Natura’s profits have slumped more than expected due to pressure on its business in Brazil, as a result of operational challenges, temporary tax effects and the macroeconomic environment. Across the business, revenue was R$5.2bn in the second quarter, down 9.1% year-on-year (YoY) as the performance in Natura’s Hispanic business failed to offset declines in Brazil. Revenue in Brazil, which is Natura’s largest market, was down 14.8% YoY. “Q2 2026 results revealed greater-than-expected operational challenges in Brazil, which were amplified by the macroeconomic environment,” the company said in a message from management published with its financial results. “On a consolidated basis, operational challenges in Brazil weighed more heavily due to its significant share of the overall business.