Natura swings to Q3 loss on weaker Brazil demand, integration challenges

Brazilian beauty maker Natura swung to a recurring internet loss within the third quarter on Monday, hit by slowing shopper demand in its native market, in addition to challenges within the agency’s model integration in Latin America.

The firm’s internet loss got here in at 119 million reais ($22.02 million) within the July-September quarter, reversing a 301 million actual internet revenue recorded in the identical interval a 12 months earlier.

It additionally reported recurring earnings earlier than curiosity, taxes, depreciation and amortization (EBITDA) at 577 million reais within the interval, a decline of 33.7% year-on-year.

According to Natura’s monetary assertion, the agency confronted income challenges all through its operations, with internet income reaching 5.2 billion reais within the third quarter, down 13.1% from a 12 months earlier.

In Brazil, Natura’s largest market, the place financial development has slowed amid the very best rates of interest in almost twenty years, internet income fell 3.7% year-on-year to 3.2 billion reais.

“The slowdown in the beauty market in Brazil, first identified in June 2025 and still ongoing, has led to the growth of the Natura brand stabilizing after a period of low double-digit expansion,” the corporate added.

In its Spanish-speaking Latin American markets, Natura cited integration challenges following the July merger of its Natura and Avon manufacturers in Argentina.

Net income in these markets fell 3.9% year-on-year to round 2 billion reais.