EBITDA during the third quarter saw a significant increase (50.8% growth) from Q3 2022, reaching $8.45 million. For the first nine months, EBITDA was $27.5 million, a 22.1% increase year over year. 

“The results for the first nine months of 2023 clearly show that our strategic initiatives are bearing fruit, both in terms of sales and profits,” said Valdemaras Gordinskis, LR Group Vice President Global Controlling and Investor Relations. “During the summer months of this year, we supported the sales activities of our partners in selected markets with our ‘Crazy Summer’ campaign. And our innovative products also play a major role in driving the dynamic business development. The launch of our premium health product Mind Master Gold, for instance, has already generated strong demand for subscriptions.” 

The post LR Group Q3 2023 Sales Remain Stable at $70 Million  first appeared on Direct Selling News.

In the first half of 2023, sales reached $152.96 million, compared to $142.76 million in the first half of 2022. EBITDA during the first half of 2023 improved by 12.2% to $16.83 million.  

“Our impressive results in the first half of 2023 show that the strategic measures we have introduced are beginning to bear fruit and that we were able to achieve a predominantly strong performance despite the weaker consumer climate in our sales markets,” said Valdemaras Gordinskis, LR Group Vice President Global Controlling and Investor Relations. “With our introductory programs for newcomers, we have gained many additional partners who want to take advantage of the opportunities offered by a career with LR and build an attractive additional income for themselves. Furthermore, many existing partners have succeeded in further developing their careers. This has significantly contributed to the company’s success in the first half of 2023.” 

LR Group launched in the UK in August 2023 as part of its international expansion strategy and announced plans for focusing on product development and marketing in the second half of 2023. 

The post LR Group Sales Up 9.4% in Q2 2023  first appeared on Direct Selling News.

Key investments during the quarter included a new packaging and palletizing machine, which the company expects will boost production capacity for health products by 30% and position the brand to meet product demand in other categories. 

Planned market expansions in 2023 will include opening operations in the UK in August 2023. 

“In the first quarter of 2023, many partners showed successful career development, reaping the benefits of our top sellers such as the new and improved weight management program LR LIFETAKT Body Mission,” said Valdemaras Gordinskis, LR Group Vice President Global Controlling and Investor Relations. “This year will see us continue to focus on helping partners get started through targeted qualification and bonus programs such as Fast Track 5.0. These measures have made a key contribution to a very good start we have made to the 2023 financial year.” 

The post LR Group Sales Up 5% in Q1 2023  first appeared on Direct Selling News.

CEO Dr. Andreas Laabs pointed to fourth quarter results and an expansion of the company’s management team in saying the company was “very well equipped for the current financial year.” 

For the year, LR Group reached $285.3 million in 2022 sales with an EBITDA of $38.4 million.  

“Business has noticeably picked up again in the second half of the year, and LR succeeded in almost returning to the exceptionally strong sales level reached in the year before,” said Valdemaras Gordinskis, LR Group Vice President Global Controlling and Investor Relations. “Given the high uncertainty in the macroeconomic environment worldwide and the resulting uncertainty with regard to the future business development, LR had considered an adjustment of the financial covenants for the 2021/2025 bond issued by LR Global Holding in August. However, based on the strong performance in the third and fourth quarters, this is no longer deemed necessary at the moment.” 

The post LR Group Sees Continued Sales Growth in Q4 2022  first appeared on Direct Selling News.

Normalized EBITDA for the first half of 2022 was $17 million, down from $23.4 million during the same period last year. 

“In the first half of the year, we have seen that the effects of the war in Ukraine and the consequences of inflation are negatively affecting economic growth,” said Valdemaras Gordinskis, Vice President Global Controlling and Investor Relations of LR Group. “This is accompanied by restrained consumer behavior in the European markets. As LR Group, we were able to ensure the ability to deliver our products in the first half of the year despite the challenges in the supply chain, also thanks to forward-looking procurement management. In addition, we have turned important levers in the company and were thus able to consistently raise cost reduction potentials. We will continue to pay special attention to this in view of the challenging framework conditions.”  

The post LR Group Sees 14.2% Drop in Sales During First Half of 2022  first appeared on Direct Selling News.