Photo: Inside Natura’s São Paulo, Brazil, retail store.
A new CEO is taking the reins at Brazil’s Natura Cosmeticos as the company battles the effects of an ongoing recession in its domestic market.
The beauty company announced that its board has promoted João Paulo Brotto Gonçalves Ferreira to CEO, following the resignation of Roberto Oliveira de Lima, who joined Natura’s board in 2012 and was named chief executive at the end of 2014.
“During his tenure as CEO of the company, Roberto formed a solid Executive Committee and delivered important projects that included the digitalization of the business, the entrance into new channels and the repositioning of the Natura brand,” Jose Roberto Lettiere, Chief Financial and Investor Relations Officer, said in the company’s announcement.
Incoming CEO Gonçalves Ferreira has been with Natura for seven years, most recently in the role of Commercial Vice President, overseeing the functions of supply chain, manufacturing, international operations and sustainability. As CEO, he is tasked with accelerating implementation of the company’s growth strategy, which includes revitalizing Natura’s direct sales business, streamlining the portfolio, and maintaining the pace of international growth.
The cosmetics maker continued to face economic headwinds in the most recent quarter, amid Brazil’s lengthiest recession in eight decades. Net income fell to 73.1 million reais (US$23.1 million*), down 44.6 percent from a year earlier.
Management said consolidated net revenues dipped 4.7 percent to 1.9 billion reais (US$600.3 million), as Brazilian consumers seek out cheaper alternatives to the brand’s toiletry products—a category that accounts for more than half of sales. Outside Brazil, revenue from operations in France, Mexico, Colombia, Peru, Argentina and Bolivia remained relatively flat year over year at 637.1 million reais (US$201.3 million).
*US$1 = 3.16 reais
