Slide 1: Coty CAGNY Presentation
COTY CAGNY PRESENTATION February 19, 2025
Slide 2: Table of Contents
TABLE OF CONTENTS 01. Coty, a best-in-class scenting player with multi-category beauty expertise 02. Strong financial progress Adjusting strategy in step with 03. rapid evolution in global beauty market 04. Well positioned to outperform beauty market and deliver leading TSR 2
Slide 3: Coty, a best-in-class scenting player with multi-category beauty expertise
1 COTY, A BEST-IN-CLASS SCENTING PLAYER WITH MULTI- CATEGORY BEAUTY EXPERTISE 3
Slide 4: Coty is a global beauty leader
COTY IS A GLOBAL BEAUTY LEADER $6.1B >120 8 FY24 NET REVENUES COUNTRIES MANUFACTURING PLANTS $1,091M ~12,000 TOP 2 GLOBALLY IN BOTH FY24 ADJUSTED EBITDA EMPLOYEES FRAGRANCES & MASS COLOR COSMETICS Source: GlobalData (2021) 4
Slide 5: Beautiful brand portfolio reaching consumers across price points
ULTRA-PREMIUM BEAUTIFUL BRAND $150 – 450 PORTFOLIO REACHING CONSUMERS ACROSS PREMIUM + PRICE POINTS $50 – 150 PREMIUM $20 – 100 ALL BRANDS MASS $5 – 20 AT OR BELOW ~10% OF SALES 5
Slide 6: Diversified regional portfolio with significant white space
DIVERSIFIED REGIONAL PORTFOLIO WITH SIGNIFICANT WHITE SPACE FY24 COTY REVENUE MIX NORTH CHINA WESTERN AMERICA (INCL. HAINAN) (INCL. KYLIE) EUROPE 30% 25% 3% 9% EASTERN EU & MEA 17% Global Travel Retail BRAZIL & LATAM APAC 10% 6% 6
Slide 7: Coty's global and scaled manufacturing capabilities
COTY’S GLOBAL & SCALED MANUFACTURING CAPABILITIES 8 MANUFACTURING FACILITIES ACROSS 4 CONTINENTS PRODUCING >1 BN PRODUCTS ANNUALLY ~80% OF PRODUCTS COTY OWNS THE PRODUCED LARGEST FRAGRANCE FACTORY IN-HOUSE IN THE WORLD IN BARCELONA MANUFACTURING LOCATIONS (2 IN US, BRAZIL, CHINA, FRANCE, MONACO, SPA
Slide 8: Our scaled commercial and distribution capabilities
OUR SCALED COMMERCIAL & DISTRIBUTION CAPABILITIES EXTRAORDINARY GLOBAL REACH ACCESS TO120+ >500,000 REGION TAILORED, CLOSE FOCUS ON MARKETS & OVER MULTI-CHANNEL SELL-OUT LEVELS ORDERS DISTRIBUTED 100,000 DOORS ANNUALLY DISTRIBUTION STRATEGIES AND RETAILER INVENTORIES 8
Slide 9: Coty's leading expertise and IP in beauty
COTY’S LEADING EXPERTISE & IP IN BEAUTY COLOR FRAGRANCES COSMETICS SKINCARE 180+ 50+ Active patents & 80+ patent applications, Active patents & patent applications Active patents & patent applications including patent on fragrance longevity Published scientific Years of expertise 85+ studies Years o
Slide 10: Diversified portfolio across price points and categories
DIVERSIFIED PORTFOLIO ACROSS PRICE POINTS & CATEGORIES FY24 REVENUE MIX MASS FRAGRANCES ULTRA-PREMIUM FRAGRANCES BODY CARE 7% 1% PRESTIGE FRAGRANCES 6% CONSUMER BEAUTY 6% NAIL TY U A BE CONSUMER CONSUMER BEAUTY 37% MAKEUP 17% E 63% TIG ES PR 56% 4% PRESTIGE & CONSUMER BEAUTY 3% SKINCARE PRESTIGE COS
Slide 11: Vast majority of portfolio in attractive and growing categories
VAST MAJORITY OF PORTFOLIO PLAYING IN ATTRACTIVE & GROWING CATEGORIES MASS FRAGRANCES: +MSD% IN MID TERM BODY CARE: ULTRA-PREMIUM FRAGRANCES: +LSD-MSD% IN MID TERM +DD% IN MID TERM 7% 1% 6% CONSUMER BEAUTY NAIL: 6% +LSD% IN MID TERM TY U A BE CONSUMER BEAUTY MAKEUP: PRESTIGE FRAGRANCES: CONSUMER 37%
