AS MADARA Cosmetics publishes its audited unconsolidated and consolidated annual report for the 2025 financial year. The report is available in the attachment (in English).
In 2025, the consolidated net turnover of MADARA Cosmetics Group reached EUR 23.22 million, representing a 12% like-for-like increase compared to the previous year, taking into account the MOSSA and SELFNAMED.COM transactions completed in 2024. Excluding these adjustments, turnover increased by 8% year-on-year.
Gross profit in 2025 amounted to EUR 15.16 million, maintaining a stable gross margin of 65% at the previous year's level. Profitability was significantly impacted by investments exceeding EUR 300 thousand in pilot projects launched during the first half of 2025, including testing of new Brand Lab Cosmetics brand concepts, a US e-commerce pilot project and TikTok channel development.
Profit before corporate income tax of EUR 447,660 in 2025 was significantly affected by a one-off impact related to the migration to the Shopify e-commerce platform - an early write-off of EUR 571 thousand of the previous system asset. The transition to Shopify represents a strategically important long-term investment strengthening the Group's e-commerce infrastructure and already delivered first benefits during the last quarter of the year, including improved conversion rates and the most successful Black Friday campaign in the company's history, generating EUR 1.4 million in direct revenue.
During 2025, the Group continued diversification of sales channels and geographies. Cooperation was launched with Al Dawaa, one of the largest para-pharmacy chains in Saudi Arabia, establishing presence across more than 200 physical retail locations and online channels in the Middle East region. In Germany, brand availability was expanded to 125 Müller stores, while new partners were added in France, Spain and Poland.
In 2025, 23 new products were launched under the MÁDARA brand, generating more than EUR 1.5 million in turnover in total. The most notable new releases included the Kojic Acid Alternative Serum for pigmentation, the expansion of the AGE PRO line with a day cream, night cream, eye cream and hyaluronic acid jelly, as well as the updated leading tinted moisturiser line Skin Equal with improved SPF 20 protection. In parallel, the product assortment was reviewed, and 21 products were discontinued during 2025.
The Group's non-current investments in 2025 totalled EUR 1.05 million, directed towards three main areas: the modernisation of e-commerce infrastructure (including the development of the MÁDARA Shopify platform), the development of production and laboratory equipment, and the renovation of leased premises and IT infrastructure.
2025 was also an important year in the Group's sustainability journey. Following completion of the B Corp certification process during the first half of the year, MADARA Cosmetics AS became the second Latvian company to obtain this internationally recognised certification.
Management expects at least 10% revenue growth in 2026, corresponding to EUR 25.54 million, and a double-digit EBITDA margin.
The full audited Annual Report for 2025 is attached to this announcement.
Management Board of AS MADARA Cosmetics
The shares of AS Madara Cosmetics are admitted to trading on Nasdaq Baltic First North Market.
The Certified Adviser for AS Madara Cosmetics is ZAB Eversheds Sutherland Bitāns SIA.
About AS MADARA Cosmetics
Founded in 2006, AS MADARA Cosmetics is the largest cosmetics manufacturer in Latvia. The Company develops and produces natural skincare and decorative cosmetics, certified by ECOCERT/COSMOS, and exports to more than 35 countries. Since 2017, MADARA shares have been listed on Nasdaq Baltic's alternative market First North. The Company and the MÁDARA brand have received multiple awards for innovation, sustainability, design, and product excellence, both in Latvia and internationally.
In 2025, MADARA obtained B Corp certification, affirming its commitment to responsible, sustainable, and transparent business practices. It has also been recognised as a family-friendly workplace (2023) and a top employer in the manufacturing sector (2023, 2024), while the MÁDARA brand was named the greenest brand in the Baltics (2023).
In 2025, AS MADARA Cosmetics reported a consolidated turnover of EUR 23.22 million, marking an 12% like-for-like year-over-year increase.