Key Takeaways
- AS Beauty has closed Cover FX and Mally Beauty, prioritizing brands that show sustained growth.
- Cover FX was known for its inclusive shade ranges and was influential in championing diversity in beauty.
- The closures reflect broader challenges in the beauty industry, including competition and shifting consumer preferences.
AS Beauty Closes Cover FX and Mally Beauty
AS Beauty has officially shut down its brands Cover FX and Mally Beauty, citing the need to focus its resources on brands that show better growth potential. The decision comes amid considerable challenges in the beauty industry, including rising competition and cost pressures.
Cover FX was founded in 1999 by Victor Casale and Lee Graff, gaining recognition for its commitment to inclusivity in complexion shades years before the influential launch by Fenty Beauty. The brand became famous for products such as Custom Cover Drops and Power Play Foundation. However, it struggled financially, with gross sales plummeting from $65 million in 2018 to $20 million by early 2022. AS Beauty acquired Cover FX in 2022, but despite a revamp intended to inspire sales, it received pushback from loyal customers who felt that product offerings were diminished.
Sara Mitzner, Vice President of Brand Marketing at AS Beauty, stated the closures would allow the company to concentrate investment and talent on brands demonstrating more sustained growth. Mitzner expressed enthusiasm for future opportunities, hinting that AS Beauty is actively seeking acquisitions that align with its long-term strategy.
Mally Beauty, founded by celebrity makeup artist Mally Roncal in 2005, became well-known through QVC, where Roncal’s on-air presence helped establish the brand’s signature long-wear eye products. Mally Beauty was also acquired by AS Beauty, which has now chosen to wind it down. This closure was, however, anticipated by some, especially in light of frequent sales and declining stock presence noted by consumers.
Reactions to the news have revealed a deep emotional connection to both brands. Makeup artists and industry insiders expressed sadness over the closures, recognizing the meaningful impact that Cover FX and Mally Beauty had on their followers. Instagram posts from both brands reflected gratitude towards their communities, acknowledging the challenges faced by the beauty industry amid changing market dynamics.
The landscape in the beauty industry is shifting rapidly, with sales in prestige makeup not keeping pace with overall beauty growth. While prestige makeup sales grew by 3% in the first nine months of 2025, total prestige beauty sales increased by 4%. As AS Beauty prepares for potential future acquisitions, it is aiming to reposition itself with successful brands such as Laura Geller Beauty, which has recently seen significant growth.
Overall, the closure of Cover FX and Mally Beauty serves as a reminder of the volatility within the beauty market, highlighting how quickly consumer trends can shift. AS Beauty’s decision underscores the necessity of focusing on brands that can adapt to these changes and resonate with current consumer preferences, reflecting a broader trend in the industry toward consolidation and renewed focus on growth-oriented brands.
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