Oriflame released its interim management report, detailing an 11% dip in sales for the first nine months of 2022. Sales during this time period, ending September 30, 2022, totaled $646 million, compared to $722 million during the same period last year. Local currency sales saw a 16% decline, which the company attributes to a dip in the average number of members. Adjusted net profit during this period was $30.3 million.
Adjusted EBITDA decreased by 53.1%, or $75.9 million, to $67 million during the first nine months of 2022. Adjusted EBITDA during the same time period of 2021 was $143 million. The company points to lower unit sales, product cost inflation, and higher selling and marketing expenses, which included more costly recruitment and renewed international travel, for this decline.
The company’s long-term debt at the end of September 2022 was $795.8 million, and remains in compliance with all of its covenants.