(3)37%of plastic packaging is from recycled or biobased sources.53%of the water used in our industrial processes is from recycled and reused sourcesPerformance of the LOral for the Future programme in 2024(See SECTION 1.4.2)(1)This paragraph incorporates by reference the

123、disclosures required by the CSRD(ESRS 2 SMB-1)for the Sustainability Report(see sections 4.1 and 4.1.3.3).(2)COMvergence ranking.(3)Operated sites,excluding safety and security facilities.694 patents filed in 2024 1,354m in 2024 expenditure(3%of sales)21 cosmetics research centres,13 assessment cent

124、res,1 advanced research centre More than 4,200 employees in the Research team In 1989,end of animal testing for finished products Development of predictive method with the production of reconstructed skin 1,147 social audits were conducted in 2024 75%of the number of newly listed raw materials are r

125、enewable or derived from abundant minerals 36 factories worldwide In 2024,100%of the Groups plants were ISO 9001 certified and 100%were ISO 22716 certified(seesection 1.3.5.)Research,Innovation and TechnologyDesign SourcingFactories and logistics hubsValue chain1.3.2Value chain (1)CSRDLORAL UNIVERSA

126、L REGISTRATION DOCUMENT 2024281Presentation of the Group Integrated ReportValue-creating modelSUPPORTED BY THE FUNCTIONAL DEPARTMENTS providing the essence of the Groups strength FINANCE AND LEGALFinancial policy,investments,management,financial communication,M&A,consolidation,legal,tax and data

127、 governance and analytics HUMAN RELATIONSRecruitment,development and social innovation(including social dialogue)CORPORATE AFFAIRS AND ENGAGEMENTCorporate communications,public affairs and coordination of brand communicationsCORPORATE SOCIAL RESPONSIBILITY Sustainable development with the LOral for

128、the Future programme,sponsorship and the LOral Corporate FoundationETHICS,RISK AND COMPLIANCE Code of Ethics available in30 languages,and as anaudiobook in French andEnglishInternal control andcomplianceConsumers Over 7 billion products distributed in more than 150countries Member of the EcoBeautySc

129、ore consortium which creates a common display system to provide consumers with a clear,transparent and comparable assessment of cosmetic products environmental impact.Consumers and planetPublic authoritiesShareholders and investors CDP AAA rating for the 9thconsecutive year for initiatives to combat

130、 climate change,protect forests and ensure sustainable water management More than 4.5 million people benefiting from the Groups brands social commitment programs 2.8bn taxes and duties paid to governments and local authorities in 2024 6.6%annual shareholder return over the past 5years A dividend tha

131、t has never declined in over 60 years LOral is part ofthe CAC 40 IndexCreating value for our stakeholders92%of ingredients in formulas and biobased packaging materials are traceable and come from sustainable sources76%of the waste generated on industrial sites is reused or recycled49%of plastic pack

132、aging is refillable,reusable,recyclable or compostablePerformance of the LOral for the Future programme in 2024(See SECTION 1.4.2)Digital and marketingDistribution channelsUse and end-of-life of productsValue chain 37 international brands 78.6%of our media investments are digital 4th largest adverti

133、ser worldwide,across all industries(2)Responsible communication commitment:Member of the Unstereotype Alliance LOrals Influencer Value Charter All the Groups brands committed to diversity,equity and inclusion More than 7 billion products distributed 158distribution centres The 3“R”s approach to the

134、eco-design of packaging:Reduce packaging intensity;Replace with materials with a better environmental footprint;Recycle by creating packaging that will contribute to the circular economy(see section 7.5)LORAL UNIVERSAL REGISTRATION DOCUMENT 2024291Presentation of the Group Integrated ReportValue-cre

135、ating model1.3.3Ongoing transformation to meet new aspirationsWith 43.48 billion in net sales and more than 90,000employees in 2024,LOral is the worldwide leader in beauty.Because the beauty market is a growing market with a focuson the future,the Group is,now more than ever,in a positionto seize al

136、l opportunities,strengthen its leadership and ensuretomorrows success.Building on a long-term vision,with aclear strategy,LOral continues its development by relying onits fundamental assets and transforming itself to respond tothe new aspirations of consumers,employees and society,tobecome the compa

137、ny of the future.Transition towards a more sustainable operating modelThrough LOral for the Future,the Group has given itselfseveral sustainability ambitions,including(i)reducing itscarbon emissions to achieve 100%renewable energy(1)use atoperated sites,(ii)in terms of the reuse and recycling of wat

138、erin its industrial processes and(iii)in terms of product design(formulas and packaging)through bio-sourcing and circulareconomy processes.The short-and long-term decarbonisationpathway with targets for 2030 and 2050 was validated in April2024 by the SBTi.On the social front,LOral aims to ensure tha

139、t its strategicsuppliers pay their administrative staff a decent living wageand adopts policies to help people from disadvantagedcommunities to access employment.The Group has alsocommitted,on the one hand,to supporting women invulnerable situations with a charitable endowment fund of50 million,and

140、secondly,to investing 100 million in twoinvestment funds dedicated to the circular economy and theregeneration of ecosystems,as well as 15 million via theLOral Climate Emergency Fund to increase the resilience ofvulnerable communities in the face of climate disasters.In2021,LOral co-founded the EcoB

141、eautyScore(2)consortium,which now brings together more than 70 players cosmeticsindustry stakeholders.Its aim is to devise an environmentalimpact assessment and scoring system for cosmetic productsto enable consumers to make more informed and sustainablechoices.In November 2024,LOral and ChenavariIn

142、vestment Managers announced the launch of Solstice,adebt fund designed to enable industrial suppliers to acceleratethe decarbonisation of major industrial projects.Transformation of LOrals formulation towards Green Sciences,to combine performance andsustainability Drawing on the expertise of its res

143、earchers and the uniqueecosystem that LOral has created through exclusivepartnerships with start-ups,research institutes and suppliersaround the world,the Group works at the intersection ofscience and nature to create high value-added ingredientsderived from Green Science(see section 1.3.4).Threeinn

144、ovative partnerships illustrate this:The Groups Green Sciences incubator has identified theInterstellar Lab start-up.This Franco-American company istransforming agricultural practices with AI-controlledautonomous biofarms.This method has the potential tooptimise and accelerate the production of ingr

145、edients ofinterest,even in constrained environments,to enrichLOrals supply of high-quality ingredients.LOral is also continuing its partnership with Frenchcompany Microphyt,which is revolutionising the productionof micro-algae using a low-carbon fermentation process,with five beauty ingredients alre

146、ady selected with Microphytfor future industrial production.In 2024,LOral entered into a three-way agreement withAbolis Biotechnologies and Evonik to enable the discovery,development and manufacture of innovative andsustainable ingredients for beauty products and beyond.Transformation to Beauty Tech

147、 to invent thebeauty of the futureTechnology is the future of beauty because of thephenomenal breakthroughs in artificial intelligence,robotics,the Internet of Things,3D printing,nanotechnology,biotechnology etc.,which make it possible to expand LOralsoffering,satisfy all consumer expectations and o

148、ffer anexperience that goes beyond products.(1)At sites operated by the Group,excluding site safety and security equipment.(2)Known as the EcoBeautyScore Association as of November 2024.LORAL UNIVERSAL REGISTRATION DOCUMENT 2024301Presentation of the Group Integrated ReportValue-creating modelLOral,

149、which is already a digital-first company,decided to bethe pioneer,champion and leader of Beauty Tech in all itsareas of application.Beauty Tech is the seamless fusion ofbeauty and cutting-edge technology,catalysing innovativechanges in the beauty industry and elevating customerengagement thanks to u

