A unique form of governance in France
Interview with Pierre-Yves Revol, President of the Pierre Fabre Foundation and of the Group’s holding company.
What do you consider to be the Group’s greatest strength?
Pierre-Yves Revol : Its multidisciplinarity, developed very early on by our Founder. A few years after the launch of a venotonic, which was very innovative for its time, he offered pharmacists the first dermo-cosmetic products with Klorane in 1964, then Ducray in 1969. It was a risky bet, but was based on a firm belief: pharmacists were best placed to recommend safe and effective cosmetics. As a dispensary pharmacist himself, he was aware that his colleagues were ready to follow him in this diversification, provided that the products on offer were different from the cosmetics sold in other channels. Now, six decades later, other players have joined us in this market, but we remain the only ones to offer such a wide range, from drugs to cosmetics and daily health products. Operating in markets with very different business cycles offers a considerable advantage.
How would you describe the relationship between the Group and the Foundation?
Pierre-Yves Revol : The Foundation holds the Group’s capital and therefore guarantees its independence. Its action program is financed mainly by the Group. This highly virtuous system is therefore based on the Group’s ability to generate sufficient return to cover all its investments and, in addition, to pay a portion of its profits (around 10%) to the Foundation. The Foundation is dedicated solely to its public interest mission: give access to care and quality drugs in the least developed countries, mainly in sub-Saharan Africa. So the Foundation is not involved directly in the management of the Group, whose supervisory body is the holding company Pierre Fabre Participations, and its action programs are unconnected to the Group’s activities. This is what makes the governance system desired by Pierre Fabre so honorable.
2023 marks the 10th anniversary of Pierre Fabre’s passing, what remains of his legacy?
Pierre-Yves Revol : The essentials live on, not least a product portfolio that he largely developed himself, which offers a good balance of medical products and dermo-cosmetics. Secondly, the ability and audacity to project and innovate by drawing inspiration from the benefits of science and nature. Both are still relevant today. Some examples: Green Mission and the Green Impact Index, and our developments in innovative oncology. These all have the same aim that Mr. Fabre did: to stand out from the competition and turn to niche markets often neglected by the big players. I would also add team renewal and internal promotion. Pierre Fabre had a great propensity to surround himself with young talent and to promote them within the company.