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MarketLine Industry Profile

Global Skincare August 2015Reference Code: 0199-0708

Publication Date: August 2015

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EXECUTIVE SUMMARY

Market valueThe global skincare market grew by 5.8% in 2014 to reach a value of $83,424.7 million.

Market value forecastIn 2019, the global skincare market is forecast to have a value of $113,284.4 million, an increase of 35.8% since 2014.

Market volumeThe global skincare market grew by 4.5% in 2014 to reach a volume of 11,886.4 million units.

Market volume forecastIn 2019, the global skincare market is forecast to have a volume of 15,268.1 million units, an increase of 28.4% since

2014.

Category segmentationFacial care is the largest segment of the global skincare market, accounting for 66.1% of the market's total value.

Geography segmentation Asia-Pacific accounts for 44.4% of the global skincare market value.

Market shareL'Oreal S.A. is the leading player in the global skincare market, generating a 13.2% share of the market's value.

Market rivalryRivalry is assessed as moderate, as market players tend to be large, but also fairly diversified, and in recent years

growth has worked to alleviate pressure somewhat.


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TABLE OF CONTENTS

Executive Summary ................................................................................... ............................................................... ..... 2

Market value ........................................................... ................................................................. ................................... 2

Market value forecast ........................................................ ................................................................. ........................ 2

Market volume ........................................................ ................................................................. ................................... 2

Market volume forecast ..................................................... ................................................................. ........................ 2

Category segmentation .......................................................................... ............................................................... ..... 2

Geography segmentation ............................................................................................. .............................................. 2

Market share ................................................................................ .............................................................. ................ 2

Market rivalry .......................................................... ................................................................. ................................... 2

Market Overview .............................................................................. .............................................................. ................ 7

Market definition ........................................................................................................... .............................................. 7

Market analysis ....................................................................................... .............................................................. ..... 7

Market Data .................................................... ................................................................. .............................................. 8

Market value ........................................................... ................................................................. ................................... 8

Market volume ........................................................ ................................................................. ................................... 9

Market Segmentation ....................................................................................................... ............................................ 10

Category segmentation ................................................................................................ ............................................ 10

Geography segmentation ............................................................................................. ............................................ 11

Market share ..................................................................................................... ....................................................... 12

Market distribution ........................................................................................................ ............................................ 13

Market Outlook ........................................................... ................................................................. ................................. 14

Market value forecast ........................................................ ................................................................. ...................... 14

Market volume forecast ..................................................... ................................................................. ...................... 15

Five Forces Analysis .................................................................................. ............................................................... ... 16

Summary ..................................................... ................................................................. ............................................ 16

Buyer power ...................................................................................................... ....................................................... 17

Supplier power .................................................................................................. ....................................................... 18

New entrants ................................................................................................................ ............................................ 19

Threat of substitutes .......................................................... ................................................................. ...................... 21

Degree of rivalry ..................................................... ................................................................. ................................. 22

Leading Companies ........................................................................ ............................................................... .............. 23


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Beiersdorf AG ......................................................... ................................................................. ................................. 23

Johnson & Johnson ........................................................... ................................................................. ...................... 26

L'Oreal S.A. ............................................................ ................................................................. ................................. 30

Unilever ....................................................... ................................................................. ............................................ 33

Methodology................................................................................................................................................................. 36

Industry associations ......................................................... ................................................................. ...................... 37

Related MarketLine research ....................................................... .............................................................. .............. 37

Appendix ......................................................... ................................................................. ............................................ 38

About MarketLine .............................................................. ................................................................. ...................... 38


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LIST OF TABLES

Table 1: Global skincare market value: $ million, 2010 –14 ............................................................................ ................ 8

Table 2: Global skincare market volume: million units, 2010 –14.................................................................... ................ 9

Table 3: Global skincare market category segmentation: $ mill ion, 2014 ................................ .................................... 10

Table 4: Global skincare market geography segmentation: $ million, 2014 ................................................................. 11

Table 5: Global skincare market share: % share, by value, 2014 .................................... ............................................ 12

Table 6: Global skincare market distribution: % share, by value, 2014 ........................................................................ 13

Table 7: Global skincare market value forecast: $ million, 2014 –19 ........................................... ................................. 14

Table 8: Global skincare market volume forecast: million units, 2014 –19 .................................................................... 15

Table 9: Beiersdorf AG: key facts............................... ................................................................. ................................. 23

Table 10: Beiersdorf AG: key financials ($) ........................................................... ....................................................... 24

Table 11: Beiersdorf AG: key financials (€) ............................................................................................................... ... 24

Table 12: Beiersdorf AG: key financial ratios ........................................................ ....................................................... 24

Table 13: Johnson & Johnson: key facts ............................................................... ....................................................... 26

Table 14: Johnson & Johnson: key financials ($) ...................................................................................................... ... 27

Table 15: Johnson & Johnson: key financial ratios ............... .............................................................. ......................... 28

Table 16: L'Oreal S.A.: key facts .................................................................................................................... .............. 30

