Cosmetics firm Warpaint London reveals record sales and profits in half year results

Warpaint London revealed record sales and profits in its interim results with the group believing it is ‘very well positioned for further growth’.

The company’s group sales increased by 46 per cent to £36.7million for the six months to 30 June, with UK revenue increasing by 28 per cent to £13.3million.

The firm’s adjusted earnings before interest, taxes, depreciation, and amortisation increased to £7.9million, up from £4.4million.

The cosmetics company said that statutory profit from operations had increased to £6.3 million, up from £3.5 million. 

It also revealed that its W7 brand sales were up by 67 per cent and Technic brand sales over the same time period.

Sam Bazini, chief executive of Warpaint, said: ‘I believe the group is very well positioned to achieve further growth and I remain confident that margins can be maintained going forward.

‘Warpaint is a global business with the capacity, expertise and strategy, coupled with balance sheet strength, to drive future growth from both our existing and new customers. 

‘As in previous years, the group’s sales are expected to remain second half weighted, reflecting Christmas seasonal sales as well as ongoing momentum.

‘We look forward to updating further as the year progresses, and with significant opportunities for continued growth, both already secured with our existing retailers and in discussion with additional major retailers globally, I am confident that the group will continue to perform well for the remainder of the year and beyond.’

Founded by Eoin Macleod and Samuel Bazini three decades ago, Warpaint’s initial business model involved purchasing and selling surplus stock from top brands such as Revlon and Max Factor to high-street firms, wholesalers and discounters.

In 2002, the company launched W7, which now provides over half of all revenues and is popular among younger people with smaller budgets.

Its other brands include Man’stuff, Chit Chat and Retra Holdings, a make-up gift business acquired by the group in November 2017 for £18.2million. 

Warpaint shares were down by 0.68 per cent to 300.45p in morning trading on Wednesday.

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