UPDATE 2-L'Oreal sees no improvement in consumer trends
* Sees no change in U.S, Europe demand
* Q3 sales broadly in line with forecasts
(Adds details, quotes, background)
PARIS, Nov 5 (Reuters) - French cosmetics giant L'Oreal (OREP.PA) said it saw no pick-up in consumer demand globally but expected improved trading in the fourth quarter.
The Paris-based group said on Thursday that while it was growing faster than the market, business, particularly in luxury cosmetics and professional hair products, remained difficult and trends were unchanged in most regions.
"We don't see changes in consumer demand in North America and in Europe," L'Oreal Chief Executive Jean-Paul Agon told analysts during a conference call. "There is no restocking in Europe or anywhere."
He expected market trends during the current quarter to be in line with those of the previous three months.
Agon's view chimed with U.S. rival Estee Lauder (EL.N) which said last week consumers continued to hold back and the holiday season ahead looked uncertain. [ID:nN30427035]
L'Oreal, the maker of Lancome creams and Yves Saint Laurent lipstick, had sales of 4.23 billion euros ($6.29 billion) in the three months to Sept. 30, marking a year-on-increase of 0.8 percent on a comparable basis and a 0.7 percent drop on a published basis.
The performance compared with expectations of 4.248 billion euros for the period based on a Reuters poll of 10 analysts.
In late August, L'Oreal said it expected revenues to gradually improve throughout the rest of the year.
Nivea skin care maker Beidersdorf (BEIG.DE) this week said it expected to return to growth next year but expressed little hope markets would reach pre-crisis levels. [ID:nLU26581]
L'Oreal's return to growth in the third quarter on a like-for-like basis was helped by a 5.9 percent rise in consumer products but blighted by a 6 percent drop in luxury sales and a 1.4 percent decline in revenues from hair salons.
Agon said he did not expect appetite for luxury products to pick up by the end of the year but comparative figures with last year would be easier. Continued...
