Photo: Oriflame’s Ecobeauty range.
The latest financial report from Oriflame shows a solid first half of 2016 for the Swedish cosmetics maker.
The No. 14-ranked direct selling company in the world saw local currency sales increase 14 percent in the first two quarters. Reported revenue was up 1 percent to €615.4 million, versus €608.9 million in the same period last year.
“The solid performance in Asia & Turkey and Latin America continued and further improvements could be seen in Europe, while the situation in Africa was continuously challenging,” Magnus Brännström, Oriflame CEO and President, said of the company’s performance in the most recent quarter. “CIS experienced local currency growth in the quarter although margin improvement challenges remain.”
In the six months ended June 30, Switzerland-based Oriflame posted a profit of €28.8 million, or €0.51 a share, up from €20.4 million, or €0.37 a share, a year earlier. EBITDA (earnings before interest, taxes, depreciation and amortization) amounted to €68.3 million, surpassing the prior year’s €52.6 million.
Moving into the second half of 2016, the company is preparing to implement a new outsourcing partnership with IBM. The seven-year contract enlists the tech firm to drive Oriflame’s digital business transformation in IT and Finance.
*At the time of this writing, €1.00 was equal to $1.13.