Coty guided for revenue to decline by a low- to mid-single-digit percentage as consumers become increasingly selective with purchases, despite resilient beauty demand. The company also named Soraya Benchikh as its next chief financial officer, bringing experience from tobacco and alcohol industries.

Coty expects to complete its consumer beauty strategic review by the end of 2026 as it works through a plan to strengthen its brand and financials. Benchikh's appointment follows a rejiggered operating structure last month.

The stock slid 8.5% to $2.77 in late trading, with shares down 1.6% year to date. Interim Chief Executive Markus Strobel said Wednesday that latest quarterly results, which included a steeper loss and slight revenue uptick, provide "early signs of stabilization, although the recovery will not be linear."