Just a few years ago, IL Cosmetics, a key player and leader in third-party cosmetic manufacturing, spoke about its development plans, including its goals of opening new branches and a new production plant, as well as pushing to expand beyond Europe where it already has a well-established presence, to reach new markets. Desires that materialized a year ago in September 2024 when the Luxembourg-based giant acquired Cosmetion.
This was a strategic move because Cosmetion, now the Group’s Italian hub, has a strong presence in the heart of Italy’s “Cosmetic Valley” and extensive expertise in powders, an area that IL Cosmetics previously lacked. The acquisition thus enriched and completed IL Cosmetics’ portfolio offerings. For the Group, which has set itself a goal of reaching €200 million in revenue by 2030, a new and significant chapter has begun. One that is focused on major investments, diversification, creativity, and innovation. Here’s what President Jean-François Harpes had to say to us.
How was IL Cosmetics founded and how is it structured?
Our journey began in 1984 when we established ourselves as a full-service manufacturer of nail polishes. Nearly two decades later, in 2003, we expanded into makeup, developing experience with eye and lip products and broadening our portfolio.
In 2010, we opened our first filling plant in Poland, followed by a second one in Bulgaria in 2019, increasing our manufacturing capacity and enhancing customer service. In 2024, we took a major step forward with the acquisition of Cosmetion, increasing our expertise and adding a new R&D center in Italy. This strategic move has allowed us to accelerate innovation and expand our product offering to include cosmetic powders.
2025 will be a key year for you…
Absolutely! We have significant projects underway: first off, we will be launching our first cosmetic powders and liquid foundations. Then, we will be opening a second makeup production plant in Luxembourg, marking yet another chapter in our growth process. The Group will reach a total production capacity of 7,500 tons (equivalent to 750 million units), with an internal filling capacity of 250 million units. After closing 2023 with €130 million in revenue, we are strengthening our structure to support our ambitions and build the necessary capabilities to reach €200 million by 2030. Today, the Group employs approximately 600 people across four countries.
Besides nail polish, your flagship, globally recognized product, you are now active in the eye and lip segments as well. How is your business distributed?
80% of our business consists of supplying turnkey products (full-service manufacturing), mainly for the European market, while the remaining portion involves bulk products for the U.S., LATAM, Middle East, Africa, and Asia.
Aligned with our global diversification strategy, we are actively pursuing geographical expansion, with a particular focus on the U.S. and the Middle East. This approach allows us to tap into new markets, strengthen our international presence, and further solidify IL Cosmetics as a global leader in the beauty industry.
As for our product offerings, makeup accounts for 55% of IL Cosmetics’ revenue, with a significant impact on the corporate portfolio. Nail products represent 45%, followed by eye products (40%) and lips (15%).
As part of our growth strategy, IL Cosmetics is accelerating innovation and expanding its range of products to include new categories, further diversifying its portfolio and reinforcing its expertise.
In 2024, you acquired Cosmetion. What prompted the acquisition?
The Italian hub represents a fundamental step in IL Cosmetics’ expansion because it strengthens our portfolio with “Made in Italy” products and accelerates innovation in new product categories.
Cosmetion is a new manufacturing facility, a corporate development center, and an R&D hub in the Crema region that melds with our product development team in Luxembourg, which is structured into three divisions: Color, Nails, and Emulsions. With the addition of the Italian team, our product development team is now comprised of 55 dedicated experts, representing 10% of our total workforce. The Italian hub will concentrate on face, eye, and lip products, ultimately enhancing our expertise and advancing product development. Cosmetion is becoming a specialized production hub for powders, eye, and lip products, with enhanced production and storage capabilities. To better support our business and operations in Italy, we are establishing dedicated sales offices and a regional business development team which will allow us to strengthen our relationships with customers and provide them with even better service.
What goals did you set for yourself from this acquisition in the short to medium term?
The investments and resources allocated to reach our goals are important: we’re talking about a €20 million plan for 2024-2025, which involves the entire IL Cosmetics Group, including Cosmetion. By the end of 2025, we will have expanded production, warehouses, laboratories, and offices, all without delaying current operations or disrupting service to existing customers. This investment plan will allow us to double our production capacity in both Italy and Luxembourg by the end of 2025.
Can you share any sneak peeks of the products (or trends) you’ll be showcasing at Cosmopack Bologna?
Innovation is at the center of everything we do, and this is reflected by the new products we will launch at Cosmopack 2025: from nail care products that deliver extraordinary results to long-lasting ultra-gel-like polishes and even a revolutionary soak-off gel polish that can be removed effortlessly using just warm water and soap. We also can’t forget our latest mascaras, including ultra-sculpting, volumizing mascaras, waterproof and vegan mascaras, colored tubing mascaras, and an intense black water-resistant eyeliner. For lips, our new hybrid glosses redefine color, care, and comfort in one unique, innovative formula. And for the first time, there are powders! …And this is just the beginning!