Table 17: L'Oreal S.A.: key financials ($) .................................................................................... ................................. 31

Table 18: L'Oreal S.A.: key financials (€) .................................................................................... ................................. 31

Table 19: L'Oreal S.A.: key financial ratios ............................................................ ....................................................... 31

Table 20: Unilever: key facts .................................................................................................... .................................... 33

Table 21: Unilever: key financials ($) .......................................................................................... ................................. 34

Table 22: Unilever: key financials (€) ............................................................................... ............................................ 34

Table 23: Unilever: key financial ratios........................................................ .............................................................. ... 34


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LIST OF FIGURES

Figure 1: Global skincare market value: $ million, 2010 –14 ........................................................................................... 8

Figure 2: Global skincare market volume: million units, 2010 –14 .................................... .............................................. 9

Figure 3: Global skincare market category segmentation: % share, by value, 2014 .................................................... 10

Figure 4: Global skincare market geography segmentation: % share, by value, 2014 ................................................. 11

Figure 5: Global skincare market share: % share, by value, 2014 ............................................................................... 12

Figure 6: Global skincare market distribution: % share, by value, 2014 ......................................................... .............. 13

Figure 7: Global skincare market value forecast: $ million, 2014 –19 ................................................................ ........... 14

Figure 8: Global skincare market volume forecast: million units, 2014 –19 ................................................................... 15

Figure 9: Forces driving competition in the global skincare market, 2014 ...................................................... .............. 16

Figure 10: Drivers of buyer power in the global skincare market, 2014 .......................................................... .............. 17

Figure 11: Drivers of supplier power in the global skincare market, 2014 .................................................................... 18

Figure 12: Factors influencing the likelihood of new entrants in the global skincare market, 2014 .............................. 19

Figure 13: Factors influencing the threat of substitutes in the global skincare market, 2014 ....................................... 21

Figure 14: Drivers of degree of rivalry in the global skincare market, 2014 ............................................................... ... 22

Figure 15: Beiersdorf AG: revenues & profitability ................................................................... .................................... 25

Figure 16: Beiersdorf AG: assets & liabilities ........................................................ ....................................................... 25

Figure 17: Johnson & Johnson: revenues & profitability .................. .............................................................. .............. 28

Figure 18: Johnson & Johnson: assets & liabilities ............... .............................................................. ......................... 29

Figure 19: L'Oreal S.A.: revenues & profitability ............................................................... ............................................ 32

Figure 20: L'Oreal S.A.: assets & liabilities ............................................................ ....................................................... 32

Figure 21: Unilever: revenues & profitability .......................................................... ....................................................... 35

Figure 22: Unilever: assets & l iabilities ........................................................ .............................................................. ... 35


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MARKET OVERVIEW

Market definitionThe skincare market consists of the retail sale of facial care, body care, suncare, hand care, depilatories, and make-up

remover products.

The market is valued according to retail selling price (RSP) and includes any applicable taxes.

Any currency conversions used in the creation of this report have been calculated using constant 2014 annual average

exchange rates.

For the purposes of this report, Europe consists of Western Europe and Eastern Europe.

Western Europe comprises Austria, Belgium, Denmark, France, Finland, Germany, Greece, Italy, Ireland, the

Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, and the United Kingdom.

Eastern Europe comprises the Czech Republic, Hungary, Poland, Romania, Russia, and Turkey.

For the purposes of this report, North America consists of Canada, Mexico, and the United States.

South America comprises Argentina, Brazil, Colombia, and Venezuela.

Europe comprises Austria, Belgium, the Czech Republic, Denmark, Finland, France, Germany, Greece, Ireland, Italy,

Netherlands, Norway, Poland, Portugal, Romania, Russia, Spain, Sweden, Switzerland, Turkey, and the United

Kingdom.

Scandinavia comprises Denmark, Finland, Norway, and Sweden.

Asia-Pacific comprises Australia, China, Hong Kong, India, Indonesia, Japan, Malaysia, New Zealand, Philippines,

Singapore, South Korea, Taiwan, Thailand, and Vietnam.

Middle East comprises Saudi Arabia and United Arab Emirates.

Market analysisThe global skincare market saw moderate to strong rate of value growth over the period 2010-2014. Growth is projected

to continue over the forecast period however, at an accelerating rate, with annual growth rates largely remaining above

6%.

A myriad of factors have contributed to growth in this market. In developing countries, increasing middle class sizes and

disposable income have driven demand for skincare products, particularly in China and India.

The global skincare market had total revenues of $83,424.7m in 2014, representing a compound annual growth rate

(CAGR) of 4.6% between 2010 and 2014. In comparison, the European and Asia-Pacific markets grew with CAGRs of

3% and 6% respectively, over the same period, to reach respective values of $27,978.4m and $37,015.4m in 2014.

Market consumption volume increased with a CAGR of 4.4% between 2010 and 2014, to reach a total of 11.9 billion

units in 2014. The market's volume is expected to rise to 15.3 billion units by the end of 2019, representing a CAGR of

5.1% for the 2014-2019 period.

