LR Health & Beauty SE confirms growth trend in the second quarter of 2024

• Sales increased to EUR 143.3 million in the first half of 2024  
• Normalized EBITDA of EUR 14.4 million
• Rising demand for subscription concepts like the successful LR Health Mission
• Growth prospects strengthened by innovative product range and planned launch of a new product segment in September

Ahlen, 30 August 2024 – LR Health & Beauty SE, Europe’s leading digital social commerce company in the area of high-quality health and beauty products, today published its figures for the second quarter of 2024 and the first half of 2024. In the second quarter of financial year 2024, LR Health & Beauty SE managed to increase sales (revenue from goods sold) by 2.6% to EUR 70.7 million (Q2 2023*: EUR 68.9 million). In the first half of the year, LR Health & Beauty SE thus generated sales of EUR 143.3 million (H1 2023*: EUR 140.9 million). New product launches, such as the LR Health Mission and the LR Body Mission, contributed significantly to the positive sales performance during the period. 

Furthermore, LR Health & Beauty SE generated a normalized EBITDA of EUR 14.4 million in the first six months of financial year 2024, compared to EUR 17.5 million in the same period of the previous year*. The earnings performance was impacted by factors such as refinancing costs related to the early redemption of the old bond of LR Global Holding GmbH and the issuance of a New Bond by LR Health & Beauty SE, as well as negative currency effects. EBITDA reported amounted to EUR 11.7 million in the first half of 2024, compared to EUR 15.4 million in the same period of the previous year*.

Valdemaras Gordinskis, Vice President Global Controlling and Investor Relations of the LR Group, comments: “The LR Group’s business development has been very robust in the first half of the year and we have managed to achieve growth despite general consumer reticence in all of our regions. We are also pleased to see that our subscription concepts attract increasing interest. This is evidenced, for example, by the strong demand for the LR Health Mission with its novel product range. With this subscription, we offer those interested a 6 months treatment for the intestinal, liver and cellular metabolism, providing a comprehensive solution for personal health support.”

Future growth driven by digitization and IT expansion

LR Health & Beauty SE’s CEO Dr Andreas Laabs explains: “We will continue to consistently execute our corporate strategy in the second half of the year. In particular, we will drive our initiatives to optimize our marketing activities and our partner programs. At the same time, expanding our innovative product range remains high on our agenda. A new product segment is planned to be launched at the LR Business Day event with our partners in September. We are confident that the new products will be an ideal addition to our range and will open up new and attractive opportunities for our partners.”

Another important pillar for future growth is the continued digitization and expansion of the IT landscape. For this purpose, the LR Group will establish a new IT hub in Athens in order to provide high-quality IT services in-house and to develop and operate suitable business applications for social commerce.

LR Health & Beauty SE expects that it will continue to be in a position to capitalize on growth opportunities in the health and beauty markets. At the same time, the LR Group continues to face a challenging market environment and ongoing consumer reticence. Based on conservative assumptions, LR continues to expect sales at the previous year’s level and an only slightly lower or stable EBITDA for the 2024 financial year.

The full report for the first half of financial year 2024 is available online from today on the company website at https://ir.lrworld.com/.

*As issuer of the New Bond 2024/2028, LR Health & Beauty SE publishes the figures for the second quarter and the first half of financial year 2024 and for the relevant periods in the previous year. The previous year’s figures for 2023 may differ from the figures for 2023 published previously by LR Global Holding GmbH.
 

LR Group

Following the motto "More quality for your life" the LR Group with headquarters in Ahlen/Westphalia successfully produces and markets various high-quality nutritional supplements and cosmetic products in 32 countries. As an attractive social commerce company, LR supports the personal exchange in its community with efficient, digital solutions. The holistic tool "LR neo" offers the international partnership all business-relevant key figures and information for their LR business in one dashboard. 

LR has been firmly established on the market since 1985 as a "people business" company that focuses on people and personal advice. In times of changing working environments, the business model particularly appeals to those who are looking for more flexibility, a better work-life balance and greater financial independence.  

The processing of Aloe Vera has been one of the core competencies of LR for more than 20 years. Only the valuable inside of the leaf is used for the products. In Ahlen, the company has established one of the most modern Aloe Vera production sites for Aloe Vera Drinking Gels in Europe. 

In autumn 2009, LR founded the LR Global Kids Fund e.V., which supports deprived children and their families in many countries around the world efficiently and unbureaucratically in cooperation with local institutions. For further information on our commitment to sustainability, please read our sustainability report. 

LR currently has around 1,200 employees and hundreds of thousands of registered community members. 


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LR Health & Beauty SE  
Almut Kellermeyer   
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Kruppstraße 55  
59227 Ahlen  
Phone: +49(0)2382 7813-106 
E-Mail: a.kellermeyer@LRworld.com 
https://ir.lrworld.com/ 

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