The DOUGLAS Group, Europe's leading omnichannel premium beauty retailer, announced today that it is adjusting its financial guidance for the 2025/26 fiscal year, citing weaker-than-expected third-quarter performance driven by persistent macroeconomic headwinds and changing consumer behavior.
The company now forecasts net sales growth of 0-1%, translating to a range of €4.58 billion to €4.63 billion, compared to its earlier expectation of sales at the lower end of €4.65 billion to €4.80 billion. Adjusted EBITDA margin is projected at approximately 15.0%, down from the previous target of around 16.0%. Additionally, net leverage is expected to be between 3.0x and 3.5x as of September 30, 2026, versus the earlier outlook of at the upper end of 2.5x to 3.0x.
According to the company, the European premium beauty market has shifted significantly due to ongoing geopolitical and macroeconomic uncertainty. Customers remain highly price-sensitive and often delay purchases in anticipation of promotions. The company noted that e-commerce continues to grow faster than physical stores and maintains solid profitability at the EBIT level, while like-for-like store sales are negative. Channel mix, category mix, and overall spending patterns vary across markets, but cross-channel services such as Click-and-Collect are performing strongly.
In response to this new market reality, the DOUGLAS Group is refocusing its strategic priorities. CEO Sander van der Laan stated, “Consumer behavior and market dynamics have changed significantly. In this challenging environment, we fully focus on our strategic priorities: we shift investments from our store to our online business; we are investing in competitive pricing, while further strengthening our differentiation and exclusivity; and we are continuing to drive digitalization forward.” He added that some measures will deliver short-term benefits, while others will take longer to materialize, emphasizing a sustainable medium- to long-term approach.
The company highlighted that its leading omnichannel business model, strong brand, and trusted partnerships with premium beauty suppliers position it well to navigate current challenges. Van der Laan noted, “In the current market environment, both differentiation and pricing matter more than ever. Our omnichannel model, our curated premium assortment, an attractive pricing and our excellent brand name give us a clear competitive edge.”
The DOUGLAS Group will provide further details and an update on strategic measures during its quarterly reporting on August 12, 2026. The company operates approximately 1,970 stores across Europe under brands including DOUGLAS, NOCIBE, Parfumdreams, and Niche Beauty, and reported sales of €4.58 billion in the 2024/25 fiscal year.
