AS MADARA Cosmetics (MDARA) H1 2024 earnings summary

Executive summary

• Achieved 9% revenue growth in H1 2024 to EUR 11.21 million, driven by core brand focus, innovation, and expansion in key export markets such as France and Germany.

• Completed strategic carve-outs and sales of MOSSA and SELFNAMED.COM brands, enabling greater focus on the MÁDARA brand and streamlining operations.

• Launched successful new products, including Botanic Retinol Serum and pressed powders, with award wins and expanded makeup and anti-ageing segments.

• Entered new retail partnerships, including Marionnaud in France and Boozt.com, enhancing global retail reach.

• Strengthened sales force and expanded presence in key European markets.

Financial highlights

• Revenue reached EUR 11.21 million, up 9% year-over-year for H1 2024.

• EBITDA was EUR 1.27 million, with an EBITDA margin of 11%, down 6 percentage points from the previous year.

• Profit before tax was EUR 740,000 excluding one-time gains, but surged to EUR 4.63 million including the EUR 4 million MOSSA sale.

• Gross profit increased 7% to EUR 7.52 million; gross margin decreased by 1 percentage point due to product mix.

• Direct e-commerce share decreased by 4 percentage points, while new customer share increased by 5 percentage points year-over-year.

Outlook and guidance

• Adjusted annual revenue target set at EUR 21.41 million due to carve-outs, with a commitment to deliver at least 10% revenue growth for the year.

• Innovation pipeline includes launches in men's skincare, alternative retinol products, blushes, and expanded pressed powder offerings.

• Strategic focus on growing faster than the industry benchmark of 6%-8% annual growth and expanding in France, Germany, and Sweden.