The facial care segment was the market's most lucrative in 2014, with total revenues of $55,142.2m, equivalent to 66.1%

of the market's overall value. The body care segment contributed revenues of $11,959.4m in 2014, equating to 14.3% of

the market's aggregate value.

The performance of the market is forecast to accelerate, with an anticipated CAGR of 6.3% for the five-year period 2014

- 2019, which is expected to drive the market to a value of $113,284.4m by the end of 2019. Comparatively, the

European and Asia-Pacific markets will grow with CAGRs of 4.2% and 7.4% respectively, over the same period, to reach

respective values of $34,364.4m and $53,006.3m in 2019.


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MARKET DATA

Market valueThe global skincare market grew by 5.8% in 2014 to reach a value of $83,424.7 million.

The compound annual growth rate of the market in the period 2010 –14 was 4.6%.

Table 1: Global skincare market value: $ million, 2010 –14

Year $ million € million % Growth

2010 69,591.9 52,364.1

2011 72,521.7 54,568.7 4.2%

2012 75,610.8 56,893.0 4.3%

2013 78,850.3 59,330.6 4.3%

2014 83,424.7 62,772.6 5.8%

CAGR: 2010 –14 4.6%

SOURCE: MARKETLINE M A R K E T L I N E

Figure 1: Global skincare market value: $ million, 2010 –14



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Market volumeThe global skincare market grew by 4.5% in 2014 to reach a volume of 11,886.4 million units.

The compound annual growth rate of the market in the period 2010 –14 was 4.4%.

Table 2: Global skincare market volume: million units, 2010 –14

Year million units % Growth

2010 10,020.3

2011 10,448.9 4.3%

2012 10,896.8 4.3%

2013 11,374.3 4.4%

2014 11,886.4 4.5%

CAGR: 2010 –14 4.4%


Figure 2: Global skincare market volume: million units, 2010 –14



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MARKET SEGMENTATION

Category segmentationFacial care is the largest segment of the global skincare market, accounting for 66.1% of the market's total value.

The Body care segment accounts for a further 14.3% of the market.

Table 3: Global skincare market category segmentation: $ million, 2014

Category 2014 %

Facial care 55,142.2 66.1%

Body care 11,959.4 14.3%

Suncare 8,537.5 10.2%

Hand care 4,428.5 5.3%

Make-up remover 1,680.5 2.0%Depilatories 1,676.6 2.0%

Total 83,424.7 99.9%


Figure 3: Global skincare market category segmentation: % share, by value, 2014



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Geography segmentation Asia-Pacific accounts for 44.4% of the global skincare market value.

Europe accounts for a further 33.5% of the global market.

Table 4: Global skincare market geography segmentation: $ million, 2014

Geography 2014 %

Asia-Pacific 37,015.4 44.4

Europe 27,978.4 33.5

Americas 17,497.7 21.0

Middle East & Africa 933.3 1.1

Total 83,424.8 100%


Figure 4: Global skincare market geography segmentation: % share, by value, 2014



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Market shareL'Oreal S.A. is the leading player in the global skincare market, generating a 13.2% share of the market's value.

Unilever accounts for a further 9.8% of the market.

Table 5: Global skincare market share: % share, by value, 2014

Company % Share

L'Oreal S.A. 13.2%

Unilever 9.8%

Beiersdorf AG 8.8%

Johnson & Johnson 6.6%

Other 61.6%

Total 100%


Figure 5: Global skincare market share: % share, by value, 2014



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Market distributionSupermarkets / hypermarkets form the leading distribution channel in the global skincare market, accounting for a 34.6%

share of the total market's value.

Specialist retailers accounts for a further 28.7% of the market.

Table 6: Global skincare market distribution: % share, by value, 2014

Channel % Share

Supermarkets / hypermarkets 34.6%

Specialist retailers 28.7%

Pharmacies / drugstores 12.1%

Department stores (incl. duty-free shops) 9.9%

Other 14.7%

Total 100%


Figure 6: Global skincare market distribution: % share, by value, 2014



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MARKET OUTLOOK

Market value forecastIn 2019, the global skincare market is forecast to have a value of $113,284.4 million, an increase of 35.8% since 2014.

The compound annual growth rate of the market in the period 2014 –19 is predicted to be 6.3%.

Table 7: Global skincare market value forecast: $ million, 2014 –19

Year $ million € million % Growth

2014 83,424.7 62,772.6 5.8%

2015 88,310.9 66,449.1 5.9%

2016 94,005.9 70,734.3 6.4%

2017 99,897.7 75,167.6 6.3%

2018 106,301.3 79,985.9 6.4%2019 113,284.4 85,240.4 6.6%

CAGR: 2014 –19 .3%


Figure 7: Global skincare market value forecast: $ million, 2014 –19



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Market volume forecastIn 2019, the global skincare market is forecast to have a volume of 15,268.1 million units, an increase of 28.4% since

2014.

The compound annual growth rate of the market in the period 2014 –19 is predicted to be 5.1%.

