Superdrug’s profit and sales surged in 2022 as shoppers returned to stores in their droves.
The health and beauty retailer’s pre-tax profit soared from £45m to £78m, rising almost 72%. Its sales were also up 17% to £1.37bn over the period.
The business attributed the boost to increased store footfall across city centres, successful own-brand product launches and strong Christmas trading.
CEO Peter Macnab said: “We have certainly carried this momentum into 2023, with customer footfall continuing to increase and all of our categories performing well, particularly cosmetics which had a turbulent few years throughout the pandemic.”
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The retailer highlighted its strength in own-brand and exclusive products, which grew year on year and provided Superdrug with “a significant point of difference and a means to showcase its innovation in the health and beauty market”.
In launched its new Studio London make up range in November and has twice sold out the best performing product from the collection the U Matte-R Setting Mist Matte.
Macnab highlighted the work it had done to help shoppers during the cost-of-living crisis, which had helped to boost sales.
He said: “Throughout 2022 high food, energy and domestic costs continued to put severe pressure on household incomes.
“At Superdrug we remained committed to supporting customers through the cost of living crisis, working with Jack Monroe and becoming the first health and beauty retailer to introduce price freezes on essential products, ensuring we brought best-in-class health and beauty at competitive prices, the success of which we see reflected in the growth of our own brand offering and the great take up of members only pricing.”
The retailer said its Health & Beautycard customer loyalty programme remains “pivotal” to customer engagement. Sales from members “significantly increased” year on year, supported by the launch of ‘Members Only’ prices in August 2022.
Superdrug opened 12 new stores in 2022 and plans to invest in 25 new stores throughout this year.
Its online business also thrived with sales “tracking significantly ahead” of pre-pandemic levels. It replatformed its website over the year and launched Superdrug Marketplace in November, where it started selling 7,000 new products.
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