L'Oreal cancels dividend increase, halts share buybacks

Cosmetics group L’Oreal said on Tuesday its board had decided to give up on a planned 10.4% dividend increase due to the coronavirus crisis and stick instead to the same payout per share of 3.80 euros it made in 2019.

The beauty group’s revenues fell 4.8% on a comparable basis in the first quarter after widespread store closures linked to the outbreak, but it has so far remained optimistic about a consumer rebound later this year, led by China.

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L’Oreal said it would also renounce any share buyback programmes in 2020, and that Chief Executive Jean-Paul Agon’s would give up some of variable pay.