Good morning and good afternoon, ladies and gentlemen. This is Olga Levinzon, Coty's Senior Vice President of Investor Relations. Thank you for joining us today for the prepared remarks portion of Coty's fourth quarter and fiscal 2022 results. Later this morning, at approximately 8:15 A.M. Eastern Time, we will hold a separate live Q&A session on today's results, which you can access via our investor relations website. Joining me this morning for our presentation are Sue Nabi, Coty's CEO, and Laurent Mercier, Coty's CFO. Before I hand the call over to Sue, I would like to remind you that many of the comments today may contain forward-looking statements. Please refer to Coty's earnings release and the reports filed with the SEC, where the company lists factors that could cause actual results to differ materially from these forward-looking statements.
In addition, except where noted, the discussion of Coty's financial results and Coty's expectations reflect certain adjustments as specified in the non-GAAP financial measures section of the company's release. Thank you. I will now turn it over to our CEO, Sue Nabi.
Thank you, Olga. Ladies and gentlemen, with today's results marking my second full year at Coty, I'm incredibly pleased to see that Coty's turnaround continues to gain speed and momentum across each of our financial, operational, and strategic objectives. With Q4 marking the eighth consecutive quarter of Coty reporting results in line with or ahead of expectations, it's clear that we are continuing to deliver with consistency despite the increasingly complex external environment. While the macroeconomic and inflationary environment is understandably a key focal point for many, Coty is navigating this environment from a relatively advantaged position. We operate in a category, beauty, which is simultaneously a staple in consumers' daily routines, a personal and affordable indulgence, and an emotional category where brand positioning and product quality are paramount.
All of this means that beauty demand will continue to outperform the broader economic cycles and limit the risk of consumers' trade downs. At the same time, Coty's business model is unique and well-positioned, as we are one of the few companies with a strong presence in both prestige and mass beauty, with a broad geographic footprint playing across multiple beauty categories and with substantial untapped potential in areas like skincare, digital, China, and travel retail. As a result, even in the midst of the macroeconomic uncertainty, we continue to target growing our sales ahead of the beauty market, growing our profit ahead of sales, and steadily deleveraging our balance sheet, positioning Coty to become a true beauty powerhouse. There are several key points from our results that I would like to highlight today.
First, we once again delivered the revenue growth ahead of expectations with 16% like-for-like revenues, despite over 150 basis points of negative impact from our Russia business exit. The 16% growth positions Coty amongst the best in our competitive set, reinforcing the strength of our diversified business, and is also well ahead of our guidance for low double-digit like-for-like growth in Q4. Second, we delivered another quarter of exceptional gross margin growth and strong profit expansion. Despite the various inflationary headwinds, our Q4 adjusted gross margins increased 120 basis points year on year. As a result, Q4 adjusted operating income grew 44% year on year, and our net debt and leverage remained stable with Q3. Third, we continue to execute and make progress across each of our six strategic growth pillars.
Finally, with a strong end to fiscal 2022 and already two months into fiscal 2023, we see the fiscal 2023 growth trajectory developing in line with our medium-term targets, with the core business adjusting for the impact of the Russia exit, growing sales 6%-8% like-for-like, and an overall Adjusted EBITDA of approximately $955 million-$965 million based on current FX rates. It's important to reiterate that while we see no signs of demand slowing on a global level or of consumers losing their appetite for premium beauty, in this volatile microenvironment, we are remaining vigilant in monitoring external signals and having in place the necessary resilient plans to react should the demand backdrop weaken.
Our continued efforts to premiumize our portfolio in both divisions, our disciplined pricing implementation, our strengthened culture, and continued cost control are all positioning Coty for success for both the short and the long term. I will now take a few moments to cover our revenue trends during the quarter and year before Laurent takes you through our financials. Then I will finish with an update on our strategic progress and our outlook. Starting with our revenue performance, we reported 16% like-for-like sales growth in both Q4 and fiscal 2022, even in the face of over 150 basis points of impact from the Russia exit in Q4. It’s worth reminding that we began the year with guidance for low teens like-for-like sales growth in fiscal 2022, several months later raising our guidance to low to mid-teens growth and ultimately ending at +16%.
