Coty Inc. (COTY) shares declined 8.19% in after-hours on Tuesday, September 07, 2021, and closed the daily trading at $8.52. Even in the regular trading session of Tuesday, COTY’s stock lost 2.11%. COTY shares have risen 139.79% over the last 12 months, and they have moved down 2.52% in the past week. Over the past three months, the stock has gained 1.75%, while over the past six months, it has jumped 8.79%.
Let’s check out its latest news and developments.
Pricing of COTY common Stock
On September 08, 2021, Coty Inc announced the pricing of its previously-announced registered public secondary offering of 50,000,088 shares of Coty’s outstanding Class A common stock by KKR Rainbow Aggregator L.P, at a price to the public of $8.53 per share. Upon completion of the offering, KKR will retain 568,367 shares of Coty’s Series B Convertible Preferred Stock representing approximately 10.9% of Coty’s outstanding Class A common stock on an as-converted basis. The offering is expected to close on September 10, 2021, subject to customary closing conditions.
COTY recent financial results announcement
On August 26, 2021, Coty Inc announced its financial results for the fourth quarter of the fiscal year 2021, which ended June 30, 2021.
Q4 2021 financial highlights
- COTY reported revenue of $1,062.4 million in Q4 2021 compared to $560.4 million in Q4 2020.
- In Q4 2021, the gross margin was 60.4% compared to 40.0% in Q4 2020.
- It suffered a net loss of $221.1 million in Q4 2021 compared to a net loss of $696.2 million in Q4 2020.
- Adjusted EBITDA was $127.3 million in Q4 2021 compared to $246.6 million in Q4 2020.
FY 2021 financial highlights
- The total revenue was $4.63 billion for FY 2021 compared to $ 4.71 billion in FY 2020.
- The gross margin was 59.8% in FY 2021 compared to 57.8% in FY 2020.
- In FY 2021, the company suffered a net loss of $166.3 million compared to a net loss of $1,100.4 million in FY 2020.
- Adjusted EBITDA was $760.4 million in FY 21 compared to $174.6 million in FY20.
- As of June 30, 2021, the company had 253.5 million in cash and cash equivalents, and immediate liquidity of $2,323.2 million.
COTY new appointment
On July 22, 2021, Coty Inc appointed Constantin Sklavenitis to the role of Chief Prestige Brands Officer. Sklavenitis commenced the duties from September 6, 2021.
COTY new testing device
On July 12, 2021, Coty Inc introduced a digitally-enabled touch-less fragrance testing device intended for use at beauty retailers within the next 12 months. Real-world testing of the units at brick & mortar retail stores begins in July in key European markets, followed by a planned trial in Asia later this year.
Conclusion
The news about the proposed public offering of its common stock could be the reason behind its poor performance on Tuesday. Now the company has announced the pricing as well so let’s see how it performs on Wednesday?
