Douglas adjusted core profit rises but misses expectations (updated)

Douglas AG

13/02/2025 07:55

(Recasts, adds details about sales, profits in paragraph 1, 3
and 5, context in paragraph 4)
       Feb 13 (Reuters) - German perfume and cosmetics retailer
Douglas  DOU1.DE  on Thursday reported first quarter sales
growth in line with expectations but a lower-than-expected
adjusted core profit, citing intensified promotional efforts.
    Its adjusted earnings before interest, tax, depreciation and
amortisation (EBITDA) rose 1.5% to 353.5 million euros ($368.88
million in the first three months of its fiscal year to
September 30, below the average forecast of 371.1 million in a
Vara poll.
    The company said its gross margin was hurt by higher
promotional activity to attract customers amid muted consumer
sentiment. 
    The first quarter is a peak season for Douglas, which sells
beauty products from brands like Chanel and Dior, given a number
of sales events including Black Friday and Christmas. It is
considered as an indication for how the business will fare for
the rest of the year.
    Quarterly sales rose 5.8% to 1.65 billion euros, as expected
by analysts. 
    
    

 
    

 (Reporting by Elizaveta Gladun and Linda Pasquini in Gdansk;
Editing by Muralikumar Anantharaman and Tomasz Janowski)
 ((elizaveta.gladun@thomsonreuters.com))