Slide 12: Prestige business drives >60% of sales and >75% of profit
PRESTIGE BUSINESS DRIVES >60% OF SALES & >75% OF PROFIT ACHIEVED CONTINUED PREMIUMIZATION Y UT Y 48% 37% UT EA TY A B U R BE A CONSUME 23% MER BE MER FY19 FY24 ESTIGE FY27 IGE IGE MIX(1) MIX TRAJECTORY SU EST EST U N 77% NS O PR PR PR C O C 52% 63% Revenue Adj. EBITDA Note: (1) Excludes Wella busine
Slide 13: Strong financial progress
2 STRONG FINANCIAL PROGRESS 13
Slide 14: Coty has outperformed global beauty peers in 9 of last 14 quarters
COTY HAS OUTPERFORMED GLOBAL BEAUTY PEERS IN 9 OUT OF LAST 14 QUARTERS 3Q 4Q 1Q 2Q 3Q 4Q Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 LFL Growth CY21 CY21 CY22 CY22 CY22 CY22 CY23 CY23 CY23 CY23 CY24 CY24 CY24 CY24 21% 12% 19% 16% 9% 4% 15% 17% 18% 11% 10% 5% 4.5% -1% Leading Beauty 13% 11% 14% 13% 9% 8% 13% 14% 11% 7%
Slide 15: Strong financial delivery in last 4 years: net revenues and gross margin
STRONG FINANCIAL DELIVERY IN THE LAST 4 YEARS, WITH FY25E GM INLINE WITH ORIGINAL 2021 INVESTOR DAY TARGETS +10% ~Flat LFL % ~65% +5% 64.4% +15% $6.12B 63.9% 63.7% $5.55B $5.30B 60.0% $4.63B FY21 FY22 FY23 FY24 FY25E FY21 FY22 FY23 FY24 FY25E NET REVENUES ADJ GROSS MARGIN Sales are at Actual FX Rate
Slide 16: Strong financial delivery: adjusted EBITDA and EPS
STRONG FINANCIAL DELIVERY IN THE LAST 4 YEARS, WITH FY25E INLINE WITH ORIGINAL 2021 INVESTOR DAY TARGETS +MSD-HSD% +70-90 bps (+9-13% ex. discrete tax benefit in FY24) +30 bps +26% +40 bps 18.5% $0.50 to +36% 17.8% $0.48 to +60 bps 18.7% +460% -- $0.52 -- 17.5% $1,091M $0.38 $1,115M 17.1% -- $0.28 t
Slide 17: >$700M savings delivery over 4 years
>$700M SAVINGS DELIVERY OVER 4 YEARS, WITH SAVINGS STEP UP IN FY25E & FY26E >$330M >$180M >$120M >$115M >$90M FY21 FY22 FY23 FY24 FY25E FY26E SAVINGS 17
Slide 18: Strong and consistent deleveraging path
STRONG AND CONSISTENT DELEVERAGING PATH ~6.8x ~4.7x ~4.1x ~3.3x ~2.9x FY21 FY22 FY23 FY24 CY24 LEVERAGE 18
Slide 19: Coty has significantly improved its debt ratings
COTY HAS SIGNIFICANTLY IMPROVED ITS DEBT RATINGS NOW 1 NOTCH BELOW INVESTMENT GRADE ACROSS ALL RATING AGENCIES 6 5 1 UPGRADES UPGRADES UPGRADES SINCE FY20 SINCE FY20 SINCE FY23* * Fitch Ratings initiated coverage in FY23 19
Slide 20: Adjusting strategy in step with rapid beauty market evolution
3 ADJUSTING STRATEGY IN STEP WITH RAPID BEAUTY MARKET EVOLUTION 20
Slide 21: Beauty remains a very resilient category
BEAUTY REMAINS A VERY RESILIENT CATEGORY 6.0% 4.0% 4.4% 3.6% 3.3% 3.6% 3.4% 2.5% 2.6% 2.5% 2.9% 2.4% 1.9% -7.9% 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 SAMPLE: EUROMONITOR CONSTANT PRICES/FIXED EXCHANGE RATES 21
Slide 22: Key progress and changes since 2021 Coty Investor Day
KEY PROGRESS & CHANGES SINCE 2021 COTY INVESTOR DAY #1 #2 #3 #4 #5 #6 Stabilize and Accelerate Build skincare Build e- Expand in Become a grow consumer luxury portfolio across commerce and China beauty leader beauty makeup fragrances & both divisions direct-to- on luxury and in sustainability brands
