DOUGLAS Group reports third quarter results in line with expectations and confirms full-year guidance

Q3 (April – June 2026) & 9M 2025/2026 (October 2025 – June 2026)

DOUGLAS Group reports third quarter results in line with expectations and confirms full-year guidance

• Performance: Q3 sales -2.0% to 987.8 million euros, adjusted EBITDA margin: 12.9% (adjusted EBITDA of 127.5 million euros); net leverage: 3.1x as of 30 June 2026 (2.2x before leases).
• Market: Weak dynamics in the important markets Germany, France and the Netherlands; balance between channels continues to shift as E-Com growth accelerates.
• Realignment: Initiatives to adapt to customer behavior including investments in competitive pricing and increased focus on E-Com; stores under review with regard to profitability targets.
• Strategy: Update on evolution of “Let it Bloom” strategy in fourth quarter of the calendar year.
• Guidance: Full-year guidance for FY 2025/2026 confirmed: Net sales growth of 0-1% (4.58-4.63 billion euros), adj. EBITDA margin of ~15.0%, net leverage of 3.0x to 3.5x as of 30.09.2026.

Düsseldorf, 12 August, 2026 – The DOUGLAS Group’s business performance in the third quarter of the financial year 2025/2026 was impacted by weak dynamics in Germany, France and the Netherlands as well as by ongoing price competition in the European beauty sector, reflecting the continuously high price sensitivity among consumers. In line with expectations, sales during the April to June period declined by 2.0% year-on-year to 987.8 million euros and adjusted EBITDA was down 19.4% to 127.5 million euros (adjusted EBITDA margin: 12.9%). In the first nine months of the financial year 2025/2026, omnichannel sales development remained stable overall with an increase of 0.5% to 3.61 billion euros, whilst the adjusted EBITDA declined 9.0% to 577.3 million euros (adjusted EBITDA margin: 16.0%). The company confirmed its guidance for the financial year.

“The competition for share of wallet is fierce”, said Sander van der Laan, CEO of the DOUGLAS Group. “We introduced different measures to adapt effectively to the changing consumer behavior, including constantly reviewing our pricing strategy and accelerating our omnichannel transformation. We are shifting investment focus towards elevating our digital offering and the shopping experience for our customers, while at the same time driving assortment exclusivity and cross-channel services – both of which show significant sales growth. We will share more details about corresponding targets, financial KPIs and timelines later this year. We will also continue to advance the standardization and simplification of our organization across our 22 omnichannel countries and to keep our costs under strict control. All of this will put us in a good position for growth.”

Premium beauty market growth weighed down by Germany, France and the Netherlands

The European market for premium beauty continues to grow. However, Germany, France and the Netherlands – which together contribute around 60% of the DOUGLAS Group’s overall business – are lagging behind more dynamic markets like Poland, Spain and Italy. Consumer demand for premium beauty was lower than last year’s period in Germany and the Netherlands, and flat in France, while Central Eastern Europe remains a key growth market for the Group.

Consumer behavior impacts performance in Q3 while channel shift accelerates

In the period from April to June 2026, DOUGLAS Group sales declined 2.0%. Strong growth in Central Eastern Europe (+4.4%) could not offset declining sales in the largest segments DACHNL (‑2.8%) and France (-2.1%). On top of a highly competitive landscape in its home market Germany, the online pure player Parfumdreams also faced temporary constraints in its shop operations during the period, leading to a negative impact on sales. As a result, the segment Parfumdreams / Niche Beauty experienced the sharpest sales decline (-10.4%).

In Central Eastern Europe, Southern Europe and France – where online accounts for up to one quarter of the respective total sales – E-Com grew double-digit, demonstrating the significant growth potential and momentum of the channel as customers increasingly shop digitally. Their strong online growth, however, was not enough to offset the development in the more mature market DACHNL where E-Com contributes around 40% of total sales. This segment was exposed to stronger and more price-aggressive competition leading to a 4.9% year-on-year sales decrease. Overall, Group E-Com sales decreased slightly in the third quarter (-1.0%); however, excluding Parfumdreams / Niche Beauty, E-Com sales grew 0.6%, confirming the stronger performance in the premium positioning.

The DOUGLAS Group expects the balance between store and E-Com sales to shift further in the coming years and has initiated measures to adjust to this development. At the same time, cross-channel sales like Click & Collect Express continued to develop exceptionally well (+18.2%) and underscore the relevance of the omnichannel model in modern beauty retail. Exclusive Brands (EXB) – another key focus of the Group’s strategy – like about-face, Lolavie, Morphe, and Balmain Paris, similarly proved to be a strong engine for differentiation. EXB sales grew double-digit in Q3. The Group’s Retail Media business also continues to thrive and increased sales by 24% in the quarter.