This superior growth in both Q4 and fiscal 2022 was fueled by both of our divisions and all of our regions, confirming the benefits of our diversified business model. Our prestige business, which accounts for roughly 60% of Coty, grew by a low 20% like-for-like in both Q4 and fiscal 2022, supported by strong contributions from both volume growth and price mix. We delivered double-digit growth across all of our key fragrance brands in both Q4 and fiscal 2022, coupled with strong double-digit growth in prestige makeup. Similarly, consumer beauty grew high single digits in Q4 and in fiscal 2022, also supported by both volume growth and price mix expansion. We saw solid growth in Q4 and fiscal 2022 across all of our consumer beauty product categories, including cosmetics, body care, and mass fragrances, and across nearly all of our brands.
This broad-based momentum helped to drive continued market share gains in our consumer beauty business. Moving now to sales by region. We saw growth across all regions in Q4, with all regions delivering double-digit growth in fiscal 2022. Revenues in the Americas increased +13% like-for-like in Q4, and +15% in fiscal 2022, driven by broad-based trend in nearly every market. EAME sales growth remained outstanding at +22% like-for-like in Q4 and +18% in fiscal 2022 as the markets lacked the COVID restrictions of the prior year. We saw double-digit growth across nearly every market and particularly strong travel retail momentum. Asia Pacific grew +2% like-for-like in Q4, weighed down by China lockdowns, though registered strong 14% growth in fiscal 2022.
Double-digit growth in nearly every other Asian market as well as APAC travel retail were able to offset the temporary weakness in China. I will now hand the call over to Laurent to take you through our financial results.
Thank you, Sue. While Q4 marked another quarter with an external environment that remains complex and volatile, I am pleased to share our results, which included further gross margin expansion, improved profit, and solid cash flow generation for the year. The results we delivered in fiscal 2022, which improved significantly across all KPIs, is a testament to the virtuous cycle we created. This significant progress is clearly being recognized by external stakeholders. We are pleased to see Coty achieve two ratings upgrades during fiscal 2022 from each of the leading rating agencies. At the same time, according to the latest investor filings, there has been a step change in the quality of our shareholder base, with long-only institutions now accounting for a significant majority of Coty's public ownership. This is a clear testament of Coty being now recognized as an attractive and sustainable investment.
Let's start with gross margin, which has been key to unlocking our strong performance throughout the year. Q4 adjusted gross margin of 62.1% increased by 120 basis points from last year. Gross margin performance in the quarter was driven by strong price mix momentum in both prestige and consumer beauty, aided by the continued premiumization of our portfolio, continued mix shift towards prestige brands, higher absorption on the increased sales volumes. These drivers combined more than offset a step-up in cost inflation to over 200 basis points of revenues, up from roughly 150 basis points in Q3. In total, our fiscal 2022 adjusted gross margin increased significantly by nearly 400 basis points to 63.7%, putting us well on our way towards the medium-term gross margin target we presented last November of mid-60s.
We will continue to execute on our multipronged, multi-year gross margin attack plan, while we are also positioned to benefit from positive channel, category, and regional mix shifts. As I previously mentioned, both inflation and supply chain remain very dynamic, require daily monitoring and adjustments by the Coty teams. While we continue to be impacted by select component constraints, the situation for many of these components remains largely stable relative to the last update we provided in May. We continue to manage the situation relatively well, utilizing safety stocks, alternate materials, and dual sourcing to navigate the environment.
