Douglas Q2 figures show slight dip, maintains FY guidance

Published 15/05/2025, 09:32
Douglas Q2 figures show slight dip, maintains FY guidance

Investing.com -- Douglas, the beauty retailer, reported slightly lower Q2 sales at €939.0m, a 2% year-on-year (yoy) decrease, and 1% below the Vara consensus of €946.9m.

Shares fell 1.2% in today’s trading session.

This drop in sales was attributed to market volatility that led to lower footfall and fewer online visits, as well as unfavorable calendar-related factors. Both in-store and E-commerce sales saw a decrease, with store sales dropping by 0.1% yoy and E-commerce sales decreasing by 5.6% yoy.

The adjusted EBITDA for Q2 came in at €122.4m, a 16% yoy decrease, but 3% higher than the Vara consensus of €118.5m. This corresponds to an adjusted EBITDA margin of 13.0%, a decrease of 220 basis points yoy. Despite the dip in Q2 figures, Douglas maintains its guidance for 2024/25 that was lowered in March.

The company expects to generate around €4.5bn in sales, achieve an adjusted EBITDA margin near 17%, and report a net income of around €175m. The average net working capital is projected to stay below 5% of sales.

Douglas has decided not to provide new mid-term guidance due to the current global macroeconomic and political landscape, as well as market sentiment in the beauty industry. Instead, a revised mid-term forecast will be given with the full-year results in December. The company expects recovery in the global economic landscape and the premium beauty market in the medium term.

In response to the weakening market sentiment, Douglas has implemented measures to stabilize both sales and earnings. These measures include cost optimization initiatives and stricter management of working capital.

Q2 sales, excluding the divested online pharmacy Disapo, declined by 1.0%. The company mentioned that this quarterly performance was impacted by the absence of an additional trading day due to the 2024 leap year (29 February 2024), as well as the shift of the Easter holiday into Q3. However, sales in April 2025 exceeded those of the prior year.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.