Oriflame Q1 2025 Financial Results Show Strategic Progress Despite Decline
Oriflame Q1 2025 Financial Results Show Strategic Progress Despite Decline
The Oriflame Q1 2025 results revealed a 7% year-over-year decline in euro sales, totaling $165.3 million. Despite the decline, the company emphasized its ongoing progress in restructuring and strategic initiatives that signal long-term recovery.
The adjusted EBITDA represented a $1.14 million loss, with an operating loss of $8.17 million. However, Oriflame Q1 2025 results also reported an adjusted net profit of $7.38 million, showcasing early improvements in operational efficiency.
A major highlight of the Oriflame Q1 2025 Financial results is the expansion and impact of its Beauty Community Model (BCM). Now active in 48 markets, the BCM contributed to more than 80% of the group’s total sales. This approach focuses on empowering its member base, which has shown sequential growth across key markets.
Administrative costs were significantly reduced through effective restructuring. These cost-saving measures played a key role in partially offsetting the impact of lower sales on EBITDA performance.
In March 2025, Oriflame reached an agreement with its shareholders and over 91% of bondholders to implement a major recapitalization. The plan will significantly lower the company’s debt burden and interest expenses, while injecting fresh capital to support long-term operations.
This financial restructuring reduces concerns regarding Oriflame’s ability to continue as a going concern and positions the company for stronger quarters ahead.
Oriflame ended Q1 2025 with a cash balance of $63.81 million, down from $70.3 million at the start of the quarter.
Founded in 1967, Oriflame is a global social selling beauty company operating in more than 60 countries. Its portfolio includes Swedish, nature-inspired, and innovative beauty products promoted by over 2 million members worldwide. Oriflame remains committed to social responsibility and environmental sustainability, actively supporting global charitable causes and serving as a co-founder of the World Childhood Foundation.
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