150、nparalleled and enhanced beautyexperiences.By building up state-of-the-art,secure IT,itsleadership in Beauty Tech and its expertise in artificialintelligence and data will enable LOral to be a data-drivencompany for all its activities and functions.The ongoingtransformation of Operations towards gre

151、ater agility isintegral to the Groups ambition to become a world leader inBeauty Tech.Digital technology is fully integrated in the business,in allbrands,jobs and countries.It is based on a solid network ofalmost 8,000 digital/tech/data experts,and a wealth ofinhouse know-how.Digital has boosted LOr

152、als strengthstenfold and represents a booster of opportunities and growth.It enhances the power of brands and products,enriches theconnection with consumers and creates experiences,newservices and personalisation.Artificial intelligence is driving the Beauty Techtransformation in three main areas:de

153、ployment of strategicuse cases,data governance,and the deployment of a globaltechnological platform to consolidate the Groups data.Services and applications are developed in accordance withthe Groups Responsible Framework for TrustworthyAI.Employees are coached in the use of artificial intelligencet

154、ools.E-commerce is an additional source of business,and a growthaccelerator because it means we can reach new consumerswherever there is no existing distribution network.Theproportion of the Groups net sales represented by e-commerce multiplied by nearly six between 2015 and 2024(5%to 28%(1),with gr

155、owth in all Zones and Divisions.Thismeans strengthening its industrial flexibility,adapting itssupply chain in an omnichannel approach and redesigningthe downstream value chain immediately.Beauty Tech will ensure that beauty for all evolves into beautyfor each.To achieve this,LOral has a unique stre

156、ngth:beingthe only company that can combine 115 years of scientificbeauty expertise and knowledge of our consumers withcutting-edge digital excellence.Transformation of work:reinventing thefuture of work while strengthening theLOral cultureThe Groups human and social project revolves around onevisio

157、n:to offer its employees an inspiring,inclusive andinnovative working environment,which places human beingsat the heart of each of its decisions.All across the globe,the working world has undergoneprofound changes as a result of the Covid-19 health crisis,particularly with remote working becoming mo

158、re widespread,a phenomenon that employees now want in their everydaylives,as well as a key factor in the appeal of an employer.Inthis new hybrid working environment,LOral has opted forbalanced and flexible solutions between on-site and remoteworking to preserve and promote opportunities for exchange

159、,cooperation and creativity.Since 2016,LOral has rolled outthe Simplicity programme,renewed in early 2023(Simplicity2),the aim of which is to transform ways of working to meet newexpectations on the part of employees(fulfilment,dialogue,cross-functionality)while adapting to the performancerequiremen

160、ts of a constantly changing world and alsoenabling them to devote time to what matters most.Furthermore,in a context of accelerated digitalisation ofconsumption,production,distribution and communicationmethods,the Group anticipated the global impact thesetransformations will have on its structure by

161、 continuing todevelop its employees skills in these areas,as well as byrecruiting new expertise,particularly in the field of technology.Thanks to its various actions,LOral is eighth in theworldwide ranking of most attractive employers to futurebusiness school graduates(2).This makes the Group the be

162、st-ranked company in Europe.Ongoing structural transformation torationalise and identify synergies In spring 2020,LOral launched an initiative entitled NEXT tosimplify its structures with a view to a post-Covid world.Thiswork involves simplifying the organisation by creating internalshared service c

163、entres and geographic areas,reviewing thebrand portfolio of each Division on an annual basis,andfinally,simplifying the number of products in each brandscatalogue to reduce complex manufacturing and research.1.3.4Research&Innovation:responsible,inclusive innovation,incomplete safetyThe cosmetics

164、 market is driven by supply and innovation.LOrals success is fed by its permanent obsession forresponsible innovation,which feeds into its performance in allits forms.With more than 4,200 researchers and spending ofapproximately 3%of net sales,LOral has the top R&I forcein the cosmetics industry

165、.This is indisputably a competitiveedge,with a level of expertise and a wealth of unique scientificand technical data.The fundamental values that inspire theGroups lab each day are the performance,efficiency,secureapplication and use of ingredients,the superior quality of theproducts and the sinceri

166、ty of their claims.(1)Sales achieved on our brands websites and with e-commerce pure players+estimated net sales achieved by our brands corresponding to sales through ourdistributors websites(non-audited data).(2)Universum ranking.LORAL UNIVERSAL REGISTRATION DOCUMENT 2024311Presentation of the Grou

167、p Integrated ReportValue-creating modelFrom upstream to downstream Advanced Research teams create,develop and source rawmaterials,drawing on the knowledge of skin and hair fromaround the world.The Application Domains teams developformula architectures that improve the performance of activeingredient

168、s.The Development Laboratories create innovativeformulas with a proven superiority for each brand.Thisinnovation model is nurtured by a constant dialogue betweenthe laboratories and marketing to respond to theexpectations of consumers,supporting them with the latestscientific and technological break

169、throughs.Research facilities around the worldIn order to adapt to consumer expectations worldwide,LOrals Research teams work in 21 cosmetics researchcentres and 13 assessment centres.The research centres aregrouped into three global centres in France and 6 regionalhubs(1)that identify consumer needs

170、 and study their beautyregimes.R&I teams build on this rich seam of local scientificecosystems to develop collaboration agreements andpartnerships of excellence.The data generated enablesresearchers to develop new beauty products or experiences,that are in tune with market needs and local expect

171、ations.R&I:A VAST ECOSYSTEM OPEN TO THE WORLDGroup laboratories established around the worldResearch andInnovation expenses(millions)ResearchheadcountNumber ofpatents filed20221,1394,22256120231,2884,19461020241,3544,271694(1)Global centres in France:Advanced Research,Haircare and Cosmetics.Regi

172、onal hubs:Japan,US,China,India,South Africa and Brazil.R&IInternallaboratoriesUniversitiesResearchInstitutions SuppliersStart-ups6Regionalhubs3Globalcentres(France)21Researchcentres13EvaluationcentresLORAL UNIVERSAL REGISTRATION DOCUMENT 2024321Presentation of the Group Integrated ReportValue-cr

173、eating modelGreen Sciences for more efficient andsustainable beauty Green Sciences cover all the scientific fields on which R&Irelies to achieve LOrals objectives in terms of thepreservation of natural resources and biodiversity.Sustainable cultivation,biotechnologies and fermentation,green chem

174、istry and green extraction are completelyupending the way we approach and“do”science.Drawing onthe expertise of its researchers and global innovationecosystem,the Group works at the intersection of science andnature to create ingredients with high added value.In early 2024,LOral announced that it wa

175、s joining forceswith the NUS Environmental Research Institute(University ofSingapore)to research soil microbes.The initiative aims tofind new ways to boost soil health and increase plant yieldwithout needing more land or relying on chemical fertilisers.Lactobio,a Danish company specialising in probi

176、otic andmicrobiome research,joined LOrals laboratories followingits acquisition at the end of 2023,enabling the Group toreinforce two decades of research in this field.Newformulations based on probiotics and postbiotics are beingdeveloped to create a generation of cosmetics using targetedbacterial b

177、iotechnology.Lastly,the exclusive partnership entered into by the Groupwith Cosmo International Fragrances is consistent withLOrals quest to create exquisite fragrances for consumersthat are ever closer to the unique scents of the natural world.This partnership gives LOral access to Osmobloom,awater

