COVID-induced lockdowns in China adversely impacted the earnings of Estee Lauder Cos. However, its rival Coty Inc., after broadly meeting Wall Street expectations in the first quarter, has a belief that its small footprints in China would offer both potential and protection. As per the chief executive officer of Coty, Sue Nabi, only 4 per cent of the company's net revenues come from China.

While the beauty company is performing well in China, it has plans to expand its presence in the makeup and skincare sector in the country after the relaxations in the lockdowns. Coty is an American multinational beauty company.

Coty's plan is to focus on Lancaster and Asia skin care pure players, the company told its investors. Interestingly, Lancaster is already doing good in Asia. The net revenue of Coty in the first quarter ending September 30 stood at $1.39 billion. The recent figure was in line with experts' prediction of $1.37 billion and was 1 per cent higher than the previous year's data, suggested a Factset poll.

Sixty years after Sino-India war, a visit to the villages that saw it

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Peace prevails after 60 years

Sixty years after the India-China war of 1962, ET taps into the lives of the people of Kaho, Kibithu and Musai (also spelt as Meshai), India’s three farthest border villages located in Arunachal Pradesh. Battered by the war 60 years ago, the villages have since remained peaceful. All the people here were either born after 1962, or were too young to have a memory of the war.

The picture shows the home of Kheti Mayor, one of the residents of Kaho, who renovated it last year to start a homestay for tourists

(Pics by Shantanu Nandan Sharma)

Neighbours of China

Red and yellow multi-storied buildings and four tall towers of New Tatu camp of the Chinese army (People’s Liberation Army) are visible from Kaho. Indian villagers say there are two nearby hamlets on the Chinese side — Sapchu and Sama.
Rima is the nearest town on the Chinese side, Jordan Mayor of Kaho tells ET.

Life goes on

While these villages have witnessed one of the deadliest wars involving India, the 17 families in Kaho village of Arunachal Pradesh seem to be little bothered by it.
This picture shows Kheti Meyor, 56, at his kitchen in Kaho. Meyor last year started a homestay for tourists, mainly explorers and researchers. While the place itself is ordinary, the home-cooked food of veggies straight from his fields, chicken and fried fish steal the show.

The daily life

There are four shops at Kaho. Everything from toothpaste to liquor bottles are available there. Indian army personnel are the main customers.

The three villages near the Line of Actual Control (LAC) are largely inhabited by Meyor, a small tribe that follows Mahayana Buddhism.

Hard to reach, even now

Reaching these villages from cities is not an easy task. A helicopter service for civilians from Dibrugarh to Hawai, the nearest Indian town, is operational every Friday, although the service often gets cancelled due to inclement weather.

On the other hand, Lauder had to cut its full-year forecast, primarily because of the ongoing COVID-19 restrictions in the Hainan province of China. The restrictions resulted in prolonged store closures and tightening of inventory by retailers which had already placed orders.

Meanwhile, pricey SKKN by Kim Kardashian is performing well, Nabi said. SKKN was launched earlier this year.

FAQs:

What is Coty?
Coty Inc. is an American beauty company.
How much net revenue did Coty report in the first quarter?
Coty's net revenue in the first quarter ending September 30 stood at $1.39 billion.

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CEO Sue Nabi says Coty's modest presence in China offers potential and protection

American beauty company Coty has reported an increase in its net revenue figure in China.