Slide 23: Adjusting strategy in step with beauty market evolution
ADJUSTING STRATEGY IN STEP WITH BEAUTY MARKET EVOLUTION Leverage and overdrive our leadership position and best-in-class capabilities in GLOBAL FRAGRANCES to fuel strong expansion, with fragrances already >60% of revenues and an even bigger portion of profits Continue to grow Coty’s footprint and di
Slide 24: Structural tailwinds supporting long-term fragrance category growth
STRUCTURAL TAILWINDS SUPPORTING LONG-TERM FRAGRANCE CATEGORY GROWTH 24
Slide 25: Fragrances remain the fastest growing prestige beauty category
FRAGRANCES REMAIN THE FASTEST GROWING PRESTIGE BEAUTY CATEGORY FY24 GROWTH BY CATEGORY (ENDING JUNE 30, 2024) 13.2% 12.8% 12.0% 10.3% 7.9% 6.5% 5.2% 4.7% 5.1% 3.7% -4.9% Prestige Fragrance Prestige Skincare -9.2% Prestige Makeup Total Prestige Beauty 25 Source: NPD Retail Panel (Selective Distributi
Slide 26: Structural growth drivers: penetration curve in U.S., China and emerging markets
STRUCTURAL GROWTH DRIVERS FOR FRAGRANCES: U.S., CHINA AND EMERGING MARKET’S MOVING UP PENETRATION CURVE >50% HIGH 20S % MSD % Fine fragrance penetration (VS. LOW 20S % ~5 YEARS AGO) Fine fragrance penetration Existing users increasing weekly fragrance usage >20% Among Tier 1 city Gen Z consumers 26
Slide 27: Structural growth drivers: fragrance usage and buying habits increasing
STRUCTURAL GROWTH DRIVERS FOR FRAGRANCES: FRAGRANCE USAGE AND BUYING HABITS INCREASING MORE MORE GEN Z TOTAL U.S. “HEAVY” USERS “HEAVY” USERS 49% of U.S. consumers use fragrances 61% of U.S. Gen Z consumers use fragrances 3+ WEEK TIMES/ up from 47% in CY221 3+ WEEK TIMES/ up from 53% in CY221 Circan
Slide 28: Structural growth drivers: consumers expanding fragrance wardrobe
STRUCTURAL GROWTH DRIVERS FOR FRAGRANCES: CONSUMERS EXPANDING “FRAGRANCE WARDROBE” # OF FRAGRANCES USED ON A REGULAR BASIS GEN X 3.9 UNITS GEN Z 4.2 UNITS NICHE USERS 4.8 UNITS Source: U&A Fine Fragrances USA 2022 / Eternal And Kantar/ UK Kantar Consumers Panel 28 (P12M JUNE 24).
Slide 29: Coty is a global leader in scenting
COTY IS A GLOBAL LEADER IN SCENTING 29
Slide 30: Beautiful scenting portfolio across price points
BEAUTIFUL ULTRA- PREMIUM SCENTING SIGNATURE PORTFOLIO ACROSS PRICE PREMIUM+ POINTS PREMIUM MASS 30
Slide 31: Strengthening the competitive moat for best-in-class fragrance capabilities
COTY STRENGTHENING THE COMPETITIVE MOAT FOR ITS BEST-IN-CLASS FRAGRANCE CAPABILITIES #1 In-house master perfumers #2 Proprietary technologies for compositions and consumer testing #3 Patents for long-lasting fragrances #4 Integration of rare & exclusive ingredients #5 Proprietary methods to prevent
Slide 32: Partner of choice for global beauty brand licensors
WE ARE THE PARTNER OF CHOICE FOR GLOBAL BEAUTY BRAND LICENSORS GLOBAL ROYALTIES AS A % LUXURY HOUSES OF SALES LEADING GLOBAL STRONG BRAND END-TO-END EQUITY GLOBAL BEAUTY CAPABILITIES BRAND RIGHTS 32
Slide 33: Our best-in-class fragrance capabilities
