DOUGLAS Group Reports Q2 Sales Growth but Lowers Profit Guidance Amid Market Challenges

The DOUGLAS Group, Europe's number one premium beauty retailer, reported preliminary second-quarter sales growth of 1.1% to €949.7 million for the period ending March 31, 2026. However, profitability declined as the company faced slower growth in mature markets, shifting consumer behavior, and macroeconomic uncertainty. Adjusted EBITDA dropped 5.1% to €116.1 million, yielding a margin of 12.2% compared to 13.0% in the prior year. Adjusted EBIT fell to €19.1 million from €32.4 million.

CEO Sander van der Laan noted that the premium beauty market has normalized after the post-pandemic boom, with geopolitical and macroeconomic factors weighing on consumer sentiment. He emphasized the company's focus on omnichannel, differentiation, and profitable growth. The net loss for the quarter was 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 asset impairments.

Reflecting the challenging environment, DOUGLAS Group adjusted its full-year guidance for 2025/26. Sales are now expected at the lower end of the €4.65-4.80 billion range, with an adjusted EBITDA margin of around 16.0%, down from the previous forecast of approximately 16.5%. Net leverage is anticipated at the upper end of the 2.5x-3.0x range as of September 30, 2026.

The company is sharpening its strategic focus on omnichannel services, product differentiation, and cost discipline to navigate the 'new normal'. Van der Laan stated, 'Our omnichannel model is a structural advantage in this environment. 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.'

The full financial results for the second quarter will be published on May 12, 2026. For more information, visit the DOUGLAS Group Website.