178、less,low-energy,slow extraction process that capturesand reveals the olfactive power of flowers in an authenticway.This Green Sciences extraction process opens the doorto new creative opportunities for the Groups fragrance-makers.Tuberose extract,the first extract obtained usingOsmobloom,is one of t

179、he ingredients of Valentino Beautysnew fragrance,Private Talk.Innovation at the heart of the business modelMelasyl,a major advance for all skin coloursLOral is committed to making beauty more inclusive andaccessible,for example with the launch of Melasyl,abreakthrough molecule designed to address lo

180、calisedpigmentation problems leading to dark spots and acne scars.The result of 18 years of research in the Groups laboratories,Melasyl acts preventively by capturing melanin precursorsbefore they are transformed into coloured pigments.Validatedby more than 121 scientific studies,Melasyl has proved

181、effectivein treating localised pigmentation problems for all skin colours.La Roche-Posay,drawing on its dermatological expertise,hasincorporated Melasyl into its MelaB3 range,which has beenlaunched in almost 40 countries.The combination of serum andSPF30 treatment helps to correct dark spots,while p

182、rotectingthe skin from UV rays an aggravating factor inhyperpigmentation.The product offers a comprehensive,effective solution for affected consumers,particularly in theSAPMENA region,where hyperpigmentation is a major concern.True to its commitment to democratising beauty,in 2024LOral Paris launche

183、d Glycolic Bright.This new rangecombines the effectiveness of Melasyl with glycolic acid andniacinamide for synergistic action on complexion radiance.Initially rolled out in emerging countries in 2024,the productillustrates LOral Paris commitment to effective andaccessible beauty for all.Inclusivity

184、 at each stage of LOrals innovation modelCurly hair:the future of inclusive innovationBy 2030,around 40%of consumers will have curly,kinky orfrizzy hair.LOral is committed to the research anddevelopment of inclusive hair products that meet all hair typesand needs,with specific ranges for curly hair.

185、A study of 2,500 people in 22 countries resulted in thecreation of a new eight-category curl classification scale andunderlined the importance of hydration and weekly washing.The development of the first 3D visualisation of a knot by ourscientists also facilitates the development of more effectivede

186、tangling products.Thanks to its scientific and technological prowess,the Groupdevelops innovative solutions to meet the specific needs ofcurly hair.Capitalising on this expertise,Acidic Bonding Curl waslaunched by Redken in 2024,the first silicone-and sulphate-free bonding treatment designed for cur

187、ly hair.Its patentedDES CURLS technology repairs,hydrates and strengthensfragile curls.This innovative product is set to be rolled outworldwide,confirming LOrals commitment to more inclusivebeauty accessible to all.Reconstructed skin:a responsible and shared scienceTo create the beauty that moves th

188、e world,the Groupshares its technological and scientific advances with otherplayers in our industry and beyond.Our expertise inreconstructed skin is a good illustration of this.Unveiled in 2024,the Skin Technology by LOral platformcombines biology,mechanics and electronics to createbioprinted and in

189、clusive skin models.Capable of reproducingthe complexity of human skin and its biological processes,such as tanning and healing,these models broaden the rangeof tests available for our products.This key innovationreinforces LOrals long-standing commitment in placesince 1989 to beauty without animal

190、testing.We aretherefore raising the standards of testing in the industry,whilegiving healthcare operators,start-ups and research institutesthe benefit of our expertise.LOral also puts its fundamental research at the service ofpublic health,by collaborating with leading institutions such asPercy Hosp

191、ital(France)and the University of Oregon(US).Our partnership with the latter has enabled us to develop anartificial skin model closely resembling natural human skinusing rapid 3D bioprinting technology,accelerating researchinto treatments for serious skin lesions.LOrals commitment to value sharing i

192、s also reflected in thepartnership with Bakar Labs,UC Berkeleys biotech incubator.This partnership gives start-ups free access to ourreconstructed skin models,encouraging open innovation andaccelerating research to forge a more responsible beautyindustry.LORAL UNIVERSAL REGISTRATION DOCUMENT 2024331

193、Presentation of the Group Integrated ReportValue-creating model1.3.5Operations:a key driver of the Groups growthLOrals Operations teams create innovative,inclusive andsustainable beauty in collaboration with their partners.Theyharness the power of technology and strive for excellence todesign,develo

194、p,supply,produce and distribute products andservices worldwide.Consumers are at the heart of thedecisions made by the Operations teams,which seek the mostagile and effective solutions,and guarantee compliance withstrict standards on quality,safety and CSR across the globe.Expertise and responsivenes

195、s to drive growthBuilding on years of operational excellence,the expertise andcommitment of the Operations teams have boosted theGroups growth.In a volatile and challenging global context,they have demonstrated their responsiveness and resilience,while pursuing their digital,sustainable and innovati

196、vetransformation.LOrals industrial activities are at thecutting edge of technology,reinforcing its agility across thevalue chain to meet market challenges.Thanks to science and technology,the Operations teams isconstantly innovating to enhance the personalisation,agilityand traceability expected by

197、consumers.Digitalisation is amajor lever for simplification,ergonomics and real-timeaccess to information.Quality and safety:a priorityOffering consumers the highest quality product is an absolutepriority.Over several decades,LOral has set up a single,global and structured quality and safety managem

198、ent systemthat applies to all its plants and subsidiaries worldwide.Detailed information is provided in section 4.10.This unique system guarantees manufacturing excellence andthe products quality with the same high standards applicableeverywhere in the world.100%of the Groups plants arecertified to

199、ISO 22716(1)and ISO 9001(2).The ongoing qualityimprovement process resulted in a low rate of consumercomplaints in 2024:100 complaints per million products sold.Employee safety is central to the LOral model:in 2024,theSafety Management System,which applies to the Groupsteams and all administrative s

200、ites,laboratories,plants,distribution centres and shops,was again recognised byRoSPA(3).At the centre of design and development is innovation in responsible packagingThanks to the science of materials and design,in order toprovide the best consumer experience and productperformance,packaging is a ke

201、y differentiating factor for theproduct and of its perceived value-creation by consumers.The LOral teams,distributed over five Packaging Hubsaround the world,specialise in design,consumer experience,innovation and product development.They rely on theexpertise of laboratories dedicated to materials a

202、ndpackaging to create cutting-edge innovations.LOral filed 74patents for packaging in 2024.Since 2007,LOral has adopted an eco-design process for itspackaging based on the 3Rs:Reduce packaging volumes andtherefore resource use;Replace materials and processes withothers that have a better environment

203、al footprint(renewable,post-consumer recycled,lower carbon impact processes,etc.);and Recycle by creating packaging that contributes to thecircular economy.A purchasing programme that combines economic,environmental and social valueTo accompany the Groups growth,Purchasing teams selectsuppliers with

204、 the best economic,environmental and socialperformance in accordance with LOrals responsiblepurchasing policy.Supplier performance is monitored thanksto precise indicators relating to respect for human rights,environment,business ethics and diversity,equity andinclusion,and to their ability to innov

205、ate and meet the Groupsrequirements in terms of quality,agility,service andcompetitiveness.LOral builds solid relationships with its suppliers to ensurethat it sources products and ingredients responsibly,and toguarantee the flexibility,reliability and traceability of itssupply networks.These long-t

206、erm supplier partnerships play akey role in the Groups ability to secure the volume and priceof its raw materials supplies.1,147 audits were carried out in2024,meaning 4,470 since 2021.Since 2010,LOral has chosen to work with suppliers thathave an inclusive approach,in order to provide access toempl

207、oyment for people from economically or sociallydisadvantaged communities.At the end of 2024,more than106,000 people had been able to access employment viaLOrals worldwide Inclusive Sourcing programme.(1)Good manufacturing practices.(2)Quality management systems.(3)Royal Society for the Prevention of

