Coty shares jump 2.9% premarket as revenue tops estimates on strength in Americas and China

Coty Inc. shares COTY, +0.73% rose 2.9% in premarket trade Thursday, after the cosmetics company beat revenue estimates for its fiscal fourth quarter after a strong performance in the Americas and China. The company posted a net loss of $210.2 million, or 29 cents a share, for the quarter to end June, narrower than the loss of $722.8 million, or 91 cents a share, posted in the year-earlier period. The company's adjusted per-share loss came to 9 cents, wider than the 5 cents loss consensus of FactSet analysts. Revenue rose to $1.062 billion from $560.4 million a year ago, ahead of the $1.009 billion FactSet consensus. "While all regions returned to YoY growth in Q4, the U.S. and China markets were standouts," the company said in a statement. The Americas region saw sales rose 67%, while Asia Pacific grew 59% with China growing by double digits on a quarterly and full-year basis, as well as compared with 2019. The company continued to cut costs and achieved $70 million of reductions in the quarter to bring the fiscal 2021 total to more than $330 million. Coty is now expecting first-quarter sales to grow by a high teens percentage. The company is also seeking a partial initial public offering of its Brazil business. Shares have gained 17% in the year to date, while the S&P 500 SPX, +0.22% has gained 19.7%.