REG - Warpaint London PLC - Full Year Trading Update

Warpaint LondonAnnouncement

11/01/2023 07:00

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20230111:nRSK3084Ma&default-theme=true

RNS Number : 3084M  Warpaint London PLC  11 January 2023

11 January 2023

 

This announcement contains inside information for the purposes of Article 7 of
the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law
by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is
disclosed in accordance with the Company's obligations under Article 17 of
MAR.

 

Warpaint London PLC

("Warpaint", the "Company" or the "Group")

 

Full Year Trading Update

 

Strong trading continued in Q4 2022 - Full Year 2022 results expected to be
ahead of expectations

 

 

Warpaint London plc (AIM: W7L), the specialist supplier of colour cosmetics
and owner of the W7 and Technic brands is pleased to announce a trading update
for the year ended 31 December 2022.

 

The Company announced in its interim results on 21 September 2022 that sales
for the year ending 31 December 2022 were expected to be at least £61 million
(2021: £50.0 million).  Following particularly strong trading in Q4 2022,
the Company is pleased to report sales for the full year have exceeded
previous expectations and are expected to be approximately £64 million.

 

In addition, in its full year results, the Group expects to report adjusted
EBITDA* of approximately £11.8 million (2021: £7.6 million) and adjusted
profit before tax** of approximately £10 million (2021: £6.9 million), both
of which are ahead of current market expectations and the board's previous
guidance for adjusted profit before tax**, as outlined in the interim results
on 21 September 2022, of in excess of £9 million.

 

The Company continues to have a strong balance sheet with cash balances as at
31 December 2022 totalling £5.8 million (31 December 2021: £4.1 million) and
no debt.

 

The Group expects to release its results for the year ended 31 December 2022
in April 2023.

 

Commenting, Sam Bazini Chief Executive, said: "I am delighted with the
performance of the Group in 2022 and I am pleased to report that we ended 2022
ahead of expectations, both for sales and profits.  We enjoyed a strong
trading performance in Q4 2022 across the Group, with sales growth in the US
and online being particular highlights.  We were also able to improve our
margins year-on-year.

 

"We expect to see a continuing strong performance in 2023 and I look forward
to updating further at the time of the release of the Group's results in
April."

 

Note: All figures used in this announcement relating to the financial year
ended 31 December 2022 remain subject to audit.

 

* Adjusted for foreign exchange movements, share based payments and
exceptional items.

** Adjusted for exceptional items, amortisation of intangible assets, and
share based payments.

Adjusted numbers are close to the underlying cash flow performance of the
business which is regularly monitored and measured by management.

 

Enquiries:

 

 Warpaint London                                      c/o IFC

 Sam Bazini - Chief Executive Officer

 Eoin Macleod - Managing Director

 Neil Rodol - Chief Financial Officer
 Shore Capital (Nominated Adviser & Broker)           020 7408 4090

 Patrick Castle, Daniel Bush - Corporate Advisory

 Fiona Conroy - Corporate Broking

 IFC Advisory (Financial PR & IR)                     020 3934 6630

 Tim Metcalfe, Graham Herring, Florence Chandler

 

Warpaint London plc

 

Warpaint sells branded cosmetics under the lead brand names of W7 and Technic.
W7 is sold in the UK primarily to retailers and internationally to local
distributors or retail chains. The Technic brand is sold in the UK and
continental Europe with a significant focus on the gifting market, principally
for high street retailers and supermarkets.  In addition, Warpaint supplies
own brand white label cosmetics produced for several major high street
retailers.  The Group also sells cosmetics using its other brand names of
Man'stuff, Body Collection, Very Vegan, and Chit Chat.

 

 

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  TSTSFEFASEDSEDF