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Revolution Beauty

August 2024

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

  • Epic Code:
  • REVB
  • Price:
  • 22p
I caught up with Rachel Birkett, the analyst covering REVB post FY24 results. These were as expected and represent the first of a two-year turnaround strategy. As unveiled at the Capital Markets Day in February, sales  of £191.3m were stable despite the drag of discontinued brands/categories to focus on its ‘Masterbrand’ and on product categories with the highest growth potential (complexion, lip, eye, skincare). It was also a period when there had been £4-5m spent on legal wranglings which ought not to repeat. Meanwhile, profitability has   transformed, with EBITDA of £12.6m versus a loss of £7.5m, driven by gross margin, +5.8% to 46.2% and Birkett sees no reason why 60%+ isn’t possible. The more rigorous approach to new product develop ...

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With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

All material on this website is protected by copyright. You may use Information retrieved from the www.scsw.co.uk website for your own personal non-commercial use which means that you may not sell or copy this information to any third party without prior written consent. ISSN 1358-183X

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