Health and beauty products specialist InnovaDerma PLC (LSE:IDP) said the "simplifying and reshaping" of the business will continue as it aims to return to profitability this year.
The group, which has focused in on a cluster of core products, including the top-selling Skinny Tan range, revealed the early impact of the strategy change.
For while first-half revenue fell 9.5% to £3.7mln, gross profit was up 3.1% and the operating loss narrowed by £500,000 to £700,000 in the six months ended 31 December 2021. The group exited the period with £1.3mln on the balance sheet.
The second half is traditionally the company’s strong trading period as it contains the peak sales period for holiday-related products such as Skinny Tan.
“The board remains optimistic that the transformation plan enacted this year, as well as underlying improved consumer consumption and retail momentum versus last year, will enable the business to continue its improvement trajectory over the second half-year with a return to profitability this year remaining the board's intention,” investors were told.