OUR BEST-IN-CLASS FRAGRANCE CAPABILITIES PROVEN, STATE-OF-THE-ART INDUSTRY LEADING MULTI-CATEGORY MANUFACTURING, INTELLECTUAL BEAUTY EXPERTISE, INCLUDING LARGEST PROPERTY, CONSUMER INSIGHTS FRAGRANCE PLANT INCLUDING PATENTS & TESTING IN THE WORLD FOR LONG-LASTING IN KEY MARKETS, PRODUCING FRAGRANCES
Slide 34: Unmatched distribution and end-to-end capabilities
UNMATCHED DISTRIBUTION & END-TO-END CAPABILITIES VERY FEW TRULY GLOBAL LEADING DISTRIBUTION BEAUTY PLAYERS IN & COMMERCIAL CAPABILITIES LICENSING BUSINESS, OWNING WITH ~30 DIRECTLY-MANAGED END-TO-END DEVELOPMENT, MARKETS AND REACHING OVER ACROSS CREATION, R&D, 20,000 DOORS FOR TOP MANUFACTURING AND
Slide 35: Focus on brands with biggest opportunity
COTY CONTINUING TO FOCUS ON BRANDS WITH BIGGEST OPPORTUNITY ORGANIC NEW LICENSE GROWTH CONTRIBUTION ~5% OF SALES NON- RENEWED SOLD LICENSES LICENSES FY18 FY24 License License Revenues Revenues NEW NON-RENEWED SOLD LICENSES LICENSES LICENSES LAUNCHED 1st Full Year 35 Post P&G Transaction
Slide 36: Strengthening portfolio, reducing license duration risk
CONTINUING TO STRENGTHEN PORTFOLIO, REDUCING LICENSE DURATION RISK % OF SALES LICENSES ACCOUNTING FOR Owned License (~3.5 years) ~25% OF PORTFOLIO RENEWED AND EXTENDED IN LAST ~2 YEARS License (6-9 years) HUGO BOSS MARC JACOBS ~86% ADIDAS DAVIDOFF BRUNO BANANI License (10-30 MEXX License years) (Eff
Slide 37: Strengthening portfolio: owned or long-term license
CONTINUING TO STRENGTHEN PORTFOLIO, REDUCING LICENSE DURATION RISK 76% % OF SALES License (~3.5 years) Owned OF THE PORTFOLIO OWNED OR License (6-9 years) UNDER LONG-TERM LICENSE (>10 YEARS OR EFFECTIVELY PERPETUAL) License (10-30 License years) (Effectively Perpetual) Based in FY24 brand sales, exc
Slide 38: Strengthening portfolio: medium term duration
CONTINUING TO STRENGTHEN PORTFOLIO, REDUCING LICENSE DURATION RISK 10% % OF SALES License (~3.5 years) Owned OF PORTFOLIO WITH License (6-9 years) MEDIUM TERM DURATION License (10-30 License years) (Effectively Perpetual) Based in FY24 brand sales, excluding divested & terminated licenses. 38
Slide 39: Strengthening portfolio: short duration
CONTINUING TO STRENGTHEN PORTFOLIO, REDUCING LICENSE DURATION RISK 14% % OF SALES License (~3.5 years) Owned License (6-9 OF PORTFOLIO WITH SHORT years) DURATION (~3.5 YRS) NO SINGLE BRAND LARGER THAN ~10% OF SALES License (10-30 years) License (Effectively Perpetual) Based in FY24 brand sales, excl
Slide 40: FY24: Marc Jacobs license scope expanded to makeup
FY24: MARC JACOBS LICENSE SCOPE EXPANDED TO MAKEUP TARGETING LAUNCH IN CY26 40
Slide 41: FY24: Two Italian luxury licenses added
FY24: TWO ITALIAN LUXURY LICENSES ADDED TARGETING TARGETING LAUNCH IN FY27 LAUNCH IN FY27 41
Slide 42: FY25: Added new license
FY25: ADDED NEW LICENSE TARGETING LAUNCH IN FY27 WITH 2.3K SWAROVSKI POS 42
Slide 43: Discussions underway to add additional licenses
DISCUSSIONS UNDERWAY TO ADD ADDITIONAL LICENSES 43
Slide 44: Targeting >$300M revenue contribution by FY29 from new brands
TARGETING >$300M REVENUE CONTRIBUTION BY FY29 FROM NEW BRANDS 44
Slide 45: Prestige Fragrances
