Warpaint London reports record profit as sales jump

Source: Proactiveinvestors UK
Author: Philip Whiterow

Warpaint London PLC's (AIM:W7L) sales, margins and profits hit a record last year following significant growth in all of its geographical regions.

Revenues increased by 40% to £89.6 million in the year to December, the cosmetics firm updated on Wednesday.

Sales across the EU, UK and US led the way rising by 60.5%, 17.6% and 36.8% respectively.

Gross margins increased from 36.4% to 39.9% over the year, prompting pre-tax profit to jump 136% to £18.1 million.

"The key to our growth has been, and will continue to be, expanding our presence in large retailers globally, by growing our sales with existing customers, entering into relationships with new ones and increasing our online presence," chairman Clive Garston commented.

Warpaint's W7 product had rolled out to Superdrug and New Look stores in the UK over the year, alongside being stocked in shops in other countries.

Further rollouts are planned in the months ahead to the likes of CVS and Walmart in the US and existing customers including Tesco in the UK.

Warpaint added first quarter trading had been strong too, with sales up 28% at £23.5 million, while cash totals £7.5 million.

A 6p final dividend was recommended for the year just gone, against 4.5p in 2022, taking the total to 9p for the year, compared to 7.1p previously.