According to preliminary data, the cosmetics manufacturer JSC “Madara Cosmetics” last year worked with a turnover of 16.078 million euros, which is 39.3% more than a year earlier, when it was 11.546 million euros.
The company’s profit has increased 2.2 times, reaching 3.429 million euros (in 2019 it was 1.563 million euros), according to the information provided by the company to the Nasdaq Riga stock exchange.
The financial statement management report states that the company has been able to successfully adapt to Covid-19, with a particular emphasis on e-commerce marketing tools. Despite various restrictions, the company has continued to develop new products, offering consumers up-to-date solutions in new segments.
During the year, the distribution of sales has not changed – the majority of turnover is still generated in the European Union countries, including Latvia – 94%, while 6% of revenue is generated outside the European Union.
In the second half of 2020, the share of turnover in Latvia decreased by three percentage points, which is related to the ban on sales of certain product groups in person in the last months of the year, as well as faster growth in other countries.
The largest market outside Latvia is still Finland, where revenues in 2020 amounted to 2.68 million euros, which is 6.3% more than in 2019. At the same time, the company continued to actively develop its operations in France, Germany and the United Kingdom.
The management report states that the company continues to carry out research and development of new products within the Competence Centers program, and in 2020 received 161,000 euros in support for research and development activities.
The report also mentions that Madara Cosmetics’ turnover target for 2023 is 27 million euros.
The company’s largest owners are Uldis Iltners (23.93%), Lote Tisenkopfa-Iltnere (23.77%), Finland’s Transmeri Group Ab (22.94%), Zane Tamane (6.67%) and Liene Drāzniece (6 , 79%). Madara Cosmetics shares are listed on the Nasdaq Riga alternative market First North.
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