Revolution Beauty (LON: REVB) has appointed Lauren Brinley as chief executive. The beauty and cosmetics products supplier also published its 2022-23 accounts, which means that trading in the AIM-quoted shares will not have to be suspended tomorrow. Even so, the share price slumped 15.5% to 28.95p.
Lauren Brindley was until recently head of American retailer Walgreen’s beauty and personal care operations across its stores and online. Prior to that she worked at Boots and Tesco. Revolution Beauty has new distribution agreements with Walgreens and Boots.
Bob Holt has stepped down as chief executive and from the board and Alistair McGeorge will become non-executive chairman. Colin Henry and Chris Fry have been appointed as independent non-executive directors. The latter provides finance expertise. Jeremy Schwartz, Rachel Maguire and Matthew Eatough have resigned as directors.
Results
In the year to February 2023, revenues edged up 2% to £187.8m, while the loss reduced from £45.9m to £33.9m. That masks improved trading in the second half.
Net debt increased from £8.4m to £21m. There was £11m in cash and the bank facility of £32m was fully drawn. Inventory was reduced so that helped cash flow.
Revolution Beauty says that it is currently performing ahead of internal expectations. First quarter sales were 60% higher, but there was destocking in the corresponding period last year. EBITDA was £3.5m in the period. Net debt increased to £21.5m.
Online sales were 12% lower last year and Lauren Brinley has experience of improving digital performance at Walgreens.
