In the first six months of 2021, LR Global Holding GmbH, the leading European digitally-enabled social selling company in the field of high-quality health and beauty products, achieved outstanding growth in sales and normalized earnings before interests, taxes, depreciation, and amortization (EBITDA normalized), continuing on its dynamic growth path.
In addition, adjusted EBITDA climbed by 15.8% in the first half of the year, from EUR 19.6 million to EUR 22.7 million, owing mostly to strong sales growth over the same time. The company model’s scalability and highly variable expenses idea is demonstrated by the larger increase percentage in normalized EBITDA relative to revenue.
“Despite the ongoing COVID-19 epidemic, we were able to maintain the year-to-date growth trend in the second quarter, as evidenced by the large increase in sales. As a result, we exceeded the EUR 300 million sales threshold for the first time in May 2021, based on the previous twelve months. Our strategic initiatives were also carried out successfully.
To begin, we proceeded to invest in the digitization of our business strategy to meet the growing demand from young target audiences. A third of our new community members are currently between the ages of 18 and 29. Second, with our successful market entrance in South Korea in March 2021, we took a significant stride forward in our worldwide expansion.”
“A crucial aspect in our company’s success is our natural, high-quality products. This year, we were honored with the TOP 100 Award, which recognizes Germany’s 100 most innovative medium-sized businesses.
By the end of the year, we intend to add a new product category to our offering. We will also pay particular attention to the supply chain, given the continued tightness on the procurement market. We have already boosted our stockpiles, particularly for our best-selling products, at an early stage. We are well-prepared for the anticipated expansion,” says the company.
Dr. Andreas Laabs stated.
About LR Group
The LR Group, headquartered in Ahlen/Westphalia, produces and promotes numerous health and cosmetic products in roughly 28 countries under the motto “More quality for your life.” The company mixes personal communication in its community with efficient, digital solutions as a modern social selling platform. This knowledge is visible in the “LR Connect” software, which was built by LR and assists the community in growing and improving its business. The micro-influencer network is young, adaptable, and increasingly uses social media as a sales platform.
With its portfolio of nutritional supplements and personal care, LR aims to promote people’s well-being and health. Health accounts for over 65 percent of LR’s sales, while beauty accounts for 35 percent. That is why the company is constantly developing new goods based on the power of nature and the most recent scientific breakthroughs.