Despite another quarter of declining sales, Brazilian beauty conglomerate Natura & Co is considering selling The Body Shop.

In the filing, Natura & Co, which owns the Avon and Natura brands and is selling its Aesop line to L’Oreal, wrote that its board “recently authorized its management to explore strategic alternatives for The Body Shop.” 

The document lists several alternatives, including a “potential sale”. 

There is no guarantee that this process will result in a transaction. “Natura will not comment or provide updates regarding this matter unless and until it determines that further disclosure is appropriate or required,” the filing noted. 

Last year, Natura, based in Sao Paulo, denied rumors that it was planning to sell The Body Shop. The brand is now looking for a buyer after sales declined for numerous quarters a year ago. 

It announced its second-quarter results on Aug. 15 and said sales at The Body Shop fell 12% to 800 million Brazilian reals, or $163.7 million. 

In the U.S., the company sells natural skin, hair and makeup products. The company’s top line has been under pressure for several quarters. 

To increase margins and generate cash, executives have boosted sales and reduced costs at the chain. 

Retail sales have been sluggish as a whole due to inflation and high interest rates, but the beauty sector has been a bright spot. Growth and profits have been reported by a number of cosmetics companies.

During an August earnings call, executives said The Body Shop has struggled to retain its market share after consumer habits shifted during the Covid pandemic.