As a result, we are able to deliver Q4 revenues ahead of our guidance and maintain service levels in the low 90% during Q4, stable with last quarter, and in many cases well above our competitors. On the inflation side, as we had anticipated, inflationary pressures on costs stepped up in Q4 to just over 2% of revenues. While we have seen pricing for certain materials ease in recent months, the expected cost inflation is currently anticipated to remain at over 2% in fiscal 2023. We have, of course, been actively preparing for this scenario. As indicated during our last earnings call, we have just completed the implementation of a mid-single-digit price increase across the portfolio, and thus far have not seen impact on volume demand. We are also evaluating another more moderate round of price increases in our fiscal Q3.
These proactive pricing actions, combined with a positive mix shift in our portfolio, represent some of the key levers to help us offset the inflationary impacts and maintain our profit equation of above-market revenue growth, coupled with profit growth ahead of revenue growth. Let me now provide an update on our All In to Win program. We continue to make significant progress with our All In to Win transformation program across five key work streams, driving meaningful improvement on cost, gross margins, spend growth, and cash. We closed fiscal 2022 with over $990 million of additional net savings, primarily driven by gross margin-related initiatives, reaching cumulative net savings of $430 million across fiscal 2021 and fiscal 2022.
It's important to remind that the gross savings delivered in fiscal 2022 were actually over $200 million, with which we were able to absorb the restoration of bonuses and merit increases, our strategic reinvestments in our growth pillars, such as digital and China, and the initial impacts of inflation. In fiscal 2023, a number of new initiatives will start to kick in. These include savings from the closure of one of our fragrance factories in Germany, which we recently completed on time and with no disruption. Savings from material value analysis, a sizable step-down in depreciation, reflecting completed depreciation of certain software investments, as well as a more focused CapEx approach and continuous optimization in trade spend. We continue to target approximately $170 million of savings in fiscal 2023, consistent with the targets we laid out.
While the expected fiscal 2023 cost inflation to over 2% of sales, as just discussed, is well above our expectations when we first outlined the All-in to Win program, and therefore partially obscures the concrete progress we are continuing to make in our cost structure, we expect that the combination of these savings projects, the continued premiumization of our portfolio, as well as the pricing actions we are taking, will allow us to more than offset the expected impact of the continued inflationary pressure on the P&L and deliver profit expansion in fiscal 2023 and beyond. Now moving to a recap of our marketing. During Q4, ANCP investments were approximately 28% of sales, up 200 basis points from last year.
The Q4 ANCP spend percentage was consistent with the full year level and in line with our guidance, with spending focused on the highest ROI opportunities. During Q4, these opportunities included sustained investment behind our recent successful innovations such as Burberry Hero and Her, BOSS Bottled Marine, Gucci Flora, as well as CoverGirl Exhibitionist. Further investment behind our white space opportunities of prestige makeup and skincare. Additional investment behind our key consumer beauty brands to fuel market share momentum, including CoverGirl, Rimmel, and Max Factor. Looking back at fiscal 2022, we hope it is evident that the marketing investments we made and resultant revenue growth and market share strengths prove the success of our strategy and the ROI that we are receiving.
As a result, for fiscal 2023, we are targeting to maintain our ANCP investment in the high 20s level, with a focus on protecting working media and remaining nimble in our allocation approach. Moving to our profit delivery for Q4 and fiscal 2022. For the quarter, Adjusted EBITDA increased modestly to $132 million, in line with our expectations, with a much larger 44% increase in adjusted operating income as depreciation declined by $15 million versus last year. Touching briefly on the EBITDA margin by segment, consistent with our comments last quarter, Consumer Beauty gross profit and margins roughly doubled from Q3 levels, though were a little lower year-on-year, given the reinvestments we continue to make in the business to fuel the divisional turnaround.
Looking at our overall fiscal 2022 results, I'm very pleased to say that Adjusted EBITDA increased 19% to $905 million, slightly ahead of the guidance we provided towards the year of $900 million. At the same time, fiscal 2022 adjusted operating income grew over 40% year-on-year. As a result of fiscal 2022 EBITDA margin expanded by 60 basis points to 17.1%, while our adjusted operating margin expanded by 220 basis points to 11.6%, even as we increased ANCP by roughly 550 basis points. Our fiscal 2022 profit growth was driven by strong revenue growth, very robust gross margin expansion, and continued fixed cost leverage, reflecting the virtuous cycle we are creating. Now moving to our EPS, which includes the following drivers.
