L’Oréal posted its strongest quarterly revenue in two years, driven by a rebounding Chinese market and a classic “lipstick effect” as war‑torn Europeans seek small comforts. First‑quarter sales reached €12.2 bn, a 6.7% rise on an adjusted like‑for‑like basis, beating analyst forecasts despite inventory adjustments tied to an IT overhaul.

Chief executive Nicolas Hieronimus credited China’s stock‑market recovery for the upswing, while noting that European consumers have not altered their beauty‑spending habits despite soaring oil prices and the Middle East conflict. He warned that persistent higher logistics and plastic costs could force price hikes later in the year, though the impact remains manageable.

Revenue growth was evenly spread, with Europe and north Asia each posting roughly a 5% adjusted increase. The Middle East accounts for less than 3% of L’Oréal’s total sales, so the regional turmoil is expected to be “manageable”, Hieronimus told analysts. Competitors such as LVMH and Kering, by contrast, saw weaker first‑quarter performance.

Analyst Callum Elliott of Bernstein called the results a turning point after two years of muted industry growth, suggesting L’Oréal may outpace peers as it heads toward a faster‑growing 2026. The firm’s consumer research shows shoppers trim high‑value items but lean on beauty to compensate, reinforcing the resilience of the sector.