Consumer business lifts H1 sales at Beiersdorf
Beiersdorf AG has released its financial results for the first half of 2022, revealing a 10.5% increase in sales to £3.7 billion (€4.5 billion).
The group's consumer business segment reported sales of £3 billion (€3.6 billion) and organic year-on-year growth of 11.7% in the first half of 2022, compared to £2.5 billion (€3.1 billion) in 2021.
Sales at Nivea rose by 11.2% in the first six months of the year. In skincare, Beiersdorf labelled the results for the sun, lip, face and body categories as "especially impressive". In personal care, Nivea's growth was driven by deodorants and shower gels.
Eucerin and Aquaphor continued reported organic sales growth of 26.6% in almost all regions. Products using Thiamidol, the patented active ingredient against hyperpigmentation, remained a growth driver.
La Prairie revealed organic sales growth of 1.8% in the first half of the year. In the second quarter, the luxury brand was initially hit by COVID restrictions and lockdowns in China. However, the brand recovered once these restrictions began to ease and has achieved "very good" growth rates since June.
Beiersdorf's EBIT margin was 15.9%, with growth across all regions partially offset by higher commodity and transport costs.
Looking ahead, Beiersdorf said it is confident to deliver above-market sales growth at the upper end of the mid-single-digit range in the consumer business segment for fiscal year 2022. The EBIT margin from ongoing operations is expected to be slightly above the previous year’s level.
Vincent Warnery, CEO of Beiersdorf AG, said: “2022 has been a successful year for us so far. In an increasingly challenging environment, Beiersdorf carried the strong growth momentum from the start of the year into the second quarter and posted double-digit sales growth at group level. We were also able to significantly improve our profitability. In the second half of 2022, we expect additional headwinds from economic and political tensions."