208、 Accidents.ReduceAt the end of 2024,LOral reduced the intensity of packaging used for its products by 11%compared with 2019.ReplaceAt the end of 2024,37%of the plastics used in the Groups packaging came from either recycled or biobased sources.RecycleAt the end of 2024,49%of plastic packaging was re

209、fillable,reusable,recyclable or compostable.LORAL UNIVERSAL REGISTRATION DOCUMENT 2024341Presentation of the Group Integrated ReportValue-creating modelManufacturing performance that relies on a global system combining responsiveness withoperational excellenceLOral has 36 high-tech facilities around

210、 the world,locatedclose to its markets.This network,which uses the mostadvanced technologies-robotisation,automation,cobotics(collaborative robotics)-is constantly evolving toaccommodate the growth of the Group,incorporateacquisitions,embrace external innovations and adapt to rapidchanges in the bea

211、uty market.It is supported by a network ofsubcontracting partners to deal with cyclical peaks in demand.The Groups manufacturing organisation is based onspecialisation by technology(1)to maximise best practices,increase agility,improve productivity and optimiseinvestments.Significant investments hav

212、e been made to bring together theGroups expertise in Manufacture du Parfum(Aulnay-sous-Bois and Gauchy plants in France),which produces LOralLuxe fragrances,demonstrating the Groups agility andexpertise in French-style luxury,and the territorialconnection of its manufacturing base.The Operations tea

213、msalso coordinated the overhaul of the global skincaremanufacturing capacity,with major skincare and make-upprojects in the United States,Latin America,North Asia andEurope(France),in response to growth in these categories.MANUFACTURING FOOTPRINT BY GEOGRAPHIC ZONEThe Groups Operational Excellence S

214、ystem,deployed in all its plants,is based on the commitment of all Operations employees toguarantee safety,health,quality,product availability,productivity,ergonomics and environmental impact.(1)Haircare,skincare,makeup,perfumes,hygiene products etc.Incl.France54243EuropeSAPMENASub-SaharanAfricaLati

215、nAmericaNorthAmericaNorthAsia111836 factories in the worldLORAL UNIVERSAL REGISTRATION DOCUMENT 2024351Presentation of the Group Integrated ReportValue-creating modelAt the heart of production:environmental protectionThe Groups environmental policy aims to roll out best practices in sustainable prod

216、uction so as to limit the direct impact of theGroups business activities on the environment,and to preserve biodiversity and resources:energy efficiency,use of renewableenergy,optimisation of water withdrawals and reuse,reduction of waste generation etc.In 2024,LOral continued to prioritiseprogramme

217、s designed to reduce its environmental footprint(1).SINCE 2019At the end of 2024,97%of the energy consumed by theGroups sites was from renewable sources(2).53%of the waterused in the Groups manufacturing processes is recycled andreused.LOrals 25-year+commitment to environmental leadershiphas been re

218、cognised since 2016 with an AAA score fromCDP(3),its highest possible rating.LOral is the only companyin the world,out of more than 24,000 companies assessed,toscore AAA for the ninth consecutive year,in recognition of itscommitment and results in addressing climate change,protecting forests and saf

219、eguarding water resources.A responsible,omnichannel supply chain strategy LOrals supply chain teams aim to satisfy all its customersand consumers,in particular by optimising the delivery ofmore than seven billion products and effectively managinglead times and costs.The teams responsiveness in 2024s

220、upported the Groups growth in a volatile market.Managinga portfolio of many different product categories and a uniquediversity of channels,LOral optimises information andphysical goods flows,gaining agility to respond to fluctuationsin market conditions in real time.Digitalisation and data managemen

221、t are crucial,particularlyfor the retail trade and LOrals directly-managed stores,asthey improve understanding of the purchasing journey.TheGroups supply chain network of more than 158 hubs,currentlybeing transformed into automated,data-driven fulfilmentcentres(4),ensures agile coverage of requireme

222、nts,anexpanded range of services(personalisation,box preparation,bespoke delivery)and enhanced traceability.One example isthe new intelligent fulfilment centre in Suzhou,China,inaugurated in 2024.Lastly,LOral is also working with its carriers to develop low-carbon multi-modal solutions to reduce its

223、 environmentalfootprint.Global economic performance at the service of the brands and the commercial entitiesIn a climate of short and long-term global tension,theOperations teams play a key economic role for all brands andmarkets,which has an impact on the overall cost of productsand their distribut

224、ion.Economic optimisation efforts led by Operations involve trackingthe total landed cost,i.e.,the final full cost of a product,whichincludes the cost of packaging and raw materials,the valueadded by the plants and all supply chain costs.COMMITMENT TO INVEST IN OPERATIONS(Production and supply chain

225、 commitments in millions)PRODUCTION AND NET SALES OF THE OPERATIONAL DIVISIONS BY GEOGRAPHIC ZONE IN 2024:PRODUCTION CLOSE TO ITS MARKETS(1)Continuation of renewable energy projects around the world(e.g.,start-up of two new treatment plants in France).(2)Operated sites,excluding safety and security

226、equipment.(3)CDP is an independent NGO which offers a global system for the measurement and publication of environmental information and which assesses the strategy,closeinvolvement and results obtained by companies in the fight against climate change,sustainable water management and forest protecti

227、on.(4)Distribution centres specially adapted for e-commerce distribution,where packages sent directly to consumers are prepared.of CO2emissions(Scopes 1&2,based on GHG Protocol in absolute terms)-51%of waste on industrial siteshas been reused or recycled(material recovery)76%39037720222023202440

228、911.9%7.6%8.8%23.7%11.7%8.9%LATINAMERICANORTHASIA50.0%32.7%17.6%27.1%EUROPENORTHAMERICASAPMENA-SSAProductionSalesLORAL UNIVERSAL REGISTRATION DOCUMENT 2024361Presentation of the Group Integrated ReportValue-creating model1.3.6Internal control and risk management systemThe Group operates in a constan

229、tly changing environment.Like any company,LOral is necessarily exposed to riskswhich,if they were to materialise,could have a negativeimpact on its business activities,its financial position and itsassets,particularly in terms of reputation and image.In order to ensure the sustainability of its deve

230、lopment andthe achievement of its objectives,the Group strives toanticipate and manage the risks to which it is exposed in itsdifferent areas of activity.LOrals risk management consists of identifying,assessingand controlling risks that may affect the smooth running of theCompany.It also participate

231、s in the Groups development bypromoting the good use of resources to minimise the impact ofnegative events and maximise the realisation of opportunities.By contributing to preventing and managing the risks to whichthe Group is exposed,the purpose of the Internal Control systemis to enable the Groups

232、 manufacturing and economicdevelopment to take place in a steady and sustainable manner ina control environment appropriate for the Groups businesses.Internal Control is a system that applies to the Company andits consolidated subsidiaries and aims at ensuring that:economic and financial targets are

233、 achieved in compliancewith the laws and regulations in force and the GroupsEthical Principles and standards;the orientations set by General Management are followed;the Groups assets and reputation are valued andprotected;andthe Groups financial and accounting information is reliableand provides tru

234、e and fair statements.The control environment,which is critical to the InternalControl system,good risk management and the application ofprocedures,is based on behaviour,the organisationalstructure and employees.At LOral,it forms part of a cultureof rigour and commitment communicated by seniormanage

235、ment and in line with the Groups strategic choices.Risk management and Internal Control is everyones business,from the governance bodies to all employees.The Internal Control system is the subject of ongoingsupervision in order to verify whether it is relevant and meetsthe Groups objectives and addr

