What it does
InnovaDerma PLC (LON:IDP) makes a range of beauty and personal care products.
The company, which floated in the autumn of 2016, makes Skinny Tan, Roots haircare range, as well as a men’s skincare range called Charles + Lee.
It also owns Prolong, which is the world’s first FDA-cleared medical device for premature ejaculation which it launched in the US and Australia in 2018.
InnovaDerma’s most famous product though is Skinny Tan – the firm’s wildly popular range of self-tanning lotions.
In a nod to the quality of its products, major retail chains such as Tesco, Boots and Superdry stock InnovaDerma goods.
Early in 2020, it launched Nuthing, a new brand and category in hair removal.
How it is doing
In January, the company revealed the impact of the coronavirus pandemic and tighter lockdown rules on its trading performance over the important festive season.
Full-year revenue for 2020 was around £4.1mln, versus revenue of £5.1mln in 2019.
UK sales fell by just under a third to around £2.9mln but the company saw sales grow by some 17% year-on-year in the US and by around 52% in Australia.
Both Retail, as well as Direct-to-Consumer (DTC) sales, were affected by a reduction in beauty category consumption, particularly in the tanning category, due to COVID-19, InnovaDerma said.
Creighton's approach
At the end of January, Innovaderma said it had received and rejected an approach about an all-share takeover by rival cosmetics group Creighton's as it significantly undervalued the business.
What the boss says:
"I have now been the CEO of InnovaDerma for a little over seven weeks and I am very positive about the future growth potential of the business,” said Blake Hughes, the current chief executive.
Inflexion points
- Platform diversification
- Focus on consumers balances loss from shop closures
- Bid approach from Creighton's rejected