(Reuters) –CoverGirl parent Coty, (NYSE:) Inc raised Tuesday its profit expectations for 2018. It benefited from its focus skincare products with high margins even though quarterly sales were affected by COVID-19 curbs in certain markets.

However, sales in America rebounded as the US reopened offices and social gatherings increased demand. Hugo Boss perfume maker shares went up 2%.

“We’re selling more high-end products and more costly categories in countries where the price elasticities are higher.” In an interview, Sue Nabi, Chief Executive Officer of Lancaster Skincare Company said that China is the best example of Lancaster skincare.

Coty also benefited from its new line of products, including the Flora Gorgeous Gardenia fragrance by Gucci and Rimmel’s Kind & Free collection.

Cosmetics giant has increased investments in high-margin markets and those with higher spending power. They collaborated with Miley and Adam Driver to create new packaging.

Coty increased its adjusted per share profit forecast for 2011 to between 22c and 26cs. It was previously 20 cents to 24cs.

However, Coty’s sales rose only 12% in the second quarter compared to 34% in the first. This is partly due stop-start lockdowns and zero-COVID policies in China. China is a market that has high growth potential for many U.S. brands.

Fiscal 2022 revenue growth was also projected by the company towards the upper end of its range in low to mid teens, while analysts expected a 15.5% rise.

Recurrent operations revenues rose to $1.58billion, 12% more than analysts expecting at $1.60billion.

CEO Nabi claimed that Omicron had “a limited effect clearly.”

The adjusted earnings per share rose by 4 Cents to 17 Cents in the third quarter. Analysts’ average estimate was 11 cents. Refinitiv IBES data shows that this beats analysts’ average estimation of 11 cents.