Coty is gearing up for a major shift. On Thursday, the global beauty powerhouse announced it will restructure operations in key markets as part of the next phase of its “All-in to Win” transformation program. The changes are expected to impact around 700 positions worldwide.

The move reflects Coty’s broader strategy to simplify and scale its operating model, reduce complexity, and sharpen its focus on high-priority innovations and market opportunities. The company, which owns a portfolio of major brands across fragrance, cosmetics, and skincare, aims to become leaner and more agile as it positions itself for long-term sustainable growth.

Building on its earlier transformation efforts launched during the Covid-19 pandemic, Coty has already achieved over $700 million in savings from FY21 to FY24, while improving gross margins, boosting brand investment, and strengthening EBITDA.

“We are committed to building a stronger, more resilient Coty that is well-positioned for sustainable growth,” said Coty CEO Sue Nabi. “This next phase of our transformation program will further strengthen our operating model and simplify our fixed cost structure. We fully anticipate these changes will strongly position Coty to outperform the beauty market in the coming years, cementing our global leadership position in fragrances while expanding into growing, profitable beauty categories.”

As part of the initiative, Coty will streamline its innovation pipeline by identifying launch priorities earlier and concentrating resources on fewer but more impactful projects. The company also plans to cut non-people fixed costs across all spending categories.

The new measures are projected to generate around $130 million in annual fixed cost savings before taxes — including $80 million expected in FY26 and another $50 million in FY27. Coty estimates one-time cash costs of about $80 million to implement the changes, split evenly between FY26 and FY27.

Additionally, Coty will continue its existing productivity program, targeting $120 million in savings for FY25 through supply chain and procurement improvements. Combined, these initiatives are expected to deliver nearly $500 million in total savings from FY25 through FY27.

With this aggressive transformation strategy, Coty is reinforcing its commitment to growth, efficiency, and industry leadership in the highly competitive beauty market.