DOUGLAS Group – Sales growth in the first quarter of fiscal year 2024/25. The DOUGLAS Group recorded a sales increase of 5.8% to 1.65 billion euros in the first quarter of fiscal year 2024/25. Both in-store retail and online sales contributed to this growth, with e-commerce’s share of online business increasing significantly. Despite a challenging market environment and a comparatively strong prior-year period, the company is making progress in reducing its debt and expanding its store network.
DOUGLAS Group – Solid sales growth in the first quarter of 2024/25
The DOUGLAS Group, known for its omnichannel offering in the premium beauty sector, published positive results for the first quarter of its fiscal year 2024/25 on 13 February 2025. Despite fluctuating consumer sentiment in Europe and the complexities of a challenging market environment, the company was able to achieve remarkable sales growth.
Van der Laan: Expansion and implementation of the ‘Let it Bloom’ strategy on the right track
‘We have made a solid start to the new fiscal year and continued our growth – despite an exceptionally strong previous year’s quarter and in a challenging environment with a noticeably subdued consumer climate in large parts of Europe. We are also on the right track with our expansion and the implementation of our ‘Let it Bloom’ strategy, and have significantly improved our quarterly profit and noticeably advanced our debt relief. Despite the challenging market, the guidance for the current fiscal year remains unchanged. However, we expect adjusted EBITDA to be at the lower end of the range issued,’ commented Sander van der Laan, CEO of the DOUGLAS Group.
DOUGLAS Group – growth in store sales and e-commerce
Like-for-like Group sales rose by 5.3%, with price inflation well below that of the first quarter of 2023/24. In the period from 1 October to 31 December 2024, Group sales rose by 5.8% to approximately 1.65 billion euros, compared to 1.56 billion euros in the same quarter of the previous year. The development shows that both the stationary stores and e-commerce contributed to the increase in sales. Store sales grew by 5.7%, while online sales increased by 6.2%. It is particularly noteworthy that the e-commerce share, excluding the now sold online pharmacy Disapo, actually grew by 8.3%.
Strong year-end – weaker momentum in December
Strong sales were recorded in October and November, during Singles’ Day and Beauty Fridays. However, sales momentum weakened in December, reflecting the general industry trend and, according to the company, partly due to a later Black Friday.
Strong net profit and EBITDA increase
The DOUGLAS Group generated a net profit of €163 million in the first quarter, an increase of 30.2% over the previous year. This is a positive development that can be attributed to improved operating efficiency and declining interest expenses. By comparison, the net profit in the previous year was 125.2 million EUR. The adjusted EBITDA rose by 1.5% to 353.5 million EUR, while the adjusted EBITDA margin of 21.5% was just below the previous year’s figure of 22.4%.
Progress in store expansion, exclusive products and modernisation
The DOUGLAS Group opened a total of 20 new stores between October and December 2020, including a new flagship store in Zagreb. The modernisation of existing stores also remains a central theme in the ‘Let it Bloom’ growth strategy. This expansion reflects the company’s interest in strengthening its market presence and appealing to a broader range of customers. Another important part of the strategy is the introduction of exclusive products, such as the TYPEBEA brand by Rita Ora, which will be launched simultaneously in all 22 omnichannel countries.
Outlook and forecasts show further growth potential
The DOUGLAS Group is adhering to its sales forecast for the 2024/25 fiscal year, which projects an increase to between 4.7 and 4.8 billion euros. The adjusted EBITDA is expected to be at the lower end of the range of 855 to 885 million euros. This shows that the company continues to see growth potential despite the challenges in the market environment.
Solid performance in a challenging market environment
The DOUGLAS Group delivered a solid performance in the first quarter of the 2024/25 fiscal year, characterised by sales growth, increased net profit and positive development in store expansion. In a challenging market environment, the company is demonstrating that a combination of strategic planning, e-commerce integration and customer focus is crucial to success. The positive outlook underlines this development.
[Text: epcnews/Photo: Douglas]