Paris, Feb 13, 2026, 12:08 CET — Regular session
L’Oreal (OREP.PA) slipped 4.1% to 375.45 euros by 12:05 p.m. in Paris, losing ground from Thursday’s close of 391.65. The CAC 40 was off 0.4%. 1
L’Oreal shares slipped after the company posted a fourth-quarter like-for-like sales increase of 6%, just shy of the 6.3% analysts had expected. North Asia—mostly China and accounting for about a quarter of L’Oreal’s revenue—managed just 0.6% growth, well below the 5.6% consensus. L’Oreal cited a “challenging” environment for travel retail, with airport duty-free sales still under pressure, but said mainland China is “gradually stabilising”. Before Friday’s session, the stock had climbed about 7% so far this year, trailing Unilever and Beiersdorf. 2
The reason this sticks out: market hopes have hinged on a sharper China recovery to drive global beauty players’ growth, with travel retail as the crucial lever. Any shakiness in that area tends to hit 2026 outlooks fast—even if other markets are steady.
L’Oreal shares slid as much as 6% out of the gate, pacing for their steepest drop since October, after investors zeroed in on an unexpected slump in the company’s Asian segment, highlighted by Reuters. Finance chief Christophe Babule told analysts he was aware they “expected more from North Asia,” citing sluggishness in South Korea and softer travel retail demand from mainland China due to domestic airport operator shifts. Over at JP Morgan, analysts flagged the fourth-quarter landscape as making a 2026 top-line acceleration tough to envision, while Deutsche Bank cautioned that earnings growth could lose momentum in the short term. 3
European markets saw little movement after the drop. The STOXX 600 hovered near unchanged in the morning, as traders digested uneven earnings and fresh concerns over AI shaking up the landscape. Eyes were on a U.S. inflation readout due this day. 4
As the session moves on, traders are eyeing whether the stock settles after that initial post-results drop. Estimates are next up, with a sharp focus on North Asia and all things linked to airport duty-free.
Still, there’s an easy risk to flag here: should China keep pinching pennies and travel retail fail to rebound, growth could tilt toward sluggish markets, tightening the margin for error. Suddenly, that “quality” consumer stock doesn’t get any special treatment—it trades like the rest.
L’Oreal’s annual report showed 2025 sales of 44.05 billion euros, a 4.0% rise on a like-for-like basis. Operating margin landed at 20.2%. The board is putting forward a 7.20-euro dividend, with a shareholder vote scheduled for April 24. Shares go ex-dividend April 29 and payment is set for May 4. CEO Nicolas Hieronimus called the outlook for the 2026 global beauty market “optimistic,” though he flagged ongoing macro uncertainties. 5
