The company said that as part of a four-year turnaround, it expected to report an impairment of intangible assets of $3 billion, with fiscal 2019 earnings reflecting the final amount.
And to implement the plan, Coty said it expected one-time cash costs of $600 million over fiscal years 2020 through 2023, in addition to some $160 million "connected to previous programs."
Coty shares closed off 14% at $11.59.
By fiscal 2023, Coty aims to reduce net debt to less than four times earnings before interest, taxes, depreciation and amortization. And it seeks an operating margin of 14% to 16%.
For fiscal 2020, the company expects a "moderating decline" in net revenue compared with fiscal 2019. Operating earnings should rise 5% to 10%, adjusted for constant currencies.
The company said its banks have agreed to modify its credit agreement to align with the turnaround and enable it to reach its medium-term goals.
It said it has ample liquidity and available credit lines totaling $2 billion.
Coty said it would also move its headquarters to Amsterdam from New York. Amsterdam is cost-efficient, tax-stable and "conveniently located to Coty's main markets," the company said.
For the fiscal 2019 third quarter ended March 31, Coty narrowed its loss to 2 cents a share from 10 cents in the year-earlier period. Adjusted earnings were 13 cents in both periods. Revenue fell 10% to $1.99 billion.