Table 8: Global skincare market volume forecast: million units, 2014 –19

Year million units % Growth

2014 11,886.4 4.5%

2015 12,438.5 4.6%

2016 13,063.3 5.0%

2017 13,739.2 5.2%

2018 14,474.0 5.3%

2019 15,268.1 5.5%

CAGR: 2014 –19 5.1%


Figure 8: Global skincare market volume forecast: million units, 2014 –19



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FIVE FORCES ANALYSIS

The skincare market will be analyzed taking manufacturers of body care, depilatories, facial care, hand care, make-up

remover and sun care products, as well as packaging providers as players. The key buyers will be taken as retailers, and

manufacturers of fine chemicals, vegetable oils, and other ingredients needed for cosmetic production as the key

suppliers.

SummaryFigure 9: Forces driving competition in the global skincare market, 2014


Rivalry is assessed as moderate, as market players tend to be large, but also fairly diversified, and in recent years

growth has worked to alleviate pressure somewhat.

Buyer power in this market is assessed as moderate, as although manufacturers can exert pressure on retailers through

marketing campaigns and the development of novel products, many retailers are very diversified, and sometimes

backward integrated.

Likewise, supplier power is also assessed as moderate, as although there are no substitutes for some raw materials in

this market, these are the exceptions rather than the norm, and market players can usually find alternatives when

required. The quality of the raw materials is highly important. Health scares and the possible dangers of syntheticchemicals used in beauty and personal care raise consumers demand for safer and healthier alternatives and increase

their interest in product quality and safety issues.

The threat of new entrants is also seen as moderate, since although brand power is important, the market is fairly heavily

regulated, and operating and exit costs are high.

The potential for substitution in this market is weak; there are few substitutes available other than homemade or 'artisan'

products, most of which cannot offer the same range of benefits and special features as market players' output and may

be either unpredictable in results or carry greater risk and expense (in the case of cosmetic surgery). In 2014 plastic

surgery and advanced cosmetology is becoming an increasingly common practice. Among the most popular treatments

are facelifts, Botox injections or collagen rebuilding.


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Buyer powerFigure 10: Drivers of buyer power in the global skincare market, 2014


The main market players invest significant sums in to research and the development of new products, especially those

aimed at consumers in developing economies. These R&D efforts serve to increase differentiation between market

players, weakening buyer power.

Moreover, by heavily marketing these new products, manufacturers drive up demand and bolster brand loyalty, thereby

pressuring retailers in to stocking certain ranges. This further weakens buyer power in this industry.

Some players have also integrated forward with retail operations of their own, (for example, L'Oreal's acquisition of Body

Shop). This also weakens buyer power, although this approach is not an especially common strategy.

On the other hand, major retailers in the skincare market wield considerable bulk-purchasing power, and also often offer

a range of private-label brands. Both of these factors increase buyer power considerably.

Buyer power is further strengthened by the fact that for many players, skincare products are only a minor revenue

stream. This is especially true of large retailers such as supermarkets, who offer a very diverse range of products.

Overall, buyer power is assessed as moderate.


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Supplier powerFigure 11: Drivers of supplier power in the global skincare market, 2014


Suppliers in the skincare market include the manufacturers of fine chemicals, vegetable oils and other ingredients used

in the production of cosmetics. Plastic, glass and metal packaging is an additional input here.

The quality of raw materials is often highly important in this market. The potential dangers associated with the use of

synthetic chemicals in the beauty industry have increased consumer demand for safer and healthier alternatives, and

driven up interest in product quality and safety issues. This also serves to weaken supplier power somewhat. Chemicals

used in supplies must be of a standard suitable for manufacturing consumer products.

For some chemicals there are no substitutes, which increases supplier power, but this is the exception rather than the

norm: there are generally several alternative products within each ingredient category, reducing players' dependence on

any particular supplier.

Overall, supplier power is assessed as moderate.


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New entrantsFigure 12: Factors influencing the likelihood of new entrants in the global skincare market, 2014


The main manufacturers in this market are large, international companies, which invest heavily in both product

innovation and the building of brand portfolios. Thus, new entrants face formidable competition.

New entrants must also persuade stores to stock their products. Major retailers are aware of their importance in the

distribution chain and may be unwilling to take the risk of displacing existing well-established brands for new ones.

Supermarkets and hypermarkets distribute the largest share of skincare products globally, accounting for 34.6% of the

total sales. Specialist retailers account for a further 28.7% of the global distribution channels.

Entering the skincare market also requires a new player to establish production facilities, demanding significant capital

outlay on machinery and factories. Skincare products are generally sold in high volume to a large number of consumers,

and the reasonably high level of consolidation seen in most skincare markets suggests that scale economies in

manufacturing are likely to be important to the margins of players, acting as another entry barrier for potential new

entrants.

Newcomers may be able to start on a small scale, such as niche companies like Lush, which entered the UK market as a

start-up in 1978, selling only handmade products. While small in comparison to the market leaders, Lush has grown to

operate 370 stores worldwide. Focusing on a niche market such as The growing market for male skincare especially in

Asia, is one example of a potential entry point.