Adjusted EBITDA in Q4 of $132 million, depreciation of $67 million, bringing the annual total to $290 million or down $36 million year-on-year. Net interest of $40 million, which included roughly $19 million of Forex benefits from the euro depreciation. Income tax of $36 million, resulting in a full year adjusted effective tax rate of roughly 28% and diluted share count of roughly $838 million, purely reflecting the low net income in the quarter and resultant anti-dilutive calculation provisions. As a result, our Q4 diluted adjusted EPS ended at -$0.01, an improvement of $0.07 versus last year. For fiscal 2022, the diluted adjusted EPS was $0.28, up $0.23 from last year as we benefited from overall profit expansion and the exit from KKR convertible preferred shares earlier in the year.
As we announced several months ago, in Q4, we entered into the total return swap transaction with several bank counterparties, effectively locking in the current attractive share price below $7.50 for a targeted $200 million share buyback program in calendar 2024. With the banks having completed their share purchase in the open market in July, the mark-to-market on the total return swap has to be included in our adjusted net income and EPS calculation. Looking ahead to Q1 and fiscal 2023, I would like to provide some additional details related to our current expectation for certain drivers of our adjusted EPS. First, we expect depreciation to be in the mid-$200 million. Second, we anticipate net interest expense for the year to be in the mid-$200 million.
Third, we anticipate an adjusted effective tax rate for fiscal 2023 in the high 20%, assuming no significant changes in tax regulation. Finally, on share count, we expect diluted shares in the $880-890 million range. Moving to our Free Cash Flow. I am very pleased with our Free Cash Flow performance in both Q4 and fiscal 2022. As we flagged on the last earnings call, Q4 free cash flow was negative due to typical seasonality of the business and some one-time saving impacts that benefited Q3 at the expense of Q4. For the year, we generated a very robust $552 million of Free Cash Flow, nicely above our guidance of over $400 million, and a very strong improvement of over $400 million versus last year.
The strong Free Cash Flow generation in fiscal 2022 reflected our continued tight control of CapEx, which remains flattish at approximately $170 million. Positive contribution from working capital as we make strong progress in our inventory days and also a step down in one-time cash costs to roughly $110 million from over $200 million last year. All of this illustrates a strengthening cash culture we have been instilling within Coty. Looking to fiscal 2023, we continue to expect another strong Free Cash Flow year. Both a year-on-year comparison will be impacted by some one-time working capital benefits from fiscal 2022, which will not repeat, as well as a focus on building up inventory levels to navigate the current supply chain complexities. Moving to our capital structure.
We ended the year with net debt of just under $4.3 billion, roughly stable with Q3. As a result, our leverage at the end of the year stood at 4.7x, unchanged sequentially, and a significant improvement of over two turns versus a year ago. We remain on track to bring our leverage down towards 4x by end of calendar 2022. During the quarter, the value of our retained Wella company stake was adjusted lower to reflect Wella's decision to exit Russia, as well as a market-driven increase in the discount rate. At the same time, Wella continues to perform ahead of plan, and with Wella having recently completed the acquisition of a high-growth haircare company, we will expect this to drive value expansion in Wella over time.
Factoring in our 26% stake of Wella at quarter end, valued at $0.8 billion, we ended the quarter with economic net debt of approximately $3.4 billion. It's worth noting that the fundamentals and momentum of the Wella business remain as strong as ever, with easing restrictions and consumers returning to salon services, and we continue to expect to garner a very attractive return when we eventually divest our Wella stake by fiscal 2025. Let me now turn it back to Sue to review our strategic progress.
