L’Oreal says weight loss drugs are impacting beauty and skincare sales

What the report says

L’Oreal says the growing use of GLP-1 weight-loss drugs is beginning to affect demand in parts of the beauty and skincare market, as the company adjusts some products to address effects linked to rapid weight loss. The comments were made by chief executive Nicolas Hieronimus on an investor call, according to The Independent Uganda, which reported the remarks from London. He described GLP-1 use as an important trend for the company and said it was influencing beauty consumption, especially skincare.

The company said sales rose 7.7% in the three months to September, beating analyst expectations, even as it pointed to a challenging global environment. L’Oreal owns brands including Maybelline, La Roche-Posay, SkinCeuticals and Kiehl’s. The report said some of these brands are being positioned to address side-effects such as skin sagging, which can follow significant weight loss. Rapid weight loss itself is not caused directly by GLP-1 drugs, but it can be associated with changes in facial appearance and looser skin.

The article also noted that L’Oreal has expanded its interest in clinical aesthetics, including a larger stake in dermatology company Galderma. Reuters was cited for reporting that both firms have tested products on GLP-1 users worried about loose skin. The development matters because it shows how the popularity of drugs such as Ozempic, Wegovy and Mounjaro is starting to influence adjacent consumer industries beyond healthcare.