PRESTIGE FRAGRANCES 56% OF FY24 SALES +MSD-HSD% CATEGORY OUTLOOK 45
Slide 46: Global fragrance category growth of MSD-HSD% in medium term
ESTIMATING GLOBAL FRAGRANCE CATEGORY GROWTH OF MSD-HSD % IN THE MEDIUM TERM, LED BY U.S. PRESTIGE FRAGRANCE MARKET GROWTH DRIVERS 1) Premiumization & Pricing GROWTH DRIVERS 2) Penetration increase 1) Premiumization & Pricing 3) Units/user 2) Units/user 3) International tourism 4) Penetration increas
Slide 47: Designer fragrance brands continue to dominate prestige fragrance market
DESIGNER FRAGRANCE BRANDS CONTINUE TO DOMINATE PRESTIGE FRAGRANCE MARKET 2019 2024 TOP 20 BRANDS % of Prestige Fragrance Mkt 62% 63% DESIGNER BRANDS % of Top 20 Sales 88% 89% Designer brands include Burberry, Hugo Boss, Gucci, Chanel, Dior, YSL, Armani, Rabanne, Valentino, Carolina Herrera, Jean Pau
Slide 48: Coty #2 in ~$50B prestige fragrances market
COTY #2 IN ~$50B PRESTIGE FRAGRANCES MARKET FEW GLOBAL PLAYERS COMPETE IN THE LICENSING MODEL – COTY A LEADER IN THE GROUP 19% MARKET SHARE % 15% 13% 9% 9% 8% 3% Companies operating licensed fragrance businesses Source: GREENBOOK 2023, Market Share % 48
Slide 49: Multi-year track record of top-ranking innovations
COTY’S MULTI-YEAR TRACK RECORD OF TOP-RANKING INNOVATIONS FY21 FY22 FY23 FY24 #1 INNOVATION #3 INNOVATION #1 INNOVATION #1 FEMALE INNOVATION #2 INNOVATION TOP 5 FEMALE INNOVATION TOP 3 INNOVATION #2 MALE INNOVATION #1 MALE INNOVATION #1 INNOVATION (CY24) #3 MALE INNOVATION #2 MALE INNOVATION #3 FEMA
Slide 50: 1H FY25: another year of leading innovation
1H FY25: ANOTHER YEAR OF LEADING INNOVATION FEMALE INNOVATION MALE INNOVATION #1 IN FYTD #2 IN FYTD MALE INNOVATION #2 IN CYTD FEMALE INNOVATION MALE INNOVATION #2 IN FYTD #4 IN FYTD MALE INNOVATION #5 IN CYTD FEMALE INNOVATION MALE INNOVATION #3 IN P3M #5 IN FYTD SOURCE: CIRCANA CY24 ENDING IN NOV
Slide 51: Ultra Premium Fragrances
ULTRA PREMIUM FRAGRANCES 1% OF FY24 SALES +DD% CATEGORY OUTLOOK 51
Slide 52: Building diverse portfolio to win in >$5B ultra premium fragrances market
COTY BUILDING DIVERSE PORTFOLIO TO WIN IN >$5B ULTRA PREMIUM FRAGRANCES MARKET 52
Slide 53: Consumer Beauty Fragrances
CONSUMER BEAUTY FRAGRANCES 7% OF FY24 SALES +MSD% CATEGORY OUTLOOK 53
Slide 54: Strategy to overdrive mass and masstige fragrances and body mists
STRATEGY TO OVERDRIVE MASS AND MASSTIGE FRAGRANCES & BODY MISTS 54
Slide 55: ~$7B mass fragrance market in developed markets
~$7B MASS FRAGRANCE MARKET IN DEVELOPED MARKETS Canada Eastern Europe/ Poland U.S. #1 Europe COTY RANKING Source: Globaldata 55
Slide 56: Coty #1 in ~$7B mass fragrances market
COTY #1 IN ~$7B MASS FRAGRANCES MARKET IN DEVELOPED MARKETS ~11% MARKET SHARE % ~6% ~3% ~3% ~3% Companies operating licensed fragrance businesses Source: Nielsen + Amazon; market share % 56
Slide 57: ~$12B mass fragrance market in developing markets
~$12B MASS FRAGRANCE MARKET IN DEVELOPING MARKETS LATIN AMERICA AFRICA MIDDLE EAST A BLOSSOMING MARKET UNTAPPED POTENTIAL LUXURY & TRADITION Brazil Mexico South Africa Nigeria UAE Saudi Arabia UNTAPPED OPPORTUNITY FOR COTY Source: Globaldata 57
