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LR Group off to a successful start in financial year 2021

·5-min read

DGAP-News: LR Global Holding GmbH / Key word(s): Quarter Results
31.05.2021 / 07:30
The issuer is solely responsible for the content of this announcement.

LR Group off to a successful start in financial year 2021

Ahlen, 31 May 2021 - LR Global Holding GmbH, a leading digital social selling company in the field of high-quality health and care products, achieved significant growth in revenue and earnings in the first quarter of 2021 and thus continued on its dynamic growth course. In the first three months of 2021, the LR Group achieved revenue of EUR 79.5 million (previous year: EUR 69.0 million), a significant increase of 15.2% compared to the previous year. At the same time, normalised earnings before interest, taxes, depreciation and amortisation (EBITDA norm.) increased significantly from EUR 8.1 million to EUR 11.3 million. The considerable increase in earnings is essentially due to the strong growth in revenue at the beginning of the year.

"After the record year 2020, we are very satisfied with the start to the current financial year 2021. In terms of sales, we were able to achieve the most successful quarter in LR's company history and thus disproportionately increase our earnings compared to the first quarter of the previous year. Strong growth rates in some regions, such as the DACH region and France, contributed significantly to this. At the same time, we continued to work consistently on the digitalisation of our business model in order to expand our social selling platform and further improve the structures for sales. In times of the pandemic, our business model has proven to be extremely robust and we are experiencing growing popularity, especially among young target audiences," commented Dr. Andreas Laabs, CFO and COO of LR Global Holding GmbH.

As a modern social selling partner, LR distributes over 300 products in the areas of health and beauty (nutritional supplements and cosmetics) via its partner community with currently more than 340,000 active sales partners and customers. The LR Group is currently active in 28 countries worldwide. The company entered the market in South Korea in March 2021. Business activities have started off well there and the LR Group is now present with selected health and beauty products. This step is in line with the strategy of continuing its international expansion and further expanding its market position in the Asian region.

Digitalisation process successfully progresses in 2021

"We took further important steps to develop LR into the leading digital social selling platform in the first quarter of 2021. One focus for the rest of the year will be the establishment of our new LR Connect app, which we will roll out internationally as we continue to digitalise our company. The app will provide our partners with the latest information on our products or enable them to take part in training measures. We will also pay special attention to our supply chain, which is facing challenges due to the pandemic. We have already been increasingly active in the procurement market and have increased our stocks accordingly. In view of the growth planned, we therefore see ourselves well equipped to meet the growing demand for our products," said Dr. Andreas Laabs.

Based on the results for the first quarter, the management continues to expect a positive business development with stable growth for the current financial year 2021. The forecast is based on the assumption that the ongoing COVID-19 pandemic, the extent of which still cannot be fully assessed, will not have any significant impact on the LR Group's business.

The report for the first quarter of 2021 is available online as of today on the company's website at https://www.lrworld.com/investorrelations.


LR Group
Under the motto "More quality for your life", the LR Group with headquarters in Ahlen/Westphalia produces and markets various health and beauty products in around 28 countries. As a modern social selling platform, the company combines personal exchange between sales partners and customers with efficient, digital solutions. This expertise is particularly evident in the "LR Connect" app developed by LR itself, which supports the community in building and developing its business.

LR's goal is to improve people's well-being and health with its portfolio - consisting of care and decorative cosmetics, nutritional supplements and fragrances. That is why the company continuously develops new products - from the power of nature in combination with the latest scientific findings.

The processing of Aloe vera has been one of the core competencies of LR Health & Beauty for more than 18 years. Only the valuable inside of the leaf is used for the products. In Ahlen, the company has established the most modern Aloe Vera production site for Aloe Vera Drinking Gels in Europe. In the fragrance segment, LR cooperates with national and international stars such as Guido Maria Kretschmer, Bruce Willis, Emma Heming-Willis and Cristina Ferreira. LR has been firmly established in the market for over 35 years with around 1,200 employees and thousands of registered sales partners. LR also established the LR Global Kids Fund e.V. which provides efficient and unbureaucratic support for deprived children and their families in many different countries around the world in cooperation with local institutions.


Your contacts:

PR contact:
LR Global Holding
Almut Kellermeyer
Head of PR / Public Affairs
Kruppstraße 55
59227 Ahlen
Phone: 02382 7060-106
E-mail: a.kellermeyer@LRworld.com
https://www.lrworld.com/investorrelations


IR contact:
cometis AG
Thorben Burbach
Unter den Eichen 7 | Gebäude D
65195 Wiesbaden
Phone: +49(0)611 - 205855-23
Fax: +49(0)611 - 205855-66
E-mail: burbach@cometis.de


31.05.2021 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
Archive at www.dgap.de

Language:

English

Company:

LR Global Holding GmbH

Kruppstr. 55

59227 Ahlen

Germany

Phone:

+49 238270600

E-mail:

info@lrworld.com

Internet:

www.lrworld.com

ISIN:

NO0010894850

WKN:

A3H3FM

Listed:

Regulated Unofficial Market in Frankfurt

EQS News ID:

1202207


 

End of News

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