Entry barriers include government legislation, which often enforces strict regulations on the composition and testing of

skin care products. In Asia-Pacific in particular this can also present a number of obstacles due to different regulatory

requirements in each country; i.e. certain cosmetics are classified as cosmetics in some countries, while in others the

same products as regulated as over the counter drugs or quasi-drugs.

Moreover, consumers are paying closer attention to what comes directly in contact with their skin to prevent skin

irritations which has given rise to natural ingredients or at least products free from parabens and aluminum or alcohol.

Although this provides new entrants with an opportunity to enter this niche market; products with natural ingredients can

be expensive to produce and players such as Dove (owned by Unilever) are already well established in this sector. This

can also act as a barrier to entry.


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There are also various opportunities for product diversification, for example in premium anti-agers, which are among the

market's strongest growth categories. These can be diversified by the incorporation of extra benefits, such as UV

protection, to help add value and justify higher prices. As skin care becomes increasingly saturated, personalized and

targeted products will become more popular.

The primary drivers of growth within the skincare market include the ageing of developed countries' populations, the

growth of the middle classes in emerging economies, technological developments within the industry, and the increasing

health & wellness awareness. There is in general potential for future growth in the market then, which will work to

encourage new entrants.

Overall, the threat of new entrants to the skincare market is assessed as moderate.


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Threat of substitutesFigure 13: Factors influencing the threat of substitutes in the global skincare market, 2014


Substitutes for consumer skincare products include traditional or homemade products.

The usage of homemade products may be significant in some undeveloped markets. However, such homemade

alternatives require time and specific knowledge on product composition for their preparation.

Furthermore, such substitutes may not offer the same effects or added benefits of branded cosmetic products and mayonly fulfill basic requirements.

Counterfeited cosmetics constitute a serious substitutive threat for retail outlets and manufacturers, offering the benefit of

much lower price, though at the potential cost of lower quality.

Overall, the threat of substitutes is assessed as weak.


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Degree of rivalryFigure 14: Drivers of degree of rivalry in the global skincare market, 2014


The global skincare market is relatively fragmented, with the four leading players, L'Oreal, Beiersdorf AG, Unilever and

Johnson & Johnson, accounting for 38.4% of the market.

The main market players are large international companies, who can compete intensely on price, increasing rivalry.

The scale of leading players' operations also drives up rivalry further, as large scale operations in this market incur highoperating and exit costs.

On the other hand, many market players offer a broad product portfolio ranging well beyond the skincare market, often

including household products or food, for example. This diversification alleviates rivalry by reducing players' dependence

on success in this one market.

Strong to moderate growth in recent years has worked to decrease rivalry, and there is scope for growth to continue in

future, both in advanced economies (with their ageing populations) and emerging economies (with their growing middle

classes).

Overall, rivalry is assessed as moderate.


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LEADING COMPANIES

Beiersdorf AGTable 9: Beiersdorf AG: key facts

Head office: Unnastrasse 48, 20245 Hamburg, DEU

Telephone: 49 40 4909 0

Fax: 49 40 4909 3434

Website: www.beiersdorf.com

Financial year-end: December

Ticker: BEI

Stock exchange: Frankfurt

SOURCE: COMPANY WEBSITE M A R K E T L I N E

Beiersdorf is an international consumer goods company, which is principally engaged in the manufacture of skin and

beauty products. The major brands of the company include Nivea, Eucerin, La Prairie, Labello, Hansaplast, Florena, 8x4,

Hidro Fugal, atrix, Aquaphor, Slek, Maestro and tesa. Beiersdorf operates across the world and has more than 150

affiliates.

The company operates through two business segments: consumer and tesa.

The consumer segment is engaged in the development, manufacturing and marketing of skin and body care products.

The segment offers deodorants, hair care products, men's grooming products, skin care products, personal care

products and professional wound care products. These products are marketed across the world under various brand

names such as 8X4 (deodorants), Nivea (skin care products), Nivea for Men (men's grooming products), Eucerin

(medical skin care), Labello (lip care products), Florena (natural skin care products), Hansaplast (plaster and wound care

products), and La Prairie (anti-aging products).

The tesa segment develops, manufactures and markets self-adhesive products and system solutions for industry, craft

businesses and consumers. The segment manufactures and markets more than 6,500 product and system solutions

globally. In the industrial segment, it caters to customers primarily in the electronics, printing, paper, construction and

automotive industries. For the pharmaceutical industry, tesa develops and produces transdermal systems and oral films.

In addition to office products such as the classic tesafilm adhesive tape, this segment offers solutions for insulation,

painting and masking, repairing, packaging, and mounting. The segment also offers household insect protection

products.

Key Metrics

The company recorded revenues of $8,341 million in the fiscal year ending December 2014, an increase of 2.3%

compared to fiscal 2013. Its net income was $713 million in fiscal 2014, compared to a net income of $721 million in the

preceding year.