Slide 58: ~$7B global fragrance mists market
~$7B GLOBAL FRAGRANCE MISTS MARKET U.S. Europe Mexico Brazil Southeast Asia UNTAPPED OPPORTUNITY FOR COTY Source: Globaldata 58
Slide 59: Our iconic portfolio power
OUR ICONIC PORTFOLIO POWER BRANDS WITH STRONG EQUITIES, GROWTH AND GEO EXPANSION OPPORTUNITIES Sport Refreshingly Sensorial Connection to Intimate Inspired Simple the Water Connector Playful & Authentically Romantic & NEW 59 Cheeky Masculine Sophisticated
Slide 60: Adidas Vibes: largest consumer beauty launch in 6 years
ADIDAS VIBES LARGEST CONSUMER BEAUTY LAUNCH IN 6 YEARS & FUELING +DD% Y/Y GROWTH IN ADIDAS FRAGRANCE 1H25 SALES 60
Slide 61: Coty Creative Team _ Adidas
61 COTY Creative Team _ Adidas
Slide 62: Coty's leadership in body mists
COTY’S LEADERSHIP IN BODY MISTS BRUNO BANANI IS THE #2 MIST COLLECTION IN VALUE & VOLUME IN GERMANY #2 #4 #6 #12 SKU RANK SKU RANK SKU RANK SKU RANK Nielsen total Germany, mass scenting, female body mist subsegment MAT L52W 26/01/25 62
Slide 63: Co-creating scenting projects with retailer partners
COTY CO-CREATING SCENTING PROJECTS WITH RETAILER PARTNERS 1,800 4,700 830 4,700 DOORS DOORS DOORS DOORS IN THE U.S. IN THE U.S. AT SUPERDRUG AT ROSSMAN IN U.K. IN DACH+CEE 63
Slide 64: Applying Agile Beauty to mass fragrances
APPLYING AGILE BEAUTY TO MASS FRAGRANCES 64
Slide 65: Prestige Cosmetics
PRESTIGE COSMETICS 3% OF FY24 SALES +MSD% CATEGORY OUTLOOK 65
Slide 66: Prestige cosmetics growth driven by timeless and indie brands
PRESTIGE COSMETICS PORTFOLIO GROWTH TO BE DRIVEN BY TIMELESS & INDIE BRANDS 66
Slide 67: Coty building presence in prestige cosmetics
COTY BUILDING PRESENCE IN PRESTIGE COSMETICS PRESTIGE COSMETICS SALES >20% CAGR FY21-FY24 & NM in FY19 67
Slide 68: Consumer Beauty Makeup
CONSUMER BEAUTY MAKEUP 17% OF FY24 SALES +LSD% CATEGORY OUTLOOK 68
Slide 69: Elevate Coty's consumer beauty makeup competitiveness and profitability
ELEVATE COTY’S CONSUMER BEAUTY MAKEUP COMPETITIVENESS & PROFITABILITY 69
Slide 70: CoverGirl step-changing social media and market share
COVERGIRL STEP-CHANGING SOCIAL MEDIA & MARKET SHARE EMV +339% L3M MKT SHARE YoY +60bps ONLINE #5 RANK Global EMV ranking is tracked within our competitive set. Source: Traacker. 70 Market share source: Nielsen P3M Nov 2024 - CB total Online Market defined as US + UK + DE + ES + FR + NL + ARG – Exclu
Slide 71: Rimmel step-changing social media impact and market share
RIMMEL STEP-CHANGING SOCIAL MEDIA IMPACT & MARKET SHARE EMV +13% L3M MKT SHARE YoY +30bps ONLINE #7 RANK Global EMV ranking is tracked within our competitive set. Source: Traacker. 71 Market share source: Nielsen P3M Nov 2024 - CB total Online Market defined as US + UK + DE + ES + FR + NL + ARG – Ex
Slide 72: Coty brands broadly ahead of legacy brands globally
COTY BRANDS BROADLY AHEAD OF LEGACY BRANDS GLOBALLY Omnichannel Market Share YoY (L3M) Max L’Oreal Rimmel CoverGirl Factor Revlon Neutrogena Maybelline Paris 72 Market share source: CC Mass NIQ xAOC + Amazon 1P. Period ending 11/30/2024.
