Coty Inc.'s stock plummeted 16.98% during intraday trading on Friday, reflecting a sharp decline in investor confidence.

The movement follows the beauty products maker's report of a swing to a second-quarter loss, with adjusted earnings per share missing analysts' expectations. The company subsequently withdrew its full-year financial guidance, citing weak consumer beauty trends, a difficult industry backdrop, and an ongoing leadership transition.

Interim CEO Markus Strobel described the company's recent financial performance as disappointing. Coty anticipates a mid-single-digit percentage decline in like-for-like revenue for the current quarter, primarily due to weakness in its Consumer Beauty division, as it implements a new strategic framework.