Natura Announces Q2 2026 Financial Results

Natura announced its results for the second quarter of 2026. 

During this period, revenue totaled BRL 5.2 billion, with performance in Brazil impacted by product unavailability, temporary tax mismatches, and a subdued consumption environment in the country.

“The operational challenges in the quarter stemmed from necessary adjustments to pave the way for future business growth, such as investments in digital and logistics capabilities and the realignment among direct sales, online, and franchise channels, although product shortages were greater than initially anticipated,” commented João Paulo Ferreira, CEO.

Hispanic markets posted accelerated growth of 7.2% in constant currency, driven by consistent progress in Mexico and a continued recovery in Argentina. 

The Natura brand grew by 12.3% and Avon by 4.7% in the region, with an increase in both revenue and profitability, which benefited from the efficiencies of Natura’s new operating model.

According to the CEO, although this performance represents a temporary setback from Natura’s return to full growth, the fundamental business thesis remains unchanged. 

In early July, Natura had already informed the market that the quarter’s revenue had been impacted by a series of internal operational adjustments. 

Now, upon releasing its 2Q26 results, the Company reiterated that actions are underway to address these issues, including:

• Initiatives to rebalance the supply chain throughout the second half of 2026.
• Incentives for the sales force and commercial strategies targeting high-turnover categories.
• A return to a rapid pace of store openings and a new franchise agreement model.
• Expansion of the beauty consultants’ new digital store, “Minha Loja,” and entry into new marketplaces.

Natura will continue to make strategic investments in marketing, R&D, and digital innovation, ensuring the long-term health of the business. The company also reaffirmed its outlook for free cash flow to firm to exceed that of the previous year, while keeping leverage levels within the optimal range.