Slide 73: CoverGirl outperforms other legacy brands in the US
COVERGIRL OUTPERFORMS OTHER LEGACY BRANDS IN THE US U.S. Omnichannel Market Share (L3M) CoverGirl L'Oreal Paris Maybelline Revlon Market share source: CC Mass NIQ xAOC + Amazon 1P.Period ending 11/30/2024. 73
Slide 74: 60% improvement in our equities over past 4 years
60% IMPROVEMENT IN OUR EQUITIES OVER PAST 4 YEARS KANTAR EQUITY STUDIES 74
Slide 75: Capabilities in product development
CAPABILITIES IN PRODUCT DEVELOPMENT FAST & TRENDY DISRUPTIVE & OWNABLE AGILE BEAUTY: SCIENCE: Raise barrier to entry Trends, innovation, speed Time to market: 6 – 8 months 75
Slide 76: Consumer Beauty Nail
CONSUMER BEAUTY NAIL 6% OF FY24 SALES +LSD% CATEGORY OUTLOOK 76
Slide 77: Coty #1 in ~$7B nail market
COTY #1 IN ~$7B NAIL MARKET ~22% MARKET SHARE % ~14% ~6% ~3% Source: Nielsen + Amazon 77
Slide 78: Three powerhouse brands in North America, Brazil and UK
COTY HAS THREE POWERHOUSE BRANDS IN NORTH AMERICA, BRAZIL AND UK EUROPE #1 BRAND UK: $2.0B NORTH AMERICA RIMMEL $3.4B #1 BRAND: SALLY HANSEN MEA $0.2B APAC BRAZIL $0.6B #1 BRAND: & LATAM $1.0B RISQUÉ 78
Slide 79: Total Skincare
TOTAL SKINCARE 4% OF FY24 SALES +MSD% CATEGORY OUTLOOK 79
Slide 80: Portfolio of three complementary skincare brands
COTY PORTFOLIO CONSISTS OF 3 DIFFERENT YET COMPLEMENTARY SKINCARE BRANDS 80
Slide 81: Progress on Lancaster
PROGRESS ON LANCASTER #1 DD% GROWING LFL SALES CAGR SKINCARE BRAND FY22-FY24 IN CHINA IN Q2 & CY24 SHARE GAINS IN GERMANY FOLLOWING GOLDEN LIFT LAUNCH 81 81
Slide 82: Progress on Philosophy
PROGRESS ON PHILOSOPHY ULTIMATE MIRACLE WORKER EMV REJUVENATING BODY SERUM +540% DD % #1 YoY GROWTH ON AMAZON BODY SERUM #3 RANK IN THE U.S.* U.S. EMV ranking is tracked within our competitive set. Source: Traacker. 82 *Source: Circana/U.S. Prestige Beauty Total Measured Market, Dollar Sales, P3M Ju
Slide 83: Progress on Orveda
PROGRESS ON ORVEDA FYTD SELL-OUT 34 CLOSE TO 2X GLOBAL AWARDS YOY IN THE U.S. 3 EMV MAISONS & +680% 2 YoY STUDIOS 83 Global EMV ranking is tracked within our competitive set. Source: Traacker.
Slide 84: Coty market share in Brazil skincare up
COTY MARKET SHARE IN BRAZIL SKINCARE UP FROM TO 15.3% 19.1% IN FY21 IN FY24 84
Slide 85: Enhancing organizational and digital capabilities
ENHANCING ORGANIZATIONAL & DIGITAL CAPABILITIES 85
Slide 86: E-commerce performance in FY24
E-COMMERCE PERFORMANCE IN FY24 $1 BILLION 20% LFL NR ~20% in FY24 Net Revenue GROWTH E-COMMERCE PENETRATION across both divisions 25% TARGET ECOM IS A SUSTAINABLE BY 2028 GROWTH DRIVER FOR Industry Expectation for global THE COMPANY beauty’s e-commerce penetration, aligning with our strategy goals E
Slide 87: Coty Prestige booming e-commerce business
COTY PRESTIGE BOOMING E-COMMERCE BUSINESS FY24 SALES 25% ECOM RANKED #2 AND GROWTH PENETRATION GAINING +18% LFL MARKET SHARE 29% +1.0pt +0.5pt GROWTH CONTRIBUTION LFL MAY ‘24 P12M LFL E -com penetration and contribution based on countries where e -com info is available covering approx. 86% of total
Slide 88: Coty Consumer Beauty booming e-commerce business
COTY CONSUMER BEAUTY BOOMING E-COMMERCE BUSINESS FY24 SALES 11% ECOM RANKED #2 AND GROWTH PENETRATION GAINING +30% LFL MARKET SHARE 56% +2.3pt +0.7pt GROWTH CONTRIBUTION LFL MAY ‘24 P12M LFL E -com penetration and contribution based on countries where e -com info is available covering approx. 86% of
Slide 89: Coty ranks #3 for EMV/VIT among global beauty companies
COTY RANKS #3 FOR EMV/VIT AMONG GLOBAL BEAUTY COMPANIES +36% +1,832% +1,316% +339% GROWTH GROWTH GROWTH GROWTH IN GLOBAL EMV IN GLOBAL EMV IN EUROPE EMV IN GLOBAL EMV Global EMV ranking is tracked within our competitive set. Source: Traacker. 89