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Table 10: Beiersdorf AG: key financials ($)

$ million 2010 2011 2012 2013 2014

Revenues 7,393.5 7,475.8 8,015.9 8,150.0 8,341.1

Net income (loss) 432.6 343.7 590.6 720.6 712.7

Total assets 6,761.8 7,000.7 7,426.7 7,694.8 8,400.8Total liabilities 2,886.5 2,998.0 3,255.5 3,175.8 3,570.0

Employees 19,128 17,666 16,605 16,708 17,398

SOURCE: COMPANY FILINGS M A R K E T L I N E

Table 11: Beiersdorf AG: key financials (€)

€ million 2010 2011 2012 2013 2014

Revenues 5,571.0 5,633.0 6,040.0 6,141.0 6,285.0

Net income (loss) 326.0 259.0 445.0 543.0 537.0

Total assets 5,095.0 5,275.0 5,596.0 5,798.0 6,330.0

Total liabilities 2,175.0 2,259.0 2,453.0 2,393.0 2,690.0


Table 12: Beiersdorf AG: key financial ratios

Ratio 2010 2011 2012 2013 2014

Profit margin 5.9% 4.6% 7.4% 8.8% 8.5%

Revenue growth (3.1%) 1.1% 7.2% 1.7% 2.3%

Asset growth 10.9% 3.5% 6.1% 3.6% 9.2%

Liabilities growth 11.1% 3.9% 8.6% (2.4%) 12.4%

Debt/asset ratio 42.7% 42.8% 43.8% 41.3% 42.5%

Return on assets 6.7% 5.0% 8.2% 9.5% 8.9%

Revenue per employee $386,527 $423,173 $482,742 $487,788 $479,427

Profit per employee $22,619 $19,457 $35,566 $43,131 $40,963



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Figure 15: Beiersdorf AG: revenues & profitability


Figure 16: Beiersdorf AG: assets & liabilities



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Johnson & JohnsonTable 13: Johnson & Johnson: key facts

Head office:One Johnson & Johnson Plaza, New Brunswick, New Jersey 08933USA

Telephone: 1 732 524 0400

Website: www.jnj.com


Ticker: JNJ

Stock exchange: New York


Johnson & Johnson (J&J) is a global manufacturer of health care products as well as a provider of related services. The

company conducts its international business through more than 275 operating companies across the globe. It has major

operations in the Americas, Europe, Asia Pacific and Africa.

The company operates through three segments: medical devices and diagnostics, pharmaceuticals, and consumer.

J&J's consumer segment develops, manufactures and markets products for baby care, skin care, oral care, wound care

and women's health care. It also offers nutritional and over-the-counter (OTC) pharmaceutical products. Its major brands

include: Aveeno (skin care products); Band-Aid (adhesive bandages); Carefree (panty liners); Clean & Clear (skin care

products for teens); Johnson's baby and adult lines of products; Motrin IB (ibuprofen products); Neutrogena (skin and

hair care products); RoC (skin care products); Pepcid AC (acid controller); Listerine and Reach (oral care products);

Dabao (moisturizers); Zyrtec (allergy products); Splenda (sweetener); Stayfree (sanitary protection products); and

Tylenol (acetaminophen products). The company sells its products to wholesalers and directly to independent and chain

retail outlets throughout the world.

J&J's medical devices and diagnostics segment manufactures and markets products used by physicians, nurses,

therapists, hospitals, diagnostic laboratories and clinics. These include products to treat cardiovascular diseases;

orthopedic and neurological products; blood glucose monitoring and insulin delivery products; general surgery,

biosurgical, and energy products; professional diagnostic products; infection prevention products; and disposable contact

lenses. The company's products are distributed to wholesalers, hospitals and retailers. In June 2014, J&J completed the

divestiture of its Ortho-Clinical Diagnostics business, a global provider of solutions for screening, diagnosing, monitoring

and confirming diseases, to The Carlyle Group for approximately $4 billion.


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The pharmaceutical segment produces and markets products in the following therapeutic areas: anti-infective,

antipsychotic, contraceptive, gastrointestinal, hematology, immunology, infectious diseases, metabolic, neurology,

oncology, pain management, thrombosis and vaccines. Key products in the pharmaceutical segment include: Remicade

(infliximab), for the symptoms of Crohn's disease, ankylosing spondylitis, psoriatic arthritis, ulcerative colitis, chronic

severe plaque psoriasis and rheumatoid arthritis; Stelara (ustekinumab), a treatment for adults with moderate to severe

plaque psoriasis; Simponi (golimumab), a treatment for adults with moderate to severe rheumatoid arthritis, activepsoriatic arthritis, and active ankylosing spondylitis; Velcade (bortezomib), a treatment for multiple myeloma; Zytiga

(abiraterone acetate), a treatment for metastatic castration-resistant prostate cancer; Prezista (darunavir), Intellence

(etravirine) and Edurant (rilpivirine), treatments for HIV/AIDS; Incivo (telaprevir), for the treatment of hepatitis C; Nucynta