9M 2025/2026: Slight overall growth and resilient cash generation

On a nine-month basis, the DOUGLAS Group grew sales by 0.5% - driven by E-Com with 2.3% growth – whereas adjusted EBITDA declined 9.0% to 577.3 million euros (adj. EBITDA margin: 16.0%). Net leverage was 3.1x as of 30 June 2026 (30 June 2025: 2.7x), or 2.2x before leases.

Cash generation remained resilient, with conversion from adjusted EBITDA to free cash flow improving year-on-year to around 70%, supported by disciplined and selective capital allocation. The free cash flow in the nine-month period decreased to 399.2 million euros compared to 412.8 million euros in 2024/2025, mainly due to lower adj. EBITDA.

Strategic levers to adapt to the changing customer behavior

With customers increasingly favoring the highly competitive E-Com channel, the DOUGLAS Group has already initiated a number of measures to protect market share and visibility. These measures include a review of the pricing strategy as well as a higher focus on E-Com and the overarching omnichannel shopping experience. The Group is also structurally assessing its store business by closely evaluating the network with regard to profitability and footfall.

“We are making different adjustments to align our business even more closely with the market reality”, said van der Laan. “We remain firmly committed to the success of omnichannel retail in the premium beauty sector, but will now place even greater emphasis on E-Com. This also means that we will be reviewing stores critically with regard to our profitability targets. We will continue to open new locations selectively – particularly in Eastern Europe – and will also keep on modernizing stores in Western Europe. However, especially in the major Western European markets, where the shift towards online has the biggest absolute impact, we will adjust the balance between digital and stationary business even more closely to match prevailing customer footfall.”

Update on evolution of “Let it Bloom” strategy in the fourth quarter of the calendar year 2026

The DOUGLAS Group is also actively developing its strategy focusing on shaping the beauty shopping of tomorrow. The update will be an evolution of the existing “Let it Bloom” strategy and will build on a channel mix closely aligned with consumer preferences and shopping behavior, while at the same time strengthening the Group’s USPs and competitive advantages at scale.

Core elements of the further developed strategy will include higher investments in technology and digital user experience, operational priority for cross-channel services, a profitable and resilient store network, an accelerated differentiation of the assortment through exclusive and corporate brands, a sound and sustainable pricing strategy as well as further standardization and simplification of the organization and backbone processes.

The DOUGLAS Group will share details on the strategy update in the fourth quarter of the calendar year 2026.

Overview Financial Results (Q3 2025/2026)

1. Sales per channel

2. Sales per segment

3. Key financial figures

Overview Financial Results (9M 2025/2026)

1. Sales per channel

2. Sales per segment

3. Key financial figures

Segment Overview: DACHNL (Austria, Belgium, Germany, Switzerland, The Netherlands), France (France, Monaco), SE / Southern Europe (Andorra, Croatia, Italy, Portugal, Slovenia, Spain), CEE / Central Eastern Europe (Bulgaria, Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Romania, Slovakia), PD/NB (Parfumdreams, Niche Beauty)

X-Channel refers to cross-channel services (Click & Collect, Click & Collect Express, in-store orders)

About the DOUGLAS Group

The DOUGLAS Group, with its commercial brands DOUGLAS, NOCIBÉ, Parfumdreams and Niche Beauty, is the number one omnichannel premium beauty destination in Europe. The DOUGLAS Group is inspiring customers to live their own kind of beauty by offering a unique assortment online and in around 1,970 stores. With unparalleled size and access to customers, the DOUGLAS Group is the partner of choice for brands and offers a premium range of selective and exclusive brands as well as own corporate brands. The assortment includes fragrances, color cosmetics, skin care, hair care, accessories as well as beauty services. Strengthening its successful omnichannel positioning while consistently developing superior customer experience is at the heart of the DOUGLAS Group strategy “Let it Bloom”. The winning business model is underpinned by the Group’s omnichannel proposition, leading brands, and data capabilities. In the financial year 2024/2025, the DOUGLAS Group generated sales of 4.58 billion euros and employed more than 19,900 people across Europe. The DOUGLAS Group (Douglas AG) is listed at the Frankfurt Stock Exchange.

For further information please visit the DOUGLAS Group Website.

Press Contact

Peter Wübben
SVP Group Communications & Sustainability
Phone: +49 211 16847 6644
Mail: newsroom@douglas.de

Investor Contact

Dafne Sanac
Director / Senior Principal Investor Relations
Phone: +49 151 55675545
Mail: ir@douglas.de