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Beiersdorf Sales Climb to €4.67 Billion for the First Nine Months of 2013
Posted: November 5, 2013
Beiersdorf continues to make progress, building on pass successes in announcing its financial results for the first nine months of 2013. Both the consumer business segment and tesa achieved significant, above-market sales growth in the first nine months of 2013. Adjusted for the impact of foreign exchange differences, the company increased its sales by 7.3%. In nominal terms, sales increased by 2.4%, from €4.56 billion to €4.67 billion. Consolidated profit rose from €358 million to €433 million.
“Our Blue Agenda is geared toward sustainable, profitable growth. We have been able to significantly increase sales and earnings thanks to a clear, disciplined brand strategy and successful innovations. Our market share has increased in many countries, both in emerging markets and for the first time in Europe, where we saw a clear rise in the third quarter,” said Stefan F. Heidenreich, CEO of Beiersdorf AG.
Specifically, the consumer business segment delivered organic sales growth of 6.9% in the first nine months of 2013. Nominal sales increased by 1.7%, from €3.81 billion to €3.88 billion. Nivea recorded organic sales growth of 7.3%, while Eucerin generated an 11.1% increase in sales, and La Prairie saw an increase of 5.4%.
Organic sales growth was apparent across various regions. In Western Europe, sales were on a level with the previous year thanks to a strong third quarter. Significant sales growth was achieved in Germany and the U.K., in particular. Sales in Eastern Europe were down by a modest 0.8% on the previous year. Beiersdorf saw significant growth in the Americas region, where sales climbed by 11.7%. The company generated strong growth of 15.5% in Latin America. The main driver here was again its healthy performance in Brazil. In North America, sales increased by 5.2%. Beiersdorf also recorded double-digit growth rates in the Africa/Asia/Australia region, with sales growth of 18.9%. This was primarily attributable to an improved performance seen in China.
In its outlook for 2013, Beiersdorf is lifting its forecast for the full year as a result of the strong performance in the past months. The company is now aiming for group sales growth of 6-7%. The consolidated EBIT margin from operations is now expected to be around 13%, compared with the previous estimate of around 12%. In the consumer business segment, Beiersdorf is now predicting sales growth of 6-7% for 2013, with market growth estimated at 3-4%. This healthy sales growth will be further supported by targeted investments in innovations and in the emerging markets.