ER (tapentadol) extended release tablets, a treatment for moderate to severe chronic pain in adults and neuropathic pain

associated with diabetic peripheral neuropathy in adults; Invega Sustenna (paliperidone palmitate), for the acute and

maintenance treatment of schizophrenia in adults; Invega (paliperidone) extended-release tablets, for the treatment of

schizophrenia and schizoaffective disorder; Risperdal Consta (risperidone), a treatment for the management of Bipolar I

Disorder and schizophrenia; Xarelto (rivaroxaban), an oral anticoagulant for the prevention of thrombosis following total

hip or knee replacement surgery, for the prevention of stroke in patients with atrial fibrillation, for the treatment of

pulmonary embolism (PE) or deep vein thrombosis (DVT) or to reduce the risk of recurrence of DVT or PE following an

initial six months of treatment for acute venous thromboembolism; Procrit (epoetin alfa, sold outside the US as Eprex), to

stimulate red blood cell production; Concerta (methylphenidate HCl) extended-release tablets CII, a treatment for

attention deficit hyperactivity disorder; and Aciphex EX /Pariet , a proton pump inhibitor co-marketed with Eisai. J&J's

products are distributed directly to retailers, wholesalers and health care professionals.

Key Metrics

The company recorded revenues of $74,331 million in the fiscal year ending December 2014, an increase of 4.2%

compared to fiscal 2013. Its net income was $16,323 million in fiscal 2014, compared to a net income of $13,831 million

in the preceding year.

Table 14: Johnson & Johnson: key financials ($)

$ million 2010 2011 2012 2013 2014

Revenues 61,587.0 65,030.0 67,200.0 71,312.0 74,331.0

Net income (loss) 13,334.0 9,672.0 10,510.3 13,831.0 16,323.0

Total assets 102,908.0 113,644.0 121,347.0 132,683.0 131,119.0


Employees 114,000 117,000 127,600 128,100 126,500



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Table 15: Johnson & Johnson: key financial ratios

Ratio 2010 2011 2012 2013 2014

Profit margin 21.7% 14.9% 15.6% 19.4% 22.0%

Revenue growth (0.5%) 5.6% 3.3% 6.1% 4.2%

Asset growth 8.7% 10.4% 6.8% 9.3% (1.2%)Liabilities growth 5.1% 22.1% (0.1%) 3.7% 4.7%

Debt/asset ratio 45.0% 49.8% 46.6% 44.2% 46.8%

Return on assets 13.5% 8.9% 8.9% 10.9% 12.4%




Figure 17: Johnson & Johnson: revenues & profitability



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Figure 18: Johnson & Johnson: assets & liabilities



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Table 17: L'Oreal S.A.: key financials ($)

$ million 2010 2011 2012 2013 2014

Revenues 25,873.7 26,998.1 28,717.2 29,361.9 29,903.1

Net income (loss) 2,972.4 3,236.1 3,805.8 3,925.9 6,516.5

Total assets 31,910.4 35,651.6 38,797.7 40,980.6 42,552.1


Employees 64,643 66,619 68,886 72,600 77,500


Table 18: L'Oreal S.A.: key financials (€)

€ million 2010 2011 2012 2013 2014

Revenues 19,495.8 20,343.1 21,638.4 22,124.2 22,532.0

Net income (loss) 2,239.7 2,438.4 2,867.7 2,958.2 4,910.2

Total assets 24,044.5 26,863.5 29,234.1 30,878.9 32,063.0

Total liab lities 9,178.7 9,236.6 8,308.6 8,236.1 11,874.3


Table 19: L'Oreal S.A.: key financial ratios

Ratio 2010 2011 2012 2013 2014

Profit margin 11.5% 12.0% 13.3% 13.4% 21.8%

Revenue growth 11.6% 4.3% 6.4% 2.2% 1.8%

Asset growth 3.2% 11.7% 8.8% 5.6% 3.8%

Liabilities growth (5.3%) 0.6% (10.0%) (0.9%) 44.2%

Debt/asset ratio 38.2% 34.4% 28.4% 26.7% 37.0%

Return on assets 9.5% 9.6% 10.2% 9.8% 15.6%





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Figure 19: L'Oreal S.A.: revenues & profitability


Figure 20: L'Oreal S.A.: assets & liabilities



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UnileverTable 20: Unilever: key facts

Head office: Unilever House, 100 Victoria Embankment, London, EC4Y 0DY, GBR

Telephone: 44 20 7822 5252Fax: 44 20 7822 5951

Website: www.unilever.com


Ticker: ULVR

Stock exchange: London


Unilever is a dual-listed company with two parent companies, Unilever N.V. and Unilever PLC. Unilever N.V. is a publiclimited company registered in the Netherlands, whereas Unilever PLC is a public limited company registered in England

and Wales. These two companies function as a single operating business, but retain separate legal identities and stock

exchange listings. The two parent companies, together with their Group companies, operate as a single entity (Unilever).

Unilever is one of the world's premier FMCG companies with a host of well-known brands in the foods, home and

personal care categories.

