Perfumes And Cosmetics Giant Coty Expected To Fall £95.2 Million Into The Red This Week

Pop star Katy Perry launching her celebrity fragrance

Perfumes and cosmetics giant Coty, which owns Marc Jacobs, is tipped to slide $122.8million (£95.2million) into the red this week, when it unveils its full-year results.

Wall Street analysts expect Coty will post an annual net loss because of the cost of restructuring and integrating Procter & Gamble's beauty business.

Coty gained ownership of 43 household brands, including Wella fragrances such as Stella McCartney

The £9.7 billion acquisition last year gave Coty ownership of 43 household brands, including Wella, Max Factor and Clairol, as well as fragrances such as James Bond 007, Stella McCartney and Alexander McQueen.

It turned Coty into one of the world's biggest beauty products firms, propelling it from ninth to third, behind L'Oréal and Estée Lauder.

Analysts believe that the P&G deal has sent Coty's revenues for the 12 months to the end of June 74.4 per cent higher to $7.6billion (£5.9 billion).

Coty's other key brands include Bourjois and Rimmel, as well as celebrity fragrances like David Beckham and Katy Perry.

In April it took control of Burberry's fragrances and cosmetics business in a deal valued at £180million.

The agreement will see Coty produce and distribute Burberry-branded fragrances under a £130million licensing agreement for at least 10 years.

The deal also saw Coty buy £50 million of stock from Burberry.