Thank you very much, Laurent. Having first outlined our six strategic pillars in spring 2021, and built upon them further at our investor day this past November, I'm proud to share that we concluded fiscal 2022 with tangible progress across each of our strategic pillars and have even more in store for the coming years. Starting with our first strategic pillar, which is stabilizing and growing our consumer beauty business. Over the past quarter, the global mass beauty market has continued to grow in the mid-single digits year-on-year. This market growth continues to reflect a healthy dynamic, with 2/3 of the growth coming from volume expansion and one-third coming from price mix. Against this backdrop, our successful repositioning of many of our key brands have allowed us to outperform the market, with Coty's sell-out growing in the high single digits consistent with our sell-in growth.
This marks the eight consecutive months of market share gains for our consumer beauty business, both in color cosmetics and overall mass beauty. This is truly phenomenal outcome, exemplifying the speed, the agility and capability of the Coty organization to truly transform a business which had been in consistent decline for many years prior. Underpinning the market share momentum of our consumer beauty division is strong and broad-based share performance for our key brands. In the last period, Rimmel gained a spectacular 50 basis points of market share globally, supported by key initiatives, in particular, the launch of its Kind & Free range of clean and vegan cosmetics. As anticipated, Rimmel's Kind & Free range was the biggest consumer beauty innovation for fiscal 2022 and has become a global success across key markets such as U.K., Germany, Spain and Australia.
On CoverGirl, with the Lash Blast mascara supply issues now resolved, the brand gained market share in June in the U.S., with strong share momentum in recent launches, including Exhibitionist Stretch & Strengthen Mascara, which was the number one eye launch in the market in fiscal 2022, and Clean Fresh Lip Balm line. Similarly, Max Factor has continued to perform strongly, gaining 20 basis points of share, supported by the global resonance of Priyanka Chopra Jonas as the brand ambassador, the successful launch of Max Factor's Miracle Pure Skin-Improving Foundation, and significant momentum on social media, particularly on TikTok, with our Color Your Mood summer lip campaign.
On Sally Hansen, while the brand gained market share in the U.S. nail color category and expanded internationally, the year-over-year declines in the broader nail category due to the difficult comparisons last year meant that Sally Hansen maintained flat share in cosmetics overall. In the mass fragrance and body care part of our consumer beauty portfolio, we also delivered strong share momentum with highlights including bruno banani, David Beckham fragrances, Monange in Brazil, and Max. Moving now to our second strategic pillar, which is accelerating our luxury fragrance portfolio. It's quite clear that the global prestige fragrance market continues to boom and is over 20% higher than pre-COVID levels, led in particular by the U.S., but also strong momentum now visible in Europe.
This momentum is being driven by both unit growth as penetration rises among Gen Z and male consumers in particular, as well as premiumization as consumers broadly look for more concentrated and longer lasting scents. While concerns of potential trade down weight on certain consumer product categories, all of the most recent data continues to show that the premiumization trend in fragrances shows no sign of slowing, with ultra premium and premium plus fragrances outperforming the overall prestige fragrance market across all key countries in June. In this very favorable market backdrop, Coty continues to excel and gain market share. With the prestige fragrance market growing approximately 20% in the latest quarter, our sell-out growth in the mid-20s, fueled by several of our key fragrance brands.
Hugo BOSS gained 10 basis points of share, supported by the launch of BOSS Bottled Marine, which is resonating well across all key markets. It's worth noting that this brand strength is preceding the successful revamp of the overall fashion house, which should fuel even further momentum in the coming quarters. Burberry gained 40 basis points of share, and we are particularly pleased to see the brand gain momentum in both male and female fragrances. Burberry Hero, launched earlier in the year, remains a huge success, holding the number one innovation ranking in the U.S. last period, and the second male fragrance innovation in China for the whole fiscal 2022 year. At the same time, this successful launch of Burberry Her Eau de Toilette has propelled the Burberry Her franchise higher, particularly in the U.S.
