The Cosmetics Retail Industry in Halden: Current Status and Future Prospects

The cosmetics retail industry in Halden has shown both strengths and challenges in recent years. In 2025, there are 9 companies registered in the industry, with a total payroll cost of NOK 3.2 million and 30 employees. Over the past two years, the industry has experienced significant growth, with a +103.8% increase in sales from 2023 to 2024 and +25.2% in 2025. At the same time, there has been an increase in the number of employees from 26 in 2024 to 30 in 2025. An important observation is that Parfymeriet Anette AS had a negative EBITDA in 2025, indicating potential challenges in the industry.

Sales and employees:

• Sales in the industry have grown from NOK 5.6 million in 2016 to NOK 15.0 million in 2025, with an annual growth of +25.2% in 2025.
• Number of employees has increased from 19 in 2016 to 30 in 2025, with a rise of +57.9% over the period.

Financial indicators:

• Gross margin stands at 2872% (2025), indicating a high profit margin from sales of goods.
• EBITDA margin is at 7% (2025), suggesting good operational efficiency for the most profitable companies.
• Total operating income in the industry in 2025 is NOK 14.4 million, with an operational efficiency per employee of NOK 955,900.

Growth trends:

• The most significant growth periods have been +22.3% in 2020 and +103.8% in 2024, indicating a strong expansion after 2023.

In Halden, there are 9 companies registered in the cosmetics retail industry. The key companies include:

1. Rituals Cosmetics Norway AS Avd Halden Tista (Walkers gate 4) – AS-form, 11 employees, NOK 8.8 million in sales in 2025, +8% growth from 2024.
2. 7 Små Rom AS (Storgata 4C) – AS-form, 13 employees, NOK 0 in sales in 2025 (non-profit company).
3. Parfymeriet Anette AS (Walkers gate 4) – AS-form, 7 employees, NOK 5.6 million in sales in 2025, but with negative EBITDA of -NOK 20,000.

Organizational forms:

• AS (Joint Stock Company): 3 companies, 31 employees, NOK 14.4 million in operating income.
• ENK (Sole Proprietorship): 4 companies, 0 employees.
• ANS (Partnership): 2 companies, 0 employees.

Note: 7 Små Rom Med Velvære Ann Christin Aakervik and Alabido Shop are non-profit companies with 0 employees and 0 sales in 2025.

All companies in the cosmetics retail industry in Halden are registered in Halden itself. The most central addresses are:

• Storgata 4C (2 companies: 7 Små Rom AS and 7 Små Rom Med Velvære Ann Christin Aakervik)
• Walkers gate 4 (3 companies: Rituals Cosmetics Norway AS, Parfymeriet Anette AS and Body Boutique Halden ANS)
• Marcus Thranes gate 40 (Alabido Shop)
• Båstadlundveien 11 (Cosmetics By Palm)
• Urtegata 2 (Derma Vital ANS)
• Sørliveien 118 (Kc Group AS)

Conclusion: The industry is concentrated in Halden, with a focus on Walkers gate 4 and Storgata 4C as main locations.

Bankruptcy indicators:

• Parfymeriet Anette AS had negative EBITDA of -NOK 20,000 in 2025, indicating potential financial challenges.
• No other companies in the industry had bankruptcy indicators in 2025.

Growth and decline:

• 7 Små Rom AS (founded 2024) has 0 sales in 2025, but 13 employees.
• Rituals Cosmetics Norway AS has grown by +8% in sales from 2024 to 2025.
• Parfymeriet Anette AS had -4% growth in sales in 2025, but +8% growth in 2024.

Conclusion: The industry has greater variation in financial health than what is indicated by the overall figures, with both strong and weak players.

Outlook for Entrepreneurs

Positive trends:

• Strong growth in sales and number of employees over the past two years, especially from 2023 to 2024.
• High gross margin (2872%) indicates good profitability in the industry.
• Concentration in Halden provides opportunities for local collaboration and municipal support.

External challenges:

• Competition between companies such as Rituals and Parfymeriet Anette can be demanding.
• Financial risk factors such as negative EBITDA at Parfymeriet Anette indicate a need for strong financial planning.
• Non-profit companies (ENK) with 0 employees and 0 sales may indicate a need for financial stabilization.

Recommendation: Entrepreneurs should consider location in Halden, larger company structure (AS) and strengthened operational efficiency to ensure success in the industry.

The cosmetics retail industry in Halden shows strengths in growth and profitability, but also challenges in financial stability. With greater growth in sales and number of employees in recent years, as well as high gross margin, the industry is attractive for entrepreneurs. However, it is important to be aware of competition and financial risk factors. SmartGrunder can help entrepreneurs find optimal location and operational strategies in Halden for this industry.