236、esses its issues.Chapter 3 provides detailed information on identifying andmanaging the most significant risks from the point of view ofinvestment decision-making,within the meaning of theregulations.These risks are listed in the table below.Major risks to which the Group believes it is exposedResid

237、ual importanceBusiness risksGeographic presence and economic and political environment*Information systems and cybersecurity*Health crisis*Reputational crisis managementDataBeauty market and innovationBusiness ethicsDevelopments in sales channels Human resources and organisational riskProduct qualit

238、y and safetySafety of people and property Industrial and environmental risksProduct availability*Climate changeEnvironment and safetyLegal and regulatory risksNon-compliance*Legal disputesIntellectual property:trademarks,designs&models,domain names,patentsFinancial and market risksInflation and

239、currency risk*Financial equity riskRisk relating to the impairment of intangible assets*Most material risks in each category.Residual importance Low Moderate Significant LORAL UNIVERSAL REGISTRATION DOCUMENT 2024371Presentation of the Group Integrated ReportValue-creating model1.42024 Financial Resu

240、lts and Corporate Social Responsibility commitments1.4.12024 resultsCommenting on the figures,Nicolas Hieronimus,CEO ofLOral,said:“We delivered solid,broad-based growth of 5.1%,once againoutperforming the global beauty market.Excluding NorthAsia,where the Chinese ecosystem remained challenging,sales

241、 advanced in high single digits.I am particularly proud ofthe quality of the P&L management as the Group achievedrecord gross and operating margins.At 20%,the latterincreased 20 basis points.On a comparable basis,excludingAsop,our operating margin grew 40 basis points and thatafter a 10 basis po

242、ints increase in our brand fuel.2024 was a defining year as we made LOral future fit andlaid many foundations for our next conquests:weaugmented our marketing and R&I capabilities with AI andtech,advanced with the harmonisation of our IT,simplifiedour organisational structures,and strengthened o

243、urindustrial and supply chain resilience.We also continued tosharpen our portfolio:we acquired the Miu Miu license andKorean brand Dr.G,and took minority stakes in Galdermaand Amouage.This will allow us to go ever faster and further in ourconquest of new beauty spaces:geographic,demographicand highl

244、y promising technologies that offer innovativescience-based beauty solutions to the consumer oftomorrow.In 2025,as we take the first steps in thisconquest,we remain optimistic about the outlook for theglobal beauty market,and confident in our ability to keepoutperforming it and to achieve another ye

245、ar of growth insales and profit.We expect growth to accelerateprogressively,supported by our beauty stimulus plan,whichwill be driven by an exciting pipeline of new launches andcontinued strong brand support.1.4.1.1Overview of the results for 2024Sales:43.48 billion,+5.6%reported and+5.1%like-for-li

246、ke(1).Another year of outperformance in a normalising globalbeauty market.Like-for-like growth in all Divisions with three out of fouroutperforming the market.Like-for-like growth in all regions except North Asia.Growth driven by both value and volume.Record operating margin at 20.0%(+20 bps and+40

247、bpsexcluding Asop).Earnings per share(2):12.66,up+4.8%.Dividend(3):7.00,up+6.1%.Net cash flow:6.6 billion,up+8.6%.Sustainability leader:platinum medal by EcoVadis,whichranked LOral in the global top 1%of companies in terms ofenvironmental and social performance.1.4.1.2Consolidated sales Sales amount

248、ed to 43.48 billion at 31 December 2024,up+5.6%reported.Like-for-like,i.e.,based on a comparable structure andidentical exchange rates,sales grew by+5.1%.The net impact of changes in the scope of consolidation was+1.7%.Growth at constant exchange rates came out at+6.8%.Currency fluctuations had a ne

249、gative impact of-1.2%at theend of 2024.(1)Like-for-like:based on a comparable structure and identical exchange rates.(2)Diluted earnings per share(EPS),based on net profit,excluding non-recurring items,after non-controlling interests.(3)To be proposed at the Annual General Meeting of 29 April 2025LO

250、RAL UNIVERSAL REGISTRATION DOCUMENT 2024381Presentation of the Group Integrated Report2024 Financial Results and Corporate Social Responsibility commitmentsSALES BY DIVISION AND GEOGRAPHIC ZONE millions202220232024%2024 salesChange 2023/2024Like-for-likeReportedfiguresBy DivisionProfessional Product

251、s4,476.84,653.94,886.211.2%+5.3%+5.0%Consumer Products14,021.315,172.715,982.436.8%+5.4%+5.3%LOral Luxe14,638.114,924.015,591.135.9%+2.7%+4.5%Dermatological Beauty5,124.56,432.07,027.116.2%+9.8%+9.3%GROUP TOTAL38,260.641,182.543,486.8100%+5.1%+5.6%By RegionEurope11,436.713,007.814,211.432.7%+8.2%+9.

252、3%North America10,164.011,147.211,805.227.1%+5.5%+5.9%North Asia11,321.410,662.910,303.423.7%-3.2%-3.4%SAPMENA-SSA(1)2,962.43,447.73,863.08.9%+12.3%+12.0%Latin America2,376.22,916.93,303.97.6%+11.0%+13.3%GROUP TOTAL38,260.641,182.543,486.8100%+5.1%+5.6%(1)SAPMENA-SSA South Asia Pacific,Middle East,N

253、orth Africa,Sub-Saharan Africa.Summary by DivisionProfessional ProductsThe Professional Products Division reported robust growth of5.3%like-for-like and 5.0%reported.The Division outperformed the professional beauty market,supported by its strong momentum in premium haircare andits winning omnichann

254、el strategy,with significant accelerationin both e-commerce and selective distribution.Progress was broad-based across all regions from thedeveloped markets of Europe and North America to the newgrowth markets,including China,GCC(1),Brazil and Mexico.Krastase maintained strong double-digit growth,be

255、comingthe Divisions largest brand;LOral Professionnel and Redkendelivered solid performances.By category,haircare remained particularly dynamic,drivenby blockbuster innovations such as Premire by Krastase,Absolut Repair Molecular by LOral Professionnel and AcidicColor gloss by Redken.In hair colour,

256、Shades EQ by Redken,iNOA,as well as DiaColor by LOral Professionnel maintained their performance.The Division pursued its sustainable transition with stronginitiatives in refills and reaffirmed its leading position inBeauty Tech with the launch of AirLight Pro,a revolutionary,less energy-intensive,h

257、air dryer.Consumer ProductsThe Consumer Products Division reported growth of 5.4%like-for-like and 5.3%reported.Momentum was well balanced across volume,price,and mix,as the Division pursued its strategy to democratise andpremiumise the mass beauty market.Each of the four international brands report

258、ed solid growth;the highlight was LOral Paris,which had an outstandingyear.Progress was contrasted by region as strong momentum inEurope and emerging markets more than offset softerperformances in the US and China-both of which wereadversely impacted by weakening market growth.TheDivisions strategic

259、 focus on emerging markets was vindicatedby the strength in countries such as Mexico,Brazil,India,andThailand.All four categories grew,powered by key innovations.Haircare was particularly dynamic,driven by LOral Paris,including its newly launched Elvive Glycolic Gloss.Skincare wasthe second-fastest

260、growing category thanks to GarniersVitamin C Daily UV fluids,LOral Paris Bright Reveal,andthe ongoing strength of mass medical brand Mixa,whichcontinued its European roll-out.Makeup benefitted from theintroduction of LOral Paris blockbuster Panorama mascaraand a strong second-half-weighted launch pl

