European beauty retailer Douglas closed the 2022/23 financial year with adjusted sales of 4.1 billion euros, up 12.1 percent compared to the previous financial year.

The group’s store sales increased 13 percent and ecommerce sales rose 10.3 percent. Douglas also achieved a group adjusted EBITDA of 725.9 million euros, up 22.3 percent, corresponding to an adjusted EBITDA margin of 17.7 percent.

For the first time since the outbreak of the Covid pandemic, the company said in a statement, Douglas reported a net profit as the net income improved to 16.7 million euros from negative 313.8 million euros in the previous year.

“Our strong financial performance proves the strength of our well-positioned omnichannel business model and unique customer proposition. Douglas is well on track to maintain its growth trajectory and achieve the group sales target of 5 billion euros by 2026," said Douglas Group CEO Sander van der Laan.

The company’s fourth quarter adjusted sales rose by 9.1 percent to 883 million euros supported by store adjusted sales growth of 9.6 percent with like-for-like sales up 8.6 percent and ecommerce sales growth of 7.9 percent with like-for-like sales up 12 percent.

The company added that the result was also driven by positive results across all segments, with DACHNL up 9.2 percent and CEE up 18.8 percent. From July to September, Douglas achieved a group adjusted EBITDA of 136.7 million euros, corresponding to an adjusted EBITDA margin of 15.5 percent. Fourth quarter net income improved by 203 million euros to negative 28.2 million euros.

The company continues to develop its store network and is ramping up its pace and activities in Central Eastern Europe. In the financial year 2022/23, Douglas opened 39 new stores, 26 of them in CEE. These include, among others, new locations in Poland, Estonia and Romania, while the first stores have been opened in the two new countries Belgium and Slovenia.