Beauty giant Coty to exit Russia

Beauty giant Coty said it will wind down its operations in Russia.

In a filing the company said its sales in Russia, including local travel retail, accounted for a little over 3 percent of the company’s sales and a mid-single digit percentage of adjusted EBITDA.

“After careful consideration, including analysis of relevant U.S., U.K., and other applicable regulation, Coty has decided to wind down its Russian operations starting immediately. While all of the financial impacts, including the impact on the Company’s long-term outlook, of the decision are still being determined, this decision is not expected to impact Coty’s ability to achieve its previously issued fiscal 2022 outlook on revenue.”

Coty, which owns brands including Covergirl, Max Factor and Rimmel, is not the first beauty conglomerate to exit Russia. Unilever, Estée Lauder and L’Oréal announced their intent to exit in March, halting local commercial activity and advertising.

Coty will issue its third quarter fiscal 2022 financial results on May 9th.