2021 UNIVERSAL REGISTRATION DOCUMENT

2021 was a decisive year for L’Oréal.

Firstly, both in the financial and extra-financial spheres. Thanks to its robust and balanced business model, coupled with the strategic choices made over the past few years, the Group has come through the crisis remarkably well and continued its virtuous path. The exceptional financial performance achieved in 2021—a combination of very strong sales growth, market share gains and a record increase in profitability—enables us to pursue our dynamic shareholder return policy.

L’Oréal has again made huge progress in sustainable development, gender equality and inclusion. It is vital to continue accelerating in tackling today’s huge environmental and societal challenges. This is what we do particularly with L’Oréal for the Future. This programme, launched during the pandemic, aims at a more radical transformation of our company towards being an ever more exemplary, responsible, and supportive corporate citizen.

This dual excellence-financial performance and environmental, social, and societal exemplarity‑forms the backbone of our strategy.

On behalf of the Board of Directors and myself, I would like to warmly thank and congratulate each and every one of L’Oréal’s 85,400 employees. It is they who-through their quality, creativity, engagement, and desire to act responsibly-create lasting, shared value.

2021 was also a year of change with regards to governance and shareholder structure, in order to strengthen L’Oréal’s position in the years to come.

Following the dissociation of the functions of Chairman and Chief Executive Officer, in May Nicolas Hieronimus became in May the sixth CEO in L’Oréal’s 112-year history. The transition, prepared long in advance, took place seamlessly and in the spirit of continuity, true to the tradition of our company. The two roles are complementary and clearly defined. As Chairman, I will oversee the definition of the strategic orientations and ensure effective governance. I am particularly honoured to continue serving the company I have devoted my life to.

I am convinced that our commitment to continuously improving our governance will be a fundamental asset for the Group in the long term. In this regard, receiving the 2021 Grand Prix Award for Corporate Governance from l’AGEFI is a source of great pride and encourages us to intensify our efforts.

Another strategic milestone was the reinforcement of the shareholder stability around the Bettencourt Meyers founding family and Nestlé. The agreement, approved by the Board, for the repurchase by L’Oréal of 4% of its capital held by Nestlé, is in the interest of L’Oréal and all its shareholders.

I have immense confidence in L’Oréal’s future.
Driven by the vision, talent, and commitment of Nicolas Hieronimus and all our teams, a new era of the L’Oréal Adventure is beginning.

It truly promises to be remarkable.