Coty, one of the world’s largest fragrance and beauty suppliers, has announced a major strategic pivot that places fragrances firmly at the center of its global operations. As of late 2025, fragrance now accounts for an impressive 69% of Coty’s sales, marked by renewed investments and a structural merger of its Prestige and Mass Fragrance divisions. This bold realignment,while placing its mass-market beauty segment under review, reflects Coty’s confidence that scent is both the foundation of its heritage and the engine for future growth across every price tier.
Strategic Merger and Business Review
In September 2025, Coty formally announced the closer integration of Prestige Beauty and Consumer Beauty fragrances to establish what it calls a “fragrance and scenting powerhouse with consumer reach from $5 to $500.” The company also launched a wide-ranging strategic review of its Consumer Beauty business—including color cosmetics and its Brazil operations—signaling openness to divestitures, partnerships, or…
spin-offs. “This next phase of our transformation is about clarity and focus,” said CEO Sue Nabi. By more closely integrating all our fragrance and scenting brands, we unlock the full power of our scale.
The fragrance sector continues to surpass the overall beauty industry and already drives the majority of our revenues and profits. “Coty has a proven right to win at all price points of scenting, from $5 to $500, and is already making strong headway in the exciting new $7 billion mist market”.
Growth Metrics and Market Performance Coty is seeing growth on several fronts. Ultra-premium fragrances rose 9% year over year, Consumer Beauty fragrances posted an 8% gain, and Prestige fragrances grew 2% in fiscal 2025, as the company outperformed the global beauty market in nine of the past 14 quarters.
CEO Sue Nabi told investors, “We believe fragrances will remain a structurally advantageous category, supported by beauty category-leading brand loyalty, strong consumer demand, increasing usage, broader price points and formats, and expanding global penetration”…
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