Natura &Co significantly outperforms global CFT market in Q3 with strong sales growth and margin improvement

Recent highlights include strengthened capital structure, launch of &Co Pay financial services platform and certification of Aesop as a B Corp

SÃO PAULO, Nov. 12, 2020 /PRNewswire/ -- Natura &Co (NYSE – NTCO; B3 – NTCO3) posted a strong growth in revenue in the third quarter, significantly outperforming the global Cosmetics, Fragrance, and Toiletries market, as the sustained ramp-up in digital sales across all brands continued. Consolidated sales stood at R$10.4 billion, up 31.7% in Brazilian Reais and 11.6% at constant currency.

The Group also strengthened its capital structure with the successful completion in October of a US$1 billion capital raise. The transaction allows for balance sheet optimization by accelerating deleveraging while also enabling investments to drive growth in strategic priorities including Avon's integration, Group digitalization, geographic expansion, and the Group's 2030 Sustainability commitments.

A key sustainability milestone included Aesop's certification as a B Corp^TM; joining Natura, The Body Shop, and a movement of businesses dedicated to achieving the highest social, economic, and environmental standards.

Natura &Co also took another step forward in its continued digitalization with the launch of &Co Pay, its proprietary financial services platform. &Co Pay will help drive productivity to consultants and representatives by allowing them access to key financial services, promoting digital and financial inclusion. Launching first in Latin America, &Co Pay will be rolled out globally within the next couple of years.

Roberto Marques, Executive Chairman and Group CEO of Natura &Co, declared: "Enabled by continued digitalization, our brands delivered strong results in the third quarter, with significant growth in sales and margin improvement. In an environment that has remained challenging throughout the world as a result of the Covid-19 pandemic, we delivered superior results compared to the CFT market both globally and in Brazil. Our performance this quarter attests to the strength of our fundamentals, our unparalleled Direct-to-Consumer reach, and the resilience of our omnichannel, multi-brand model."