Our efforts to continue to premiumize Burberry are also bearing fruit with the ultra-premium Burberry signatures ranking at number four position amongst high-end fragrances on Tmall. On Gucci Flora Gorgeous Gardenia remains a top seller globally, fueling 60 basis points of share gains for the brand. Finally, on Chloé, the base business is gaining share in France and Italy as we continue to further elevate the natural and sustainable parts of the brand. At the same time, in Asia, Chloé ultra-premium line called Atelier des Fleurs has reached the number one productivity rank in Sephora China amongst all artisanal fragrance brands, and a top five rank in key Asia travel retail locations. As you can see, we continue to win in the booming prestige fragrance market, fueled by our broad and diversified brand portfolio.
A key part of our second strategic pillar is also becoming a key player in prestige cosmetics. Here, I'm happy to report that our prestige makeup sales grew over 70% in fiscal 2022. As a result, this business reached 4% of our sales in fiscal 2022, up from approximately 3% in fiscal 2021, as we continue to target the expansion of this business in our portfolio. It's quite evident that our couture brands have the right to play and win in prestige cosmetics, as prestige makeup now accounts for roughly half of Burberry sales in China in key channels. Within Asia travel retail, prestige makeup is now over 40% of our overall business, speaking to the record pace with which we have been able to expand both distribution and assortment for our key prestige makeup brands.
Some recent brand highlights include our launch of the Burberry Beyond Wear Perfecting Matte Cushion, which garnered the number one share of voice in China and ranked at number eight on Tmall amongst couture brands. On Kylie, as we have brought this Gen Z-oriented makeup brand into new global travel retail locations, Kylie Cosmetics has continued to rank amongst the top three makeup brands in key airports in New York, Brazil, Paris, and London. Getting now to our third strategic pillar, building our skincare portfolio across both divisions. While many of the key initiatives here are slated for fiscal 2023 and beyond, we laid a strong foundation in fiscal 2022 with multiple green shoots. As you know, our skincare focus in fiscal 2022 was on repositioning our key Lancaster brand, starting in Hainan and then mainland China.
The momentum we have generated there in the past 12 months has fueled double-digit growth in Lancaster in fiscal 2022. In fact, Lancaster has become the second exclusive brand in Sephora in China and the third niche player in skincare in key Hainan retailers. Looking to fiscal 2023, we have a number of very exciting initiatives in store. The new SKKN by Kim skincare line has launched at the end of June, and I will share some of the highlights shortly. We have a major initiative under Lancaster coming in the second half of fiscal 2023, so stay tuned on that. We are continuing to revamp our Philosophy brand starting in the U.S.
Our Aveda, with the brand now fully integrated into Coty, our focus in the coming year is on boosting productivity in existing locations with further expansion and launches planned for fiscal 2023, 2024, and beyond. Given the importance of skincare to our strategy and business model evolution, we will be hosting an investor event on September 21st at our Lancaster facility in Monaco, focused exclusively on our skincare business. We look forward to having many of you join us by webcast or in person. As many of you saw, the much-awaited launch of the SKKN BY KIM skincare line kicked off on June 21st, exclusively on DTC. Each product in this high-performance skincare line is bottled inside sleek, minimalistic, and refillable packaging, integrating eco-friendly materials. We are now two months into the launch, and I'm very pleased with the initial results.
The brand has quickly garnered 5.5 million followers on Instagram, ahead of most other personality-driven beauty and skincare brands, with the launch activations garnering over 7 billion total impressions. In only two months, we've already reached over 20% of our sales target for fiscal 2023. Speaking to the premium positioning and perception of the SKKN brand, the full nine-piece set, priced at $575, sold out on the very first day of launch, restocking a few weeks later, and remains by far the largest seller in the collection. While it's too early to comment on repeat purchase rates, as consumers are still using their initial products, we've already received hundreds of reviews on the DTC site, with reviews on the range averaging four stars or higher.
