Coty (COTY) Q2 Earnings Report Preview: What To Look For

Adam Hejl /
2024/02/06 2:01 am EST

Beauty products company Coty (NYSE:COTY) will be reporting earnings tomorrow after market hours. Here's what investors should know.

Last quarter Coty reported revenues of $1.64 billion, up 18.1% year on year, beating analyst revenue expectations by 3.9%. It was a weaker quarter for the company, with a miss of analysts' earnings estimates.

Is Coty buy or sell heading into the earnings? Read our full analysis here, it's free.

This quarter analysts are expecting Coty's revenue to grow 10% year on year to $1.68 billion, improving on the 3.5% year-over-year decline in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.20 per share.

Coty Total Revenue

The analysts covering the company have had mixed opinions about the business heading into the earnings, with revenue estimates seeing five upward and two downward revisions over the last thirty days. The company only missed Wall St's revenue estimates once over the last two years, and has on average exceeded top line expectations by 2.2%.

Looking at Coty's peers in the consumer staples segment, some of them have already reported Q2 earnings results, giving us a hint what we can expect. Estée Lauder's revenues decreased 7.4% year on year, beating analyst estimates by 0.9% and BellRing Brands reported revenues up 18.7% year on year, exceeding estimates by 5.4%. Estée Lauder was up 10.6% on the results, and BellRing Brands was flat.

Read our full analysis of Estée Lauder's results here and BellRing Brands's results here.

Investors in the consumer staples segment have had steady hands going into the earnings, with the stocks down on average 1.5% over the last month. Coty is up 1.9% during the same time, and is heading into the earnings with analyst price target of $13.2, compared to share price of $12.2.

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The author has no position in any of the stocks mentioned.