Loreal 2011 Annual Report Download - page 104

102 REGISTRATION DOCUMENT − L’ORÉAL 2011
42011 Consolidated Financial Statements
Notes to the consolidated  nancial statements
NOTE3 Segment information
3.1. Segment information
The Cosmetics branch is organised into four sectors, each
operating with specific distribution channels:
♦Professional Products Division: products used and sold in
hair salons;
♦Consumer Products Division: products sold in mass-market
retail channels;
♦L’Oréal Luxury Division: products sold in selective retail
outlets, i.e. department stores, perfumeries, travel retail, the
Group’s own boutiques and certain online sites;
♦Active Cosmetics Division: products for “borderline”
complexions ( i.e. neither healthy nor problematic),
sold through all health channels such as pharmacies,
parapharmacies, drugstores and medispas.
The
non-allocated item includes expenses incurred by the
Functional Divisions, fundamental research and the costs
of stock options not allocated to the Cosmetics Divisions. It
also includes activities that are auxiliary to the Group’s core
businesses, such as insurance, reinsurance and banking.
The “The Body Shop” branch: The Body Shop offers a wide range
of naturally inspired cosmetics and toiletry products. The brand,
originally created in the United Kingdom, distributes its products
and expresses its values through a large multi-channel network
of exclusive retail shops (in more than 60countries), as well
as through home and online sales. The Body Shop net sales
and operating profit are characterised by strong seasonal
fluctuations due to a high level of activity during the last few
months of the year.
The Dermatology branch, consisting of Galderma, a joint venture
between L’Oréal and Nestlé, meets the needs of dermatologists
and their patients.
Data by branch and by Division are prepared using the same
accounting principles as those used for the preparation of the
consolidated financial statements.
The performance of each branch and Division is measured on
the basis of operating profit.
€ millions
2011 Sales Operating profit Operational assets(1)
Investments in
property, plant
and equipment
and intangible
assets
Depreciation,
amortisation
and provisions
Professional Products 2,813.8 578.6 2,728.7 83.0 97.8
Consumer Products 9,835.2 1,859.0 6,167.0 427.6 344.8
L’Oréal Luxury 4,800.1 926.3 4,304.5 160.7 184.9
Active Cosmetics 1,421.7 286.7 857.3 28.0 43.3
Cosmetics Divisions total 18,870.8 3,650.6 14,057.5 699.3 670.8
Non-allocated -546.2 511.7 107.6 121.2
Cosmetics branch 18,870.8 3,104.4 14,569.2 806.9 792.0
The Body Shop branch 767.6 68.1 1,163.6 24.0 30.9
Dermatology branch 704.7 120.1 1,017.2 32.8 66.7
Group 20,343.1 3,292.6 16,750.0 863.7 889.6
(1) Operational assets mainly include goodwill, intangible assets and property, plant and equipment , trade accounts receivable and inventories.
€ millions
2010 Sales Operating profit
Operational
assets(1)
Investments in
property, plant
and equipment
and intangible
assets
Depreciation,
amortisation
and provisions
Professional Products 2,717.1 551.9 2,624.0 53.4 101.4
Consumer Products 9,529.9 1,764.6 5,994.0 359.3 409.0
L’Oréal Luxury 4,506.6 790.5 3,651.2 113.3 172.2
Active Cosmetics 1,385.6 278.2 829.6 23.2 40.2
Cosmetics Divisions total 18,139.1 3,385.3 13,098.8 549.1 722.8
Non-allocated -512.9 396.1 106.1 82.7
Cosmetics branch 18,139.1 2,872.4 13,494.9 655.2 805.4
The Body Shop branch 754.9 65.3 1,104.7 11.9 34.9
Dermatology branch 601.7 119.2 612.4 24.0 47.5
Group 19,495.8 3,056.9 15,212.0 691.1 887.8
(1) Operational assets mainly include goodwill, intangible assets and property, plant and equipment, trade accounts receivable and inventories.