All of this data gives us confidence as we work to build and expand the SKKN BY KIM brand. Moving to our fourth strategic pillar, building our e-commerce and DTC expertise. On e-commerce, we ended fiscal 2022 on a stronger note, with double-digit growth in our e-commerce sales in both prestige and consumer beauty. With the overall e-commerce penetration in the high teens growing versus last year despite the post-pandemic reopening of brick and mortar. With our digital team accelerating all elements of our strategy, we made very strong progress in both Q4 and fiscal 2022. Our partnership with both our retail.com customers and pure play e-retailers continue to excel with double-digit sales growth in both of these key channels. At the same time, our Tmall flagship store sales for the year nearly doubled, which is a key element of our DTC strategy.
We've continued to unlock new e-commerce platform opportunities, including Douyin and Farfetch. I'm also proud to share that Coty was recognized as online category captain by the leading European beauty retailer, Douglas, with a co-created Mother's Day campaign implemented in six markets simultaneously for the first time. From a digital engagement perspective, our initial deployment of virtual try-on tools for two of our brands, Sally Hansen and Gucci, have yielded strong results, increasing the time spent on product pages, conversion, and sales. We'll be introducing these AI features to other brands in the coming months. With the positive impact of e-commerce on our financial equation, our growth margins in both prestige and consumer beauty e-commerce remained accretive and grew versus last year. Shifting now to our fifth strategic pillar, which is expanding our presence in China.
Our China business maintained very strong momentum prior to the co-COVID lockdowns and restrictions, with our sales in the market growing approximately 30% through February, led by our prestige brands. Our focus on elevating our presence and reach on Tmall, even during the recent lockdowns, has fueled a near doubling in our flagship store sales this year on this crucial e-commerce platform. As a result of this strong online and offline efforts in China, our prestige sellout grew 11% in fiscal 2022, significantly outpacing the market, which declined at -1%. In fact, Coty is now ranked at number five in prestige fragrances and number seven in prestige makeup, despite our still small footprint in China. We also actively expanded our presence in Hainan, opening multiple counters for our key prestige fragrance, cosmetics, and skincare brands.
As a testament to our commitment to Hainan and the tremendous multi-year growth potential that we see there, earlier this month, Coty participated in the China International Consumer Products Expo in Hainan. You can see here on the screen a short video of Coty's pavilion at this expo, which drew over 280,000 visitors over five days, with the vast majority of them being consumers. Our travel retail business is also booming, both in Q4 and overall fiscal 2022. Our travel retail sales more than doubled year-over-year, with exceptional growth in all regions. I'm proud to share that we have gained significant share in Europe and U.S. travel retail driven by space expansion, channel exclusives, and successful innovations. While in travel retail Asia, we have seen substantial fragrance share growth driven by our niche collections such as Chloé Atelier des Fleurs and Gucci The Alchemist's Garden.
Our success in this channel is being further reinforced by our multi-category platform spanning fragrance, cosmetics, and skincare brands, compared to only a fragrance offering pre-pandemic. As a result, our travel retail revenues are back to a high single-digit percentage of our sales mix, consistent with fiscal 2019, despite passenger traffic being still 10%-30% below pre-COVID levels. Finally, on our sixth strategic pillar, becoming a leader in sustainability, we made strong strides in multiple areas during fiscal 2022. We continued our push into clean and sustainable beauty by launching innovations with clean formulations, more sustainable packaging, and animal-friendly formulations. Examples include Rimmel Kind & Free, Chloé Signature, and Chloé Nomade Naturelle, the revamped Kylie Cosmetics, and the new SKKN by Kim.
We took upcycling to the next level through our partnership with LanzaTech by beginning to manufacture prestige fragrances utilizing carbon capture-based ethanol, which is the number one ingredient in fragrances. We joined the EcoBeautyScore Consortium, along with other beauty companies, to co-develop an environmental impact assessment and scoring system for cosmetic products. We achieved the cruelty-free international certification for our Brazilian nail brand, Risqué, with more to come in the coming year. From a people perspective, it was great to see Coty achieve a 10-point increase in this year's Corporate Equality Index. We have more progress and initiatives in store for fiscal 2023, and we look forward to updating you on this in the coming quarters.
