Beiersdorf on Thursday raised its annual forecast for organic sales a second time this year, after its core brand Nivea and high sunscreen demand drove double-digit growth in half-year organic sales.
It now expects organic sales for the group and its consumer unit to grow by a high single-digit to low double-digit percentage range, compared with a previous forecast for mid-to-high single-digit growth.
First-half sales grew 12.3 percent from a year earlier to €4.9 billion ($5.35 billion), with an adjusted operating profit (adjusted EBIT) of €852 million, up from 710 million a year earlier.
“Both Nivea and the Derma brands grew strongly in all regions and categories and more than offset the weaker performance of our luxury business,” CEO Vincent Warnery said in a statement.
Nivea sales were up 17.9 percent from a year earlier, while sales of Derma brands Eucerin and Aquaphor jumped 26.1 percent on “exceptionally high” demand for sun protection, particularly in North and Latin America.
Sales for its luxury brand La Prairie fell 9.9 percent in the first six months, mainly due to disruption in Asian travel retail markets caused by the so-called “daigou” business, where Chinese consumers buy goods abroad on behalf of domestic buyers, the company said.
By Jan Schwartz and Linda Pasquini; Editor: Maria Sheahan
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Beiersdorf Raises 2023 Sales Outlook
The German multinational company reports a positive increase in its sales growth.
