H1 Trading Update and Notice of Results
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For Immediate Release |
27 September 2021 |
REVOLUTION BEAUTY GROUP PLC
("Revolution Beauty", the "Group" or the "Company")
H1 Trading Update and Notice of Results
Strong H1 sales growth of 35%, with accelerating growth expected in H2
Revolution Beauty Group plc (AIM: REVB), the multi-brand, multi-category and multi-channel mass beauty innovator with proven global scale, is pleased to announce that following its successful admission to AIM in July 2021, the Group has recorded £78 million of revenue in the six months to 31 August 2021, representing a 35% increase from the same period in 2020.
The Board remains confident in achieving full year market expectations and has a number of exciting new initiatives and developments that are expected to continue to underpin strong revenue growth throughout H2. These include the following;
· Rapid Expansion of Revolution Beauty Brands and Categories - Our brands and categories are accelerating fast through our Global Digital and Retail Distribution Platforms. We have many new digital and retail partners that are planned to 'Join The Revolution', as well as our brand and categories entering new countries and territories. New digital and retail distribution, and country expansions are planned for H2. We are excited to announce today the expansion of our global category leading makeup brand, Makeup Revolution, seeing it enter over 350 of the largest Boots stores in early 2022 in prominent in-store locations.
· Revolution Beauty USA sales grew by over 90%, and USA is on course to become Revolution Beauty's biggest country by revenue globally in 2021 - In Q1 2021, the Group launched into 1,800 Target stores throughout the USA with the Makeup Revolution brand. Makeup Revolution is already a top performing brand in the Target makeup category, and the Board expects this to continue and build into an influential multi-brand and multi-category relationship with Target. The Group has also continued to see strong sales growth through beauty chain Ulta, as the US market shows fast 'consumer bounce back' in its stores. We are excited that this evidences our expansion into secondary retailers in a country, and showcases the opportunity for Revolution Brands & Categories to expand in previously single retailer territories.
· Revolution Beauty DTC Growth and THG ingenuity partnership - The Group has continued to make good progress in its consumer centric DTC model. Revolution Beauty formed a partnership with THG Ingenuity in late 2020 to enable the Group to accelerate its DTC localisation plans. The Group launched its site in the USA in January 2021 and in Australia/New Zealand in March 2021 and is seeing strong results, with triple digit percentage increases in sales. Revolution Beauty has added over 200,000 new customers in H1.
· Revolution Beauty Category Expansion - REVOLUTION SKIN - The Group's strategic ambition is to continue to leverage the Revolution Brand's global community, through its Global Digital and Retail Platform, which will accelerate its growth into all Beauty Categories. We have seen our Revolution Skin Category grow revenues by over 34%, from an already strong 2020.
· Revolution Haircare Launch - The Group launched its Revolution PLEX range on its DTC platform and through its Digital Retailers during H1 and is now stocked in over 250 Boots stores and over 300 Superdrug stores, showing promising 203% growth year-on-year. Given the success through our digital test and learn model and retailing in the UK, we are now confidently accelerating International expansion in both our digital and retail channels.
· Strength and confidence in the Revolution Global Digital & Retail distribution strategy - The world has experienced significant swings in shopping habits and macroeconomic conditions (including global shipping cost pressures) in the last 18 months due to the pandemic. The Board are confident that their globally established brands, and the Group's balance between digital and retail stores, are well placed with their consumers and have the ability to continue to win market share and experience significant growth. The Group's agile business model and brand strength have also enabled shipping cost increases to be offset.
As expected, the Group is now seeing sales increase as the beauty industry enters its seasonal peak trading period of September to November. Further expansion of Revolution Beauty's brands, categories and trading partners is envisaged to drive growth during the latter part of H2. The Board has been cognisant of global supply chain disruptions during H1 and, having reacted accordingly, do not expect the Group's ability to offer products to its customers to be impacted.
Adam Minto, CEO and Joint Founder of Revolution Beauty Group plc, said: "It's been just over two months since we listed Revolution Beauty on the London Stock Exchange and we're pleased to have continued the strong momentum through the first half with 35% sales growth since last year. We have executed against our digital first strategy set out at IPO, adding over 200,000 DTC customers to our platform, while more than doubling international online sales in the US, Australia and New Zealand. Meanwhile our retail expansion has continued strongly, and we're delighted to announce today that our Makeup Revolution brand will be expanding into over 350 of the largest Boots stores across the UK in early 2022.
"We are proud to announce this strong progress for the half. As we said at IPO, the long-term growth opportunity in mass beauty remains vast with more consumers switching to online, while the market as a whole continues to grow rapidly globally. Revolution Beauty is well positioned to take advantage of these trends through its innovative influencer led marketing strategies and on-trend products that deliver quality at an accessible price point. As we look ahead to the second half, we remain focused on delivering our ambition to build a new era of consumer centric beauty brands around the world. "
The Company will publish its interim report for the six months ended 31 August 2021 on 24th November 2021.
There will be a webinar for equity analysts at 09:30am GMT on the day of interim results, hosted by CEO Adam Minto and CFO Andrew Clark. Anybody wishing to register should contact investor.relations@revolutionbeautyplc.com where further details will be provided.
For further information:
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Revolution Beauty Group plc |
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Adam Minto, Founder & CEO |
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Tom Allsworth, Founder & Executive Chairman |
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Zeus Capital Limited (Nominated Adviser & Broker) |
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Corporate Finance |
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Nick Cowles / Jamie Peel / Jordan Warburton |
Tel: +44 (0) 161 831 1512 |
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Equity Capital Markets |
Tel: +44 (0) 20 3829 5000 |
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Dominic King / Ben Robertson |
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Media enquiries:
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Headland Consultancy Rosh Field / Will Smith
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Tel: +44 (0)20 3805 4822 Revolutionbeauty@headlandconsultancy.com
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