Business
Trading Update
Trading Update.
About this update from Revolution Beauty Group Plc
[{"type":"text","content":"\n\nTHIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF THE MARKET ABUSE REGULATION (EU) 596/2014 AS IT FORMS PART OF UK DOMESTIC LAW BY VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018 (\"MAR\"), AND IS DISCLOSED IN ACCORDANCE WITH THE COMPANY'S OBLIGATIONS UNDER ARTICLE 17 OF MAR. \nFOR IMMEDIATE RELEASE\n13 May 2025\nRevolution Beauty Group Plc\n(\"Revolution\" or the \"Company\")\nTRADING UPDATE\nRevolution Beauty Group, the multi-channel mass beauty brand, is today providing an update for the year ended 28 February 2025 (\"FY25\") and an update on the FY26 outlook and certain other matters.\nFY25 trading update\nFY25 was a transformational year for Revolution Beauty, during which it has discontinued over 6,000 SKUs to create a scalable and profitable foundation for future growth. The Company continues to transition its global retailers onto this core set of products.\nRevenues for FY25 closed at approximately £141.6m, down 26% year-on-year reflecting the rationalisation of the product and brand portfolio. Softness in the US market and on digital channels, as previously reported, continued into January and February 2025.\nThe Company expects to report FY25 underlying adjusted EBITDA of between £6.0m and £6.5m. Adjusting items included an adjustment for stock provision charges related to non-strategic stock of £9.2m. Cash balances at the end of February 2025 were £5.7m and net debt was £26.3m with a revolving credit facility of £32m. Gross inventories reduced from £60m to £33m at 28 February 2025.\nThe FY25 revenue and EBITDA above remain subject to audit and any adjustments that may further be required as part of the audit process.\nCurrent trading and FY26 outlook\nThe Company had planned for double digit net sales declines to continue into the first quarter of FY26, driven by the remaining impact of the SKU discontinuations, but March and April have been softer than planned due primarily to performance weakness in pure play digital retailers (excluding Amazon that continues to grow significantly) and weakened consumer confidence impacting USA performance. Management considers both impacts as short to medium term.\nManagement is however encouraged by sales from the rejuvenated New Product Development SKUs launched in February 2025 and plans to build on this success by expanding the digital ...