261、an includingMaybelline New Yorks Teddy Tint and NYX ProfessionalMakeups Butter Melt.In hair colour,the successful rollout ofGarniers premium offer Good was complemented by its mostaccessible launch,Garnier Color Sensation.(1)GCC:(Gulf Cooperation Council):LORAL UNIVERSAL REGISTRATION DOCUMENT 202439

262、1Presentation of the Group Integrated Report2024 Financial Results and Corporate Social Responsibility commitmentsLuxeLOral Luxe grew 2.7%like-for-like,4.5%reported.In 2024,the Division reinforced its worldwide leadership inLuxury Beauty.Its solid progress reflected its increasingly balanced regiona

263、lfootprint.Outside North Asia,it grew at a remarkable,double-digit pace;the single largest growth contributor wasNorth America,where it became the number one luxurybeauty player for the first time,a position it already holds andfurther consolidated in China,Europe and emerging markets.This allowed t

264、he Division to more than offset the ongoingsoftness in North Asia,where operating conditions remainchallenging and where it continued to grow ahead of themarket both offline and online,driven by the successfulexpansion of its couture brands Prada and Valentino recently launched in the region and its

265、 latest acquisitions,Asop and Takami.The Division continued to strengthen the balance between itscategories.In fragrances,outstanding momentum was drivenby global successes in both,the feminine(Paradoxe by Prada,Born in Roma by Valentino,Libre by Yves Saint Laurent)andmasculine segments(Stronger wit

266、h You by Armani,Wantedby Azzaro,Polo 67 by Ralph Lauren,MYSLF by Yves SaintLaurent).Makeup growth accelerated thanks to the ongoingstrength of Yves Saint Laurent in Western markets as well asChina,driven by the YSL Loveshine and Touche Eclat pillars.In skincare,Asop,Takami and Youth to the People pu

267、rsuedtheir globalisation strategy with very encouraging results.Dermatological BeautyThe Dermatological Beauty Division grew 9.8%like-for-like and9.3%reported.For the first time,the Divisions sales crossed the 7-billion-euro mark.It continued to outpace the global dermocosmeticsmarket,which has rema

268、ined dynamic,despite a gradualslowdown.The Division grew in all regions with particularly strongmomentum in emerging markets,notably SAPMENA(1)andEurope;it significantly outperformed the market in North Asiaand grew ahead of it in North America.By brand,growth was led by La Roche-Posay;thanks to the

269、strong contributions from Europe and North America,where ithas taken the baton from CeraVe,and boosted by thetremendous success of Mela B3,it has become the worldsthird largest skincare brand across all channels.Despite its stabilisation in the US,CeraVe crossed the2billion-euro sales mark,driven by

270、 its international expansionwith exceptional performances in new markets-notablySAPMENA,China and Brazil-where it is the Divisionstrailblazer.Bolstered by the dynamism of its Dercos haircare line,Vichycontinued to advance strongly.The aesthetics-related brands,SkinCeuticals and SkinbetterScience,gre

271、w in double digits;SkinCeuticals was boosted bythe promising launch of its disruptive anti-aging innovation P-TIOX.Summary by RegionEuropeSales in Europe advanced strongly at 8.2%like-for-like and9.3%reported.Europe was the largest contributor to growth at Group level.Sales grew ahead of a market th

272、at was dynamic.Theyadvanced in both volume and value terms,even though thevalue component gradually normalised,as anticipated.Sales grew in all countries and the Group outperformed themarket in most markets,especially the Spain-Portugal,UK-Ireland,and Germany-Austria-Switzerland clusters,and manyof

273、the medium-sized countries.The haircare,fragrance and makeup categories posteddouble-digit growth.In Consumer Products,growth was driven by the continuedstrength of LOral Paris,notably in haircare,the makeupbrands Maybelline New York and NYX Professional Makeup,as well as the successful roll-out of

274、mass medical brand Mixa.LOral Luxe advanced strongly,driven primarily by thecouture brands,including Yves Saint Laurent in fragrancesand makeup,as well as Valentino and Prada in fragrances;mens fragrances remained dynamic.Dermatological Beauty outperformed its market.All threeflagship brands recorde

275、d double-digit growth,with CeraVe inthe lead.La Roche-Posay benefited from the successfullaunch of Mela B3 and Vichy continued to grow,stronglyfuelled by the success of Dercos.Professional Products also progressed ahead of its market,driven by the ongoing dynamism of Krastase and successfullaunches

276、from the Redken and Matrix brands.North AmericaSales in North America grew 5.5%like-for-like and 5.9%reported.In the USA,the Groups number one country,growth was drivenby continued channel expansion and valorisation.LOral Luxe outperformed the market,and became No.1 inthe USA,fuelled by the continue

277、d dynamism of the fragrancecategory;key contributors were MYSLF by Yves SaintLaurent,Born in Roma by Valentino,and Prada.Skincaregrowth was driven by Kiehls and Youth to the People,whichbenefitted from a strong launch plan and entry into newonline channels.Consumer Products delivered solid growth in

278、 haircare,whereit outpaced the market,led by LOral Paris.The Division wasadversely impacted by the softness in the makeup category;thanks to the success of Fat Oil and Duck Plump,NYXProfessional Makeup outperformed the market.Dermatological Beauty grew in line with the market,boostedby the accelerat

279、ion in online channels.La Roche-Posaycontinued to advance in double digits,supported by thesuccessful roll-out of Mela B3;the aesthetics-related brandsalso progressed strongly with SkinCeuticals boosted by thelaunch of P-Tiox.Professional Products outperformed the market,driven bysuccessful innovati

280、ons like Premire by Krastase and AcidicColor Gloss by Redken,and the strength of its omni-channelstrategy.The recently launched AirLight Pro hair dryerinnovation is off to a promising start.(1)South Asia Pacific,Middle East,North Africa,Sub-Saharan Africa.LORAL UNIVERSAL REGISTRATION DOCUMENT 202440

281、1Presentation of the Group Integrated Report2024 Financial Results and Corporate Social Responsibility commitmentsNorth AsiaSales in North Asia contracted,-3.2%like-for-like and-3.4%reported.In mainland China,beauty market growth was negative,strongly impacted by the softness in the selective segmen

282、t.Inthis challenging context,LOral demonstrated its resilience,posting a low single digit decline in sales.LOral Luxe,Dermatological Beauty and Professional Products outpacedtheir respective markets;Consumer Products slightlyunderperformed the mass market.In Japan,LOral outperformed a very dynamic m

283、arket.InTravel Retail,given that sell-out continued to be undersignificant pressure,notably in Hainan,focus remained onsecuring healthy inventory levels.In North Asia,Dermatological Beauty posted double-digitgrowth;all brands contributed with a particularly strongperformance from CeraVe.Professional

284、 Products outpacedthe market,boosted by the continued success of Krastase.Given the continued challenges in the Chinese ecosystem,sales in LOral Luxe declined and the Division performed inline with the market;in this context,the couture brandsincluding Yves Saint Laurent,Maison Margiela,Prada andVal

285、entino maintained strong momentum.In ConsumerProducts,LOral Paris sales declined in very low single-digits.In December,LOral announced the acquisition of Dr.G,aleading Korean dermo mass skincare brand.SAPMENA SSASales in SAPMENA-SSA grew 12.3%like-for-like and 12.0%reported.In SAPMENA,growth was bro

286、ad-based with all categoriesand Divisions contributing;it was driven by mix and a positivecontribution from both price and volume.By country,key contributors were the Australia-New Zealandcluster,Thailand,Saudi Arabia,Vietnam,and India.By Division,Dermatological Beauty saw the strongest growth,fuell

287、ed by CeraVes outstanding momentum and La Roche-Posays successful Mela B3;Luxe maintained its double-digitrhythm,powered primarily by Yves Saint Laurent and Prada.The most dynamic categories were fragrances and skincare,the latter driven by Dermatological Beauty and ConsumerProducts.Growth in hairca

288、re,both in mass and professional,was boosted by the continued premiumisation strategy.Online remained a key growth driver,notably in Saudi Arabia,India and South-East Asia.Sub-Saharan Africa(SSA)delivered another record year withall countries and Divisions growing in double digits.Bycategory,momentu

289、m was particularly dynamic in skincare,followed by haircare and fragrances.By Division,key growthcontributors were Consumer Products and LOralDermatological Beauty.Latin AmericaSales in Latin America advanced 11.0%like-for-like and 13.3%reported.Growth was fuelled by well-balanced contributions from

290、 valueand volume.Momentum was broad-based by country,led by Mexico andBrazil-the third and sixth largest contributors to growth atGroup level respectively.Excluding Argentina,which wasnegatively impacted by the economic crisis,sales in the regiongrew+14.7%.By Division,Consumer Products delivered exc

291、eptional growth,with each of the three international brands contributing;Elsve further consolidated its position as the top haircarebrand in Brazil by value.LOral Luxe achieved robust growth,driven by strong performances in Brazil and especiallyMexico,where the market was very dynamic.Haircare remai

292、ned the fastest-growing category across thethree relevant Divisions,followed by makeup and fragrances.Online remained a key growth driver for the region,boostedby the strong performance of pure players.LORAL UNIVERSAL REGISTRATION DOCUMENT 2024411Presentation of the Group Integrated Report2024 Finan

293、cial Results and Corporate Social Responsibility commitments1.4.1.32024 consolidated resultsOperating profitability and consolidated income statement202220232024 millions%sales millions%sales millions%salesSales38,260.6100.0%41,182.5100.0%43,486.8100.0%Cost of sales(10,577.4)27.6%(10,767.0)26.1%(11,

294、227.0)25.8%Gross profit27,683.372.4%30,415.573.9%32,259.874.2%R&I expenses(1,138.6)3.0%(1,288.9)3.1%(1,354.7)3.1%Advertising and promotion(12,059.0)31.5%(13,356.6)32.4%(14,008.9)32.2%Selling,general and administrative expenses(7,028.8)18.4%(7,626.7)18.5%(8,208.7)18.9%OPERATING PROFIT7,456.919.5%

295、8,143.319.8%8,687.520.0%Gross profit amounted to 32,260 million,up+6%comparedto the previous year;as a percentage of sales,it stood at74.2%of sales.This is an increase of+30 basis points year-on-year and+50 basis points on a comparable basis(corrected for conversion and changes in scope).The impactf

296、rom FX was negative at-30 basis points but was more thanoffset by a strong contribution from price effects(+60 basispoints)as well as positive mix effects(+10 basis points)andcost efficiencies(+10 basis points).Research&Innovation expenses totalled 1,355 million,anincrease of+5%year-on-year;as a

297、 percentage of sales,theyremained broadly stable at 3.1%,in line with the long-termtrend.Advertising and promotional expenses amounted to14,009 million,up+5%from the previous year;as apercentage of sales,they stood at 32.2%,-20 basis pointsbelow prior year levels,but up+10 basis points on acomparabl

298、e basis.LOral continues to invest behind itsbrands by increasing investments behind both consumerengagement and shopper experience.Selling,general and administrative expenses totalled8,209 million,an increase of+8%year-on-year;as apercentage of sales,they increased+40 basis points to 18.9%but were s

299、table on a comparable basis,reflecting efficientcost management,including reorganization and restructuringmeasures in several regions.Overall,operating profit increased by+6.7%to 8,687.5million,and amounted to 20%of sales,an improvement of+20 basis points.Operating margins increased+40 basispoints o

300、n a comparable basis.In 2024,each Division reportedan operating margin in excess of 21%.Three Divisionsreported record operating margins.Net profitConsolidated profit and loss accounts:from operating profit to net profit excluding non-recurring items.millions202220232024ChangeOperating profit7,456.9

301、8,143.38,687.52+6.7%Financial revenues and expenses excluding Sanofi dividends(73.0)(113.4)(261.4)Sanofi dividends468.2420.9444.5Profit before tax excluding non-recurring items7,852.18,450.88,870.6+5.0%Income tax excluding non-recurring items(1,793.4)(1,957.8)(2,075.4)Net profit excluding non-recurr

302、ing items of equity consolidated companies+1.5+0.2(1.3)Non-controlling interests(6.1)(6.7)(7.6)Net profit after non-controlling interests excluding non-recurring items6,054.16,486.66,786.3+4.6%EPS(1)(in euros)11.2612.0812.66+4.8%NET PROFIT AFTER NON-CONTROLLING INTERESTS5,706.66,184.06,408.7+3.6%Dil

303、uted earnings per share after non-controlling interests(euros)10.6111.5211.95Diluted average number of shares537,657,548537,021,039536,078,431(1)Diluted earnings per share,based on net profit,excluding non-recurring items,after non-controlling interests.Net finance costs amounted to 261.4 million,co

304、mpared to113 million in 2023,at 0.6%of sales.This is an increase of+30 basis points compared to the prior year,driven by anexceptional one-off cost in Argentina(linked to the repaymentof the intra-group charges)and by costs for bonds issued in2023(financing of the Asop acquisition).Thisitem includes

305、net finance costs of 224.7 million comprised of 373.5million finance costs on gross debt and 148.7 million incomeon cash and cash equivalents.LORAL UNIVERSAL REGISTRATION DOCUMENT 2024421Presentation of the Group Integrated Report2024 Financial Results and Corporate Social Responsibility commitments

306、Sanofi dividends totalled 444.5 million,a+6%increase fromprior year levels(420.9 million).Income tax excluding non-recurrent items amounted to2,075million,an increase of+6%from 2023(1,958million),representing a tax rate of 23.4%,a slight+20 basis pointincrease versus the previous year(23.2%).Net pro

307、fit excluding non-recurring items after non-controllinginterests stood at 6,786 million,up+5%from last year,when net profit excluding non-recurring items after non-controlling interests amounted to 6,487 million.Earnings per share(1),at 12.66,increased by+4.8%.Non-recurring items after non-controlli

308、ng interests(2)amounted to 377.6 million net of tax.They include otherincome and expenses of 438 million,of which primarily 237million of restructuring charges related to variousreorganization measures at Group,divisional and regionallevel,and 100 million related to product liability lawsuits.Net pr

309、ofit after non-controlling interests came out at6,408.7million,increasing by+3.6%.Cash flow statementmillions20242023Change%ChangeNet profit6,416.56,190.5226+3.7%Depreciation,amortisation and provisions1,855.31,715.0140.3Capital gains/losses on disposal of assets,deferred taxes,others23894.1143.9Sha

310、re of profit in associates net of dividends received2.9(0.2)3.1Gross operating margin8,512.67,999.5513.1+6.4%Changes in working capital(226.6)(394.9)168.3Investments(1,641.7)(1,488.7)(153)Operating net cash flow6,644.36,115.9528.4+8.6%Dividends paid(3,614.9)(3,425.6)(189.3)Acquisitions(148.9)(2,497.

311、2)2,348.3Lease debt repayment(474.3)(430.6)(43.7)Acquisitions of treasury stock(497.5)(503.3)5.8Capital increase69.91.568.4Financial investments(1,927.2)(157.8)(1,769.4)Residual cash flow51.4(897.2)948.6Gross operating margin amounted to 8,512.6 million,anincrease of 513.1 million or+6.4%from the pr

312、ior year level of7,999.5 million.Operating net cash flow amounted to 6,644.3 million,anincrease of 528.4 million or+8.6%from the prior year levelof 6,115.9 million,primarily driven by a 513 million(+6.4%)increase in the gross operating margin,linked to a 3.7%rise innet income and a working capital r

313、equirement improvementof 168.3 million.The working capital requirement increased by 227 million 168 million lower than in 2023.This was primarily driven byan improvement in inventories to the tune of 317 million,related to the continued normalisation from the Covid period,which had seen a build-up i

314、n inventory levels,allowing theGroup to fulfil customer demand and maintain production at atime of supply constraints.Trade accounts receivablesincreased by 80 million;trade accounts payable decreasedby 78 million.At 1,641 million,operating investments increased by 153million,or+10%,from prior year

315、levels,due to increasedinvestments notably in industrial production tools and in newsoftware.They stood at 3.8%of sales,+20 basis points aboveprior year levels(3.6%).In 2024,acquisitions and financial investments accounted foran outflow of 2,062.2 million,including an outflow of 148.9million for pur

316、chases of consolidated investments,mainly inthe Luxe Division and LOral Dermatological Beauty Division,and an outflow of 1,913.3 million for financial investments(mainly Galderma).Residual cash flow amounted to 51.4 million compared to-897.2 million in 2023,mainly due to substantial operatingcash fl

317、ow improvement and a favorable impact ofacquisitions.Proposed dividend at the Annual General Meeting of 29 April 2025The Board of Directors has decided to propose a dividend of7.00 per share at the shareholders Annual General Meetingof 29 April 2025,an increase of+6.1%compared with thedividend paid

318、in 2024.The dividend will be paid on7May2025(ex-dividend date 5 May 2025 at 0:00 a.m.,Paristime).(1)Diluted earnings per share,based on net profit,excluding non-recurring items,after non-controlling interests.(2)Non-recurring items include impairment of assets,capital gains and losses on disposals o

319、f long-term assets,restructuring costs and tax effects of non-recurring items.LORAL UNIVERSAL REGISTRATION DOCUMENT 2024431Presentation of the Group Integrated Report2024 Financial Results and Corporate Social Responsibility commitmentsShare capitalAt 31 December 2024,the capital of the company is f

320、ormed by 534,312,021 shares.Operating profit by Division202220232024 millions%sales millions%sales millions%salesBy DivisionProfessional Products953.621.3%1,005.321.6%1,086.222.2%Consumer Products2,774.919.8%3,114.720.5%3,376.421.1%LOral Luxe3,350.422.9%3,331.822.3%3,469.722.3%Dermatological Beauty1

321、,303.025.4%1,670.926.0%1,832.726.1%DIVISIONS TOTAL8,381.921.9%9,122.722.2%9,765.022.5%Non-allocated(1)(925.1)-2.4%(979.4)-2.4%(1,077.5)-2.5%GROUP7,456.919.5%8,143.319.8%8,687.520.0%(1)Non-allocated=Central Group expenses,fundamental research expenses,free grant of shares expenses and miscellaneous i

322、tems.The profitability of the Professional Products Division cameout at 22.2%of sales,up 60 basis points.The profitability of the Consumer Products Division came outat 21.1%of sales,up 60 basis points.The profitability of the Luxe Division came out at 22.3%ofsales,stable compared to 2023.The profita

323、bility of the Dermatological Beauty Division cameout at 26.1%,up 10 basis points.Non-allocated expenses amounted to 1,007.5 million.Sales by business segment millions202220232024Change 2023/2024Like-for-likeReportedfiguresSkincare15,34416,44716,8042.8%2.2%Make-up7,7398,1248,4495.0%4.0%Haircare5,7506

324、,3207,03412.7%11.3%Hair colourants3,3623,4263,4602.3%1.0%Perfumes4,5465,1715,95614.1%15.2%Other(1)1,5201,6951,784-16.6%5.2%TOTAL COSMETICS SALES38,26141,18343,4875.1%5.6%(1)Other includes hygiene products,sales made by American distributors with non-Group brands.LORAL UNIVERSAL REGISTRATION DOCUMENT

325、 2024441Presentation of the Group Integrated Report2024 Financial Results and Corporate Social Responsibility commitmentsCompared consolidated income statements millions202420232022Sales43,486.841,182.538,260.6Cost of sales(11,227.0)(10,767.0)(10,577.4)Gross profit32,259.830,415.527,683.3Research&am

326、p;Innovation expenses(1,354.7)(1,288.9)(1,138.6)Advertising and promotion(14,008.9)(13,356.6)(12,059.0)Selling,general and administrative expenses(8,208.7)(7,626.7)(7,028.8)Operating profit8,687.58,143.37,456.9Other income and expenses(437.7)(449.9)(241.5)Operational profit8,249.87,693.47,215.4Finan

327、ce costs on gross debt(373.4)(226.7)(70.4)Finance income on cash and cash equivalents148.7162.169.8Finance costs,net(224.7)(64.6)(0.6)Other financial income and expenses(36.7)(48.8)(72.3)Sanofi dividends444.5420.9468.2Profit before tax and associates8,432.98,001.07,610.6Income tax(2,015.1)(1,810.6)(

328、1,899.4)Share of profit in associates(1.3)0.21.4Net profit6,416.56,190.55,712.6Attributable to:owners of the company6,408.76,184.05,706.6non-controlling interests7.86.56.0Earnings per share attributable to owners of the company(euros)11.9911.5510.65Diluted earnings per share attributable to owners o

329、f the company(euros)11.9511.5210.61Earnings per share attributable to owners of the company,excluding non-recurring items(euros)12.7012.1111.30Diluted earnings per share attributable to owners of the company,excluding nonrecurring items(euros)12.6612.0811.26Sources and uses of fundsSources6,408.71,8

330、55.3248,6Net profit attributable to owners of the companyAmortisation and provisionsApplications1,641.7226.6Changes in workingcapitalOperating cash flow6,644.3Capital gains or losses on disposals of assets,changes in deferred taxes and otherInvestments in property,plant andequipment and intangible a

331、ssetsGross cash flow:8,512.6LORAL UNIVERSAL REGISTRATION DOCUMENT 2024451Presentation of the Group Integrated Report2024 Financial Results and Corporate Social Responsibility commitmentsFinancial ratios202220232024Operating profit/Sales(as%of sales)19.5%19.8%20.0%Net profit excluding non-recurring i

332、tems attributable to the owners of the Group/Opening shareholders equity(%of shareholders equity)25.8%23.9%23.3%Net gearing(1)(%of shareholders equity)11.2%15.1%13.4%Gross cash flow/Investments5.4x5.4x5.2x(1)Net gearing:(Current and non-current debt-Cash and cash equivalents)/Shareholders equity att

333、ributable to owners of the company.LOral 2019-2024 millions201920202021202220232024ResultsConsolidated sales29,87427,99232,28838,26041,18343,487Operating profit5,5485,2096,1607,4578,1438,687As a percentage of consolidated sales18.6%18.6%19.1%19.5%19.8%20.0%Profit before tax excluding non-recurring items5,8485,4856,4797,8528,4518,871Net profit excluding non-recurring items attributable to the owners of the company4,3574,0994,9386,0546,4876,786Net profit attributable to owners of the company3,7503