THE WHAT? Natura reported first-quarter 2026 revenue pressure in Brazil and Argentina, although the company delivered growth across other Latin American markets and continued progress with its Avon relaunch strategy.
THE DETAILS Natura posted first-quarter net revenue of R$4.7 billion, EBITDA of R$346 million and an EBITDA margin of 7.3%. The company said results were impacted by macroeconomic weakness in Brazil, lower consultant activity and the ongoing recovery of Argentina operations following the Avon integration completed in 2025. Despite the challenges, Natura gained market share in Brazil through stronger sell-out growth and sequential growth in its relationship selling channel. Digital sales in Brazil rose 23.6% year-on-year, while retail revenue increased 14.3%. Excluding Argentina, Hispanic markets delivered solid performance, supported by recovery in Mexico and more mature Avon integration markets. Natura also began the relaunch of Avon in Brazil and Mexico in March, with early product sales exceeding expectations. The company added that extraordinary costs linked to its new operating model weighed on profitability and cash flow during the quarter.
THE WHY? The results reflect Natura’s efforts to stabilise operations and drive long-term growth through digital expansion, operational restructuring and the integration and repositioning of Avon across Latin America.
Source: PR Newswire
