STRONG RESULTS, SCALING WITH STYLE!
Our strong sales momentum continued this quarter. We observed solid sales growth, and as in previous quarter, we are seeing clear results from our long-term focus on operational excellence. EBIT rose by 75% to SEK 27.7m in the quarter, corresponding to a margin of 3.0%. With a well-invested organization in place, we’re seeing the impact of greater efficiency and scalability.
| First quarter |
| • Net sales of SEK 918.4m (824.0). • Sales growth was 11.5% (21.2%). • Gross margin of 43.0% (43.5%). • EBIT of SEK 27.7m (15.8). • EBIT margin of 3.0% (1.9%). • Earnings for the period SEK 12.0m (-9.9). |
Sales and results show stable development despite the leap day calendar effect and currency fluctuations. Gross margin held firm at 43%, despite temporary shifts in the product mix.
GROWING BEAUTIFULLY
The Nordics continue to perform strongly, supported by steady demand and solid profitability. At the same time, we are driving increased sales in Europe, where growth is back on track. Our strategy to expand with relevance and build local assortment is proving successful.
STRONG SUPPLIER RELATIONS AND CO-CREATION
Supplier interest remains high. Several successful launches were carried out during the quarter, and we are seeing increased interest in co-activations and joint marketing efforts. This is a key enabler of our growth, amplifying the impact of our marketing investments. It is evident that we hold a leading position in the Nordic beauty market and that we are actively shaping its future in close collaboration with our partners.
LYKO COMMUNITY POWER
Our own social platform in the app continues to grow and gain traction. What began as a small initiative nine years ago has evolved into a vital part of our ecosystem. In the past twelve months, the community has been further enriched with new formats, such as video, increasing engagement and deepening the connection with our customers.
By creating inspiring content around our products and showing how they can be combined, we establish a unique position. This increases the likelihood that customers visit us between purchases, making us their go-to starting point for beauty.
AUTOMATION EXPANSION ON TRACK
Our warehouse expansion project in Vansbro is progressing according to plan. Operations will begin at the start of our third quarter, giving us time to gradually scale up volumes and fine-tune the systems ahead of the peak season during Black Week and the holidays
It’s been five years since we moved into our central warehouse and launched our first automation solution, a crucial milestone in our growth journey. It didn’t take long before we realized the need for even more capacity. In 2021, we doubled our automation system within the existing facility. The following year, we expanded and tripled our warehouse space to 40,000 m². This summer, we take the next step by launching the next phase of our automation solution, increasing our capacity to 100,000 orders per day.
STRONG MOMENTUM IN THE ORGANIZATION
We continue to see that customers prioritize their beauty purchases – and our entire organization is energized and highly motivated. The positive momentum from successful launches, growing customer engagement, and expanding market share across all regions is reflected in a strong internal spirit and belief in our direction.
Huge appreciation to the Lyko team for yet another great quarter!
Rickard Lyko, CEO
April 25th, 2025