The group operates through four product segments: personal care, foods, refreshment, and home care.

The personal care segment includes skin care and hair care products, deodorants and oral care products. The group's

major brands in this segment include Dove, Lux, Rexona, Sunsilk, Axe, Pond's, Lifebuoy, Vaseline, and Close Up.

Simple and Dove are two of the company's best-known skin and facial care brands.

The foods segment includes sales of soups, bouillons, sauces, snacks, mayonnaise, salad dressings, margarines and

spreads, and cooking products such as liquid margarines. Key brands operating under this segment are Knorr, Blue

Band, Rama, Hellmann's and Amora.

Unilever's refreshment segment includes sales of ice cream, tea-based beverages, weight-management products, and

nutritionally enhanced staples sold in developing markets. Wall's, Lipton, SlimFast, Becel and Flora are the key brands

sold under the refreshments segment.

The home care segment includes sales of home care products, such as powders, liquids and capsules, soap bars and a

wide range of cleaning products. Unilever's global brands in this segment include Omo, Surf, Comfort, Cif, Domestos and

Sunlight.

Key Metrics

The company recorded revenues of $64,281 million in the fiscal year ending December 2014, a decrease of 2.7%

compared to fiscal 2013. Its net income was $6,863 million in fiscal 2014, compared to a net income of $6,426 million in

the preceding year.


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Table 21: Unilever: key financials ($)

$ million 2010 2011 2012 2013 2014

Revenues 58,741.9 61,668.2 68,114.1 66,087.6 64,281.4

Net income (loss) 5,632.4 6,135.4 5,945.6 6,426.0 6,862.6

Total assets 55,032.5 63,055.1 61,268.7 60,402.1 63,738.6Total liabilities 34,623.8 43,252.8 40,411.4 40,740.5 44,809.6

Employees 165,000 169,000 173,000 174,381 172,471


Table 22: Unilever: key financials (€)

€ million 2010 2011 2012 2013 2014

Revenues 44,262.0 46,46 .0 51,324.0 49,797.0 48,436.0

Net income (loss) 4,244.0 4,623.0 4,480.0 4,842.0 5,171.0

Total assets 41,467.0 47,512.0 46,166.0 45,513.0 48,027.0



Table 23: Unilever: key financial ratios

Ratio 2010 2011 2012 2013 2014

Profit margin 9.6% 9.9% 8.7% 9.7% 10.7%

Revenue growth 11.1% 5.0% 10.5% (3.0%) (2.7%)

Asset growth 12.0% 14.6% (2.8%) (1.4%) 5.5%

Liabilities growth 6.6% 24.9% (6.6%) 0.8% 10.0%

Debt/asset ratio 62.9% 68.6% 66.0% 67.4% 70.3%

Return on assets 10.8% 10.4% 9.6% 10.6% 11.1%





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Figure 21: Unilever: revenues & profitability


Figure 22: Unilever: assets & liabilities



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METHODOLOGY

MarketLine Industry Profiles draw on extensive primary and secondary research, all aggregated, analyzed, cross-

checked and presented in a consistent and accessible style.

Review of in-house databases – Created using 250,000+ industry interviews and consumer surveys and supported byanalysis from industry experts using highly complex modeling & forecasting tools, MarketLine’s in -house databases

provide the foundation for all related industry profiles

Preparatory research – We also maintain extensive in-house databases of news, analyst commentary, company

profiles and macroeconomic & demographic information, which enable our researchers to build an accurate market

overview

Definitions – Market definitions are standardized to allow comparison from country to country. The parameters of each

definition are carefully reviewed at the start of the research process to ensure they match the requirements of both the

market and our clients

Extensive secondary research activities ensure we are always fully up-to-date with the latest industry events and

trends

MarketLine aggregates and analyzes a number of secondary information sources, including:

- National/Governmental statistics

- International data (official international sources)

- National and International trade associations

- Broker and analyst reports

- Company Annual Reports

- Business information libraries and databases

Modeling & forecasting tools – MarketLine has developed powerful tools that allow quantitative and qualitative data to

be combined with related macroeconomic and demographic drivers to create market models and forecasts, which can

then be refined according to specific competitive, regulatory and demand-related factors

Continuous quality control ensures that our processes and profiles remain focused, accurate and up-to-date


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Industry associations

The Cosmetic, Toiletry, and Fragrance Association

1101 17th Street, NW, Suite 300, Washington D.C. 20036-4702, USA

Tel.: 1 202 3311 770

Fax: 1 202 3311 969www.ctfa.org

Aesthetics' International Association2611 N. Beltline Rd., Suite 140, Sunnyvale, TX 75182, USA

Tel.: 1 972 203 8530

Fax: 1 972 226 2339

www.aestheticsassociation.com/

Related MarketLine research

Industry ProfileSkincare in Europe

Skincare in Asia-Pacific

Skincare in the United States

Skincare in Germany

Skincare in Japan


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APPENDIX

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With stringent checks and controls to capture and validate the accuracy of our data, you can be confident in MarketLine

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