Beiersdorf has raised its annual sales forecast for a second time this year after delivering double-digit growth during its first half due to strong demand for its core Nivea brand and sunscreen.
Organic sales climbed 12.3% to €4.9bn over the six months to 30 June, with its main Consumer division growing 14.9% to €4.1bn.
The Nivea brand grew in all regions and categories by 18.4% in organic terms, helping offset the weaker performance of its La Prairie luxury business. Most of the company’s other skincare lines, such as Eucerin and Aquaphor, posted double-digit growth, led by sun protection and lip care.
Beiersdorf noted that Nivea had also “successfully” completed all its price negotiations in Europe, thereby ensuring “stable conditions for the brand”.
The group also improved its operating result, with EBIT growing from £710m to €852m. Margin rose from 15.9% to 17.3%, driven by the Nivea brand (+17.9%) and its dermatological brands (+26.1%).
CEO Vincent Warnery commented: “We not only continued our growth path but also significantly increased our profitability in the first half of the year … These positive results give us confidence for the next months, even though we still expect headwinds in some areas. We are therefore increasing our sales forecast for the Consumer Business Segment and the Group.”
Beiersdorf 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.
