The cosmetics giant has been pushing to pivot and divest global assets, including the sale of Aesop and The Body Shop brands while focusing on Latin American markets, where it has been integrating Avon and its eponymous brand.

Brazil-based cosmetics maker Natura &Co reported this week a net loss of 934.9 million reais (US$181.29 million) in the first quarter, higher than the 652 million reais loss it recorded a year earlier.

The cosmetics giant has been pushing to pivot and divest global assets, including the sales of Aesop and The Body Shop brands while focusing on Latin American markets, where it has been integrating Avon and its eponymous brand.

Natura grew rapidly through high-profile acquisitions in recent years, including those of The Body Shop, Aesop and Avon International, but ended up struggling with profitability.

FOLLOWING THE NUMBERS

Natura's net income fell 5.7% year-on-year in the first quarter, to 6.1 billion reais (US$ 1.14 billion).

Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) increased 4.1% to 682.8 million reais (US$132.3 million), bringing the closely watched EBITDA margin up by 110 basis points, to11.2%.

"We are encouraged that the first quarter of the year has delivered positive results with a consolidated margin expansion," said CEO Fabio Barbosa.

"The solid start to the year gives us confidence that the initiatives we are implementing are beginning to yield the expected results and we remain extremely confident with the potential of the integration of both brands in Latam," he added.