Latvia’s largest cosmetics manufacturer, MADARA Cosmetics (hereinafter, the Group), achieved turnover of EUR 11.372 million in the first six months of 2025, representing a 9% increase compared to the same period last year. The Group has defined its long-term growth directions based on the results of pilot projects.
Growth above the market average
By strategically testing and expanding promising e-commerce channels, as well as shifting cooperation from fragmented to large retail chains, MÁDARA has significantly strengthened its brand awareness and expanded product availability in key European markets.
MADARA Cosmetics CEO Gunta Šulte comments:
“The first six months of this year have demonstrated a solid performance in our core business – with 9% growth, significantly exceeding the European beauty industry average of 1–3% this year. At the same time, our financial results reflect an active phase of investment and development. In e-commerce, we have strengthened our positions on Amazon and are rapidly scaling our TikTok channel. In physical retail, MÁDARA cosmetics have rightfully found their place on the shelves of regional players such as Müller, Nocibé, Druni, and others. Furthermore, during the first half of the year, we laid the foundations for entering a new, promising export region, on which we will provide more details in the third quarter.”
Successful pilot projects and strategic directions
In the first half of 2025, MADARA Cosmetics continued pilot campaigns to attract new customers in the United States, developed a TikTok shop in the United Kingdom and its Amazon channel. At the same time, through the newly established subsidiary SIA BrandLab Cosmetics, the Group began testing new brand concepts in the e-commerce environment. Additionally, the Group started migrating its e-commerce site to the world’s leading platform Shopify, with first test markets expected in Q3.
“The turnover of MADARA Cosmetics’ direct e-commerce sales channels grew by 11% during the reporting period. The sharpest increase was seen on Amazon, where turnover doubled and on TikTok, where sales doubled in Q2 compared to Q1. These achievements confirm that our strategic focus on e-commerce for the core MÁDARA brand is delivering tangible and measurable positive results. We will continue this e-commerce path,” confirms G. Šulte.
Another key strategic direction for the Group is the development of traditional retail. MÁDARA products are now available in more than 60 Müller stores in Germany, Austria, and Switzerland, and cooperation has begun with Oh My Cream – in four stores in France and three in the United Kingdom. At the end of Q2, sales started in 25 Druni stores in Spain and 50 Nocibé stores in France, which are expected to have a significant impact on the Group’s 2025 financial results.
Financial results for H1 2025 (unaudited):
- Turnover: EUR 11.37 million (+9% like-for-like growth)
- EBITDA: EUR 759 thousand (EBITDA margin 7%)
- Regional growth: Germany +24%, France +7%, Latvia +47%
- E-commerce growth: +11%
- New products: 17 launched, including the SPF50 sunscreen stick, which became the best-selling product in the assortment in Spain in Q2
MADARA Cosmetics CFO Tatjana Nagle explains:
“In the first half of 2025, MADARA Cosmetics focused mainly on growth-driving activities, which had a short-term downwards impact on profitability of around 3 percentage points. In the second half of the year, we expect to see the results of these initiatives and will also implement several efficiency-raising measures with the aim to significantly improve profitability.”
MADARA Cosmetics objectives for H2 2025:
- Multiply TikTok channel sales turnover
- Achieve at least 10% overall revenue growth
- Stabilize and significantly improve EBITDA margin
- Adjust team structure and resources to support future growth potential
The Group’s management maintains its minimum full-year 2025 revenue growth target of 10%, or EUR 23.67 million.
G. Šulte concludes:
“Looking ahead, we aim to enhance profitability, reaching double-digit EBITDA margins in upcoming periods. Our long-term ambition remains unchanged – to become one of the leading digitally oriented natural cosmetics brands worldwide, building on nearly 20 years of experience in dermatology, strong digital competencies, and staying alert to new opportunities offered by rapidly changing global trends.”
About MADARA Cosmetics
Founded in 2006, AS MADARA Cosmetics is Latvia’s largest cosmetics manufacturer. The company develops and produces natural, ECOCERT/COSMOS-certified skincare and makeup, exporting to more than 35 countries. Since 2017, the company’s shares have been listed on the Nasdaq Baltic alternative market First North. Both the company and the MÁDARA brand have received various awards for innovation, sustainability, design, and products in Latvia and abroad.
Since 2025, the company has been certified as a B Corporation, confirming its commitment to responsible, sustainable, and transparent business practices. It has also been recognized as a family-friendly workplace (2023) and a top employer in the manufacturing sector in Latvia (2023, 2024), while MÁDARA has been acknowledged as the greenest brand in the Baltics (2023).