That brings me to fiscal 2023 and the building blocks for our outlook. While we continue to monitor the market conditions very closely, thus far, the demand conditions remain robust, particularly for prestige fragrance globally and in travel retail, Europe, Middle East and Africa, and Brazil. Against this backdrop, we have a robust launch calendar for first half fiscal 2023. In fragrances, we are following on the successful fall 2021 launches of Burberry Hero and Gucci Flora Gorgeous Gardenia, with key extensions including Burberry Hero Eau de Parfum and Gucci Flora Gorgeous Jasmine. We are also capitalizing on the strong fashion house momentum of Hugo Boss with the launch of Boss Bottled Parfum. SKKN by Kim will also be a nice contributor to our prestige business in the first half. On the consumer beauty side, we have two key launches already underway.
First, for CoverGirl, we've launched several products under the Simply Ageless franchise, including a new concealer with a very innovative ceramic wand, a lash plumping mascara, and a lipstick containing hyaluronic acid. The launch is already up to a great start with the new Simply Ageless Concealer gaining 20 basis points of share, and the Simply Ageless mascara gaining 10 basis points of share. On Rimmel, we've launched the new Thrill Seeker mascara, the first innovation to be co-created with a TikTok influencer, which is also seeing very, very strong start. Based on these building blocks, we expect the first quarter of 2023 and the first half of 2023 like-for-like sales growth of our core business, adjusting for the impact of the Russia exit, in line with fiscal 2023 annual growth of 6%-8%.
The net impact of our Russia exit is expected to negatively impact the first half of 2023 sales by 2%-3%. Based on current rates, we expect FX headwinds to sales in the first half of fiscal 2023 of 4%-6% with a more moderate impact on EBITDA. We continue to target leverage moving towards 4x exiting calendar 2022 based on calendar 2022 Adjusted EBITDA approaching $950 million. For total fiscal 2023, assuming no significant deterioration in COVID or macro environment, we expect like-for-like sales growth of the core business in line with our medium-term growth target of +6% to 8%, adjusting for the impact of the Russia exit. While we continue to execute on our growth margin expansion plans, we currently expect modest growth margin expansion in Q1 and fiscal 2023 due to the continued inflationary pressure.
As a result, and assuming no significant macro deterioration, we are targeting fiscal 2023 Adjusted EBITDA of $955 million-$965 million based on current FX rates, relatively in line with our medium-term growth targets of +9% to 11%, adjusting for the impact of the Russia exit. We expect fiscal 2023 adjusted EPS growth in the mid-teens, which assumes no significant changes in the current tax regulations or any mark-to-market adjustments on the equity swap. We also continue to anticipate adjusted EPS growth acceleration in fiscal 2024 and beyond, fueled by lower interest expenses as part of our deleveraging efforts, consistent with the medium-term targets we laid out at our Investors Day. We continue to target further reduction in leverage to 2x exiting calendar 2025.
To conclude now, I'm pleased to end fiscal 2022 with a track record of consistent delivery despite the increasingly complex external environment. Our ability to report market-leading sales growth in Q4 and exceed our guidance across metrics speaks to the strength of Coty's diverse brand, category, and regional portfolio, as well as the strong execution model we have put in place within the organization. Our progress across each of our strategic pillars and financial objectives is clear, with many new initiatives still to come. All of this supports our expectations for fiscal 2023 to be in line with our medium-term algorithm. At the same time, we remain vigilant in monitoring the ever-evolving macro backdrop with resilient plans developed to support the business should conditions worsen. We remain excited about what's in store for Coty in the coming years, and look forward to updating you on our continued progress.
We are now ready to take your questions.