Slide 90: Reaching key ESG milestones
REACHING KEY ESG MILESTONES 90
Slide 91: Beauty That Lasts at a glance
BEAUTY THAT LASTS AT A GLANCE 100% 82% 25% water renewable electricity reduction in Scope 1 & 2 emissions withdrawal by 2030 – powering our factories & vs. 50% goal and new target distribution centers* 85% waste recycled* *with the purchase of Energy Attribute Certificates *from our factories and di
Slide 92: Coty achievement in 2024 CDP disclosure
COTY ACHIEVEMENT IN 2024 CDP DISCLOSURE CLIMATE SCORE: A- (IMPROVED FROM B) 92
Slide 93: Well positioned to outperform beauty market and deliver leading TSR
4 WELL POSITIONED TO OUTPERFORM BEAUTY MARKET & DELIVER LEADING TSR 93
Slide 94: 1H FY25: solid underlying trends in vast majority of business
1H FY25: SOLID UNDERLYING TRENDS IN VAST MAJORITY OF BUSINESS, DESPITE POCKETS OF DISRUPTIONS U.S. CONSUMER BEAUTY: 1H FY25 SALES LFL -LDD%, WITH SELL-OUT ABOVE ~10% 85% <3% CHINA (INCL HAINAN): <3% REST OF BUSINESS: 1H FY25 SALES LFL -MID TEENS % % OF NET 1H FY25 SALES LFL +5%, REVENUES WITH SELL-O
Slide 95: 2H FY25 innovations largely extending key FY24 launches
2H FY25 INNOVATIONS LARGELY EXTENDING KEY FY24 LAUNCHES PRESTIGE PRESTIGE CONSUMER CONSUMER FRAGRANCE FRAGRANCE BEAUTY BEAUTY COSMETICS FRAGRANCE 9595
Slide 96: FY26 acceleration drivers
FY26 ACCELERATION DRIVERS MAJOR MAJOR LEADING OVERDRIVING EXPANDING FRAGRANCE FRAGRANCE FRAGRANCE MASS CONSUMER LAUNCH IN LAUNCH IN BRAND SCENTING BEAUTY INTO 1H 2026 2H 2026 LAUNCHING ADDITIONAL IN THE U.S. EMERGING MARKETS 96
Slide 97: Accelerating sales and profit momentum
ACCELERATING SALES AND PROFIT MOMENTUM FY24 FY25E FY26 & Beyond NET REVENUES $6.12B Flattish LFL / -LSD% Reported Outperform beauty market GROSS MARGIN 64.4% Continued Expansion Continued Expansion +20-30bps / yr EBITDA 17.8% +70-90bps (at least MSD% growth)3 Interest Expense $252M Low $200M Low to
Slide 98: Steady free cash flow expansion
STEADY FREE CASH FLOW EXPANSION FY24 FY25E FY28E ADJ EBITDA $1,091M $1,115-1,125M $1.3B - $1.4B 1X CASH COSTS NM <$50M <$100M CASH INTEREST ~$206M ~$200M Mid $100s CASH TAXES ~$173M <$150M <$200M CAPEX ~$245M Low $200s ~$300M FREE CASH FLOW ~$369M ~$400M >$500M Towards 2x by CY26 LEVERAGE RATIO 3.1x
Slide 99: Focused on deleveraging and shareholder returns
FOCUSED ON DELEVERAGING & SHAREHOLDER RETURNS CY24 CY25-CY27 Capital Allocation Priorities (Cumulative) Financial Leverage towards ~2x by end of CY26 Net Debt (Investment Grade profile) achieved through FCF ~$3.2B FCF >$400M/yr & EBITDA growth from ~$1.12B in FY25E >$1.2B Financial (at least $0.4B /
Slide 100: Deep-dive on strategy and targets at Coty Investor Day June 18, 2025
DEEP-DIVE ON STRATEGY AND TARGETS TO BE SHARED AT COTY INVESTOR DAY IN NYC ON JUNE 18 , 2025 TH 100100
Slide 101: Disclaimer
DISCLAIMER Forward-Looking Statements Certain statements in this presentation are forward-looking statements. These forward-looking statements reflect Coty's current views with respect to, among other things, strategic planning, targets and outlook for future reporting periods (including the extent,
Slide 102: Cautionary note regarding sustainability information
CAUTIONARY NOTE REGARDING SUSTAINABILITY INFORMATION This presentation includes information from our Beauty that Lasts Sustainability Report about our social impact and sustainability goals, targets, initiatives, commitments, and activities. These efforts involve certain risks and uncertainties, suc