The DOUGLAS Group, Europe's leading premium beauty retailer, announced preliminary second-quarter results showing sales growth but declining profitability, reflecting a fundamental shift in the premium beauty market. For the period from January 1 to March 31, 2026, 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 an adjusted EBITDA margin of 12.2%, down from 13.0% in the same quarter last year. Adjusted EBIT fell to €19.1 million from €32.4 million.
The company attributed the margin pressure to slower growth rates in mature markets, increased focus on pricing and promotion, and weak consumer sentiment in the euro area due to geopolitical and macroeconomic uncertainty. Sander van der Laan, CEO of the DOUGLAS Group, stated, “We operate in a market that has undergone a fundamental shift and is now stabilizing at a new level. 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.”
The net loss for the quarter reached a high-double-digit to low-triple-digit million euro figure, primarily driven by impairments on goodwill related to the French business (NOCIBE) and Parfumdreams/Niche Beauty, amounting to a mid- to high-double-digit million euro figure, along with further asset impairments of a low-double-digit million euro figure.
In response to the changing market conditions, the DOUGLAS Group has revised its full-year guidance for the financial year 2025/26. The company now expects sales at the lower end of the range of €4.65–€4.80 billion, an adjusted EBITDA margin of around 16.0% (previously around 16.5%), and net leverage at the upper end of the range between 2.5x and 3.0x as of September 30, 2026. This adjustment reflects the normalization of growth rates in mature premium beauty markets and ongoing consumer uncertainty.
Despite the challenging environment, the DOUGLAS Group is sharpening its strategic focus on omnichannel, differentiation, and profitable growth. The company aims to drive differentiation in services and product offerings, leverage its leading omnichannel model, and build a future-ready infrastructural backbone, while maintaining strict cost discipline. Van der Laan emphasized, “Our omnichannel model is a structural advantage in this ‘new normal’. The strategic direction we took with ‘Let it Bloom’ already put us in a good position, and we are further narrowing down this path and accelerating our efforts to excel in the execution of our initiatives.”
The full set of financial figures for the second quarter will be published on May 12, 2026. As Europe's number one omnichannel premium beauty destination, the DOUGLAS Group operates around 1,970 stores and online platforms under the brands DOUGLAS, NOCIBE, Parfumdreams, and Niche Beauty. For further information, visit the DOUGLAS Group Website.
