Beiersdorf Group Sales Hit $2.7 Billion In First Quarter

[ad_1]

Beiersdorf is continuing its successful path, starting the 2023 fiscal year with significant sales growth.

Group sales amounted to approximately $2.7 billion in the first quarter, representing organic growth of 12.2%.

The company’s consumer business segment generated sales of $2.3 billion and strong organic sales growth of 14.8%. In addition to the consistently successful Derma business with the Eucerin and Aquaphor brands, Nivea had an outstanding first quarter, particularly in Europe and in the emerging markets. Beiersdorf’s Tesa business segment recorded organic growth of 0.9% year-on-year. Tesa’s sales in the first quarter were $426 million.

“Beiersdorf had an excellent first quarter,” said CEO Vincent Warnery. “Our efforts to transform NIVEA are clearly paying off: Our brand icon grew in all regions and March was actually the best month in the history of the brand. With strong, double-digit sales growth, Nivea in Europe and in the emerging markets, along with our successful Derma business, compensated for a difficult quarter at La Prairie – one that was negatively impacted by the effects of the Corona lockdown in China. That clearly shows that we’re like a four-wheel drive vehicle: If one wheel loses traction, the others will keep the vehicle moving forward. That gives us even greater stability and security in times shaped by volatility and crises.”

Price- and Volume-Based Sales Growth

