Douglas Group posts strong full year trading results

European omnichannel beauty player Douglas Group recorded sales growth of 8.7 percent to 4.45 billion euros for FY23/24 with store sales up 8.2 percent or 7.5 percent like-for-like and ecommerce up 9.8 percent or 12.1 percent LFL.

Adjusted EBITDA for the year amounted to 808.6 million euros – an increase of 11.4 percent, corresponding to an adjusted EBITDA margin of 18.2 percent. The group achieved positive net income of 84 million euros.

Commenting on the full year trading results, Sander van der Laan, CEO of the Douglas Group, said in a release: “I am very happy that we not only delivered yet another year of excellent results, but also managed to exceed our upgraded guidance. As a result, we have entered the new financial year from a position of strength.”

The group exceeded both its initial sales guidance of around 7 percent growth for the financial year as well as its revised guidance of around 8.5 percent following strong first nine month results.

The company said that Douglas Group is moving towards achieving its mid-term earnings guidance of an expected adjusted EBITDA margin of around 18.5 percent.

Based on these results, the group expects sales to increase to 4.7 billion euros to 4.8 billion euros in the financial year 2024/25 driven by both channels with an anticipated increase of store sales in the mid-single-digit range and an anticipated increase of ecommerce sales in the high-single-digit range. The group expects an adjusted EBITDA of 855 to 885 million euros and consolidated net income to 225 to 265 million euros.

Sales growth in the financial year resulted from positive developments across all segments, with DACHNL, CEE (Central Eastern Europe) and PD/NB (Parfumdreams / Niche Beauty) growing particularly strongly and double-digit. The online channel continued to gain traction in CEE as ecommerce grew above 20 percent for the second consecutive year on top of double-digit growth in store sales.

The company opened 54 new stores and refurbished 144 existing ones during the year under review. 20 stores were closed in the same period, which included six franchise stores. This November, a new Flagship store opened in Zagreb, Croatia. Further upcoming strategic openings in the financial year include Antwerp, Salzburg and Berlin.