UK is L'Oreal's top beauty spot

L'OREAL today revealed Britain was its fastest growing market in Europe for the second successive year in 2003, posting net operating profits of e1.65bn (£1.1bn) against e1.46bn.

The world's biggest cosmetics group turned in its 19th consecutive year of double-digit profit growth and said 2004 would beat last year's pace of underlying sales growth.

Sales fell 1.8% knocked by a strong euro, to e4.03bn, but efficiency gains helped L'Oreal lift its operating margin to 14% versus 12.9% last time.

Four of the French giant's beauty products are sold every second in Britain.