DOUGLAS Group, Europe's leading premium beauty retailer, announced preliminary second-quarter results for the period ending March 31, 2026, showing modest sales growth but declining profitability. Group sales increased by 1.1% to €949.7 million compared to €939.0 million in the prior year. However, adjusted EBITDA decreased by 5.1% to €116.1 million, resulting in a margin of 12.2%, down from 13.0% a year earlier. Adjusted EBIT also fell to €19.1 million from €32.4 million.
CEO Sander van der Laan attributed the performance to a fundamental shift in the premium beauty market. "Growth rates in mature premium beauty markets have normalized compared to the exceptional post-pandemic period, while geopolitical and macroeconomic uncertainty continues to weigh on consumer sentiment," he said. The company noted increased focus on pricing and promotion amid customer uncertainty, particularly in the euro area.
The net loss for the quarter is expected to be in the high-double-digit to low-triple-digit million euro range, primarily due to impairments on goodwill related to NOCIBE and Parfumdreams/Niche Beauty, as well as further asset impairments. These non-cash charges reflect the challenging environment.
In response, the Management Board revised its full-year guidance for fiscal 2025/26. The company now expects sales at the lower end of the previously communicated range of €4.65-€4.80 billion. Adjusted EBITDA margin is forecast at around 16.0%, down from the earlier expectation of approximately 16.5%. Net leverage is projected at the upper end of the 2.5x-3.0x range as of September 30, 2026.
Van der Laan emphasized the company's strategic focus on omnichannel, differentiation, and profitable growth. "Our omnichannel model is a structural advantage in this 'new normal'," he stated. The company plans to sharpen its strategic direction by driving differentiation in services and product offerings, leveraging its leading omnichannel model, and building a future-ready infrastructure while maintaining strict cost discipline. These measures are intended as deliberate investments for sustainable, profitable growth.
The full financial results for Q2 2025/26 will be published on May 12, 2026. DOUGLAS Group operates under commercial brands DOUGLAS, NOCIBE, Parfumdreams, and Niche Beauty, with around 1,970 stores across Europe. More information is available on the DOUGLAS Group Website.
