Adore Beauty

So for a business, it might be the point of view that sits inside you, the founder or the business owner, a technical expert in your team or an experienced employee.

I remember when I interviewed Kate Morris, the founder of Adore Beauty, her whole business was built on this idea that she would just try and write interesting things about skincare and put it into trade magazines.

She would just go around trying to get all of her opinions and editorials into these magazines and into these websites and kind of periodicals.

That was her strategy.

She had that before she built the skincare products and became Adore Beauty.

It was fascinating.

You can go back and listen to the episode on the Rask Network if you want to.

Pure plays for the last five, 10 years, they're all starting to do physical plays.

You've got Oz Heron Beauty opening stores, Adore Beauty opening stores.

You've got, you know, all these pure play businesses starting to open stores.

And there's a reason because they've seen that trend already.

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If you're looking for more content to binge, head to the vidIQ platform on adorebeauty.com.au.

We had the same issue with laser clinics.

Like Skinstitute product just started turning up everywhere on Adore Beauty and you could buy it on everywhere.

Like it turned up everywhere.

So we were getting it at a really good price,

It makes it hydrated and you can use it on pretty much any skin type.

And so I put it on my face and they say you can do it up to two to three times a week so i did it twice a week and the improvement in my skin was out the gate i even tried it on my husband and his skin was so glowy and hydrated and plump afterwards so i went online i was like how can i buy this and you can because there's no duralex stores in new zealand You can buy it on Adore Beauty here or you can buy it from Duralek, it just takes a little bit of time.

But if you have got skin that is a bit sensitive and you need like that little at home peel, put this on twice a week for 10 minutes and then give it a good rinse off in the shower.

It'll be the one face mask that you always buy.

Adore Beauty acknowledges First Nations people as the traditional owners across the lands and waters of Australia.

We recognise and pay our respects to Elders past, present and future whose lands were never ceded.

I feel like every episode I'm opening with during my scrolling at night.

And probably only taste if there's food involved.

But, you know, there are many retailers – Adore Beauty being one that became famous for adding a Tim Tam into each order, not that they sell Tim Tams.

I mean, the reason for appealing to multiple senses matters in a way that's not just decorative.

because the effect arrives before evaluation, and then it's going to shape that experience that then gets evaluated and remembered.

And so they do have differentiated product.

And what I'm saying with Templin Webster and a lot of these kind of businesses, Adore Beauty is another one.

And we don't talk about them anymore because they're so tiny.

But like they basically are selling products that they look so similar between competitors that no one is saying, I only want that one instead of that one.

Now, I'm sure some of this will come out in due course, but it's definitely something to consider that if you do work with a co-founder, what that relationship is like, making sure that you're on the same page and that nothing like this happens to you.

Next, we're going to get onto Adore Beauty, who've just posted record revenues.

Now, $207.3 million revenue, which is up 4%, which is the biggest year they've had.

But the kicker is that their profit nearly halved.

Now, normally this is something which we'd say that this is a red flag and something we need to watch out for.

But in this case, it turns out it was actually the plan that in the last 12 months, Adore have opened up 13 new stores, 11 Adore Beauty stores, plus two Iku stores, which have taken the network to 20 locations Australia-wide.

Now, new stores don't make a lot of money from day one, but the management is saying that it will take about 18 to 24 months before each store hits maturity.

So while the underlying EBITDA has dropped from 8.1 million to 3.8 million, that's a gross margin of slipping by about half, and new customers, however, were up 14%.

Revenue fell from $2.28 billion to $2.26 billion in fiscal year 26, with the firm unable to retain most of its ongoing government work after reports that partners misused client data in order to win bids for other major audit clients.

Adore Beauty surges as Bendigo and Aussie Broadband disappoint.

Adore Beauty jumped over 19% despite posting a full-year loss, with investors focusing on record FY26 sales and a strategic turnaround story, even as interest rates continue to squeeze household budgets.

Bendigo and Adelaide Bank reported earnings of $530.2 million, up 3% with its digital bank, up a standout, though the broader home loan book shrank and mortgage arrears crept higher.

Aussie broadband slumped 6.5% despite growing NBN market share and a 7.5% rise in net profit to $35.3 million, with investors wanting more from the telco given its 41% growth in broadband connections.