**Summary of Revolution Beauty Group PLC Interim Results for H1 2026**
**Financial Performance Overview**
**Revenue Decline**Revenue fell by 31.8% to £49.4 million in H1 2026 compared to £72.4 million in H1 2025, primarily due to disruptions from prior-year strategic and operational issues, including the transition from Relove to Revolution at Walmart.
**Gross Profit and Margin**Gross profit decreased to £15.9 million (from £23.2 million), with a stable gross margin of 32.2% (vs. 32.0% in H1 2025), impacted by clearance sales to generate cash under previous management.
**Operating Loss**Operating loss widened to £16.7 million (from £9.8 million), driven by declining sales and elevated costs.
**Adjusted EBITDA**Adjusted EBITDA loss deepened to £12.5 million (from £6.3 million), reflecting transitional challenges, non-recurring costs, and new tariffs in the USA.
**Cash and Net Debt**Cash and cash equivalents dropped to £1.8 million (from £6.3 million), while net debt increased to £30.2 million (from £25.5 million).
**Strategic and Operational Updates**
**Refinancing and Equity Raise**The Group completed a successful refinancing and raised £16.5 million in equity, strengthening the balance sheet and restoring financial stability.
**Return of Founders**Tom Allsworth returned as CEO, and Adam Minto joined as a consultant, playing a key role in the refinancing and strategic reset.
**Cost Reduction**Headcount was reduced from 205 to 123 (excluding production staff) to align with current operations and improve agility.
**Operational Focus**The new management team is prioritizing sales momentum, financial discipline, and rebuilding confidence. Early actions led to positive EBITDA in September and October 2025.
**New Product Development (NPD)**Efforts are underway to rebuild ranges, improve pricing, and accelerate product launches, with exciting NPD opportunities planned for Spring 2026.
**Retailer Negotiations**Successfully negotiated price adjustments with US retailers to mitigate tariff costs, benefiting the next financial year.
**Future Outlook**
**Sales Growth**Retail sales growth has resumed across key US and UK retailers, establishing a platform for sustained revenue improvement.
**EBITDA Profitability**The Group expects to maintain EBITDA profitability from H2 FY26, with an Adjusted EBITDA run rate of £8-10 million by the end of FY26 and an outturn of £4 million in H2 FY26.
**Challenges and Opportunities**While full-year sales and Adjusted EBITDA will not meet previous guidance, the Group is focused on executing its strategic reset, improving financial performance, and restoring shareholder value.
**Management Commentary**
**Tom Allsworth, CEO**Acknowledged past challenges but emphasized the foundations laid for a disciplined, focused, and resilient business, with a return to positive EBITDA and a focus on innovation and growth.
**Iain McDonald, Chairman**Highlighted the importance of the founders return and the successful refinancing in stabilizing the business and positioning it for future success.
**Regulatory and Compliance**
**FCA Investigation**The Group continues to cooperate with the FCA’s ongoing investigation into potential breaches of the Market Abuse Regulation from July 2021 to September 2022.
**Conclusion**
Revolution Beauty Group PLC faced significant challenges in H1 2026 but has taken decisive actions to stabilize its financial position, reduce costs, and refocus on growth. With the return of the founders, successful refinancing, and strategic reset, the Group is poised to rebuild momentum and deliver sustainable profitability in the coming years.
| Metric | H1 2025 (£m) | H1 2024 (£m) | Change |
|---|---|---|---|
| Revenue | 49.4 | 72.4 | -31.8% |
| Gross Profit | 15.9 | 23.2 | -31.5% |
| Gross Margin | 32.2% | 32.0% | +0.2 ppts |
| Operating Costs | 28.4 | 29.5 | -3.7% |
| Adjusted EBITDA | (12.5) | (6.3) | -98.4% |
| Adjusted EBITDA % of Revenue | (25.3)% | (8.7)% | -16.6 ppts |
| Operating Loss | (16.7) | (9.8) | -£6.9m |
| Loss Before Tax | (18.4) | (10.9) | -£7.5m |
| Cash and Cash Equivalents | 1.8 | 6.3 | -£4.5m |
| Net Debt | (30.2) | (25.5) | -£4.7m |
| Gross Inventory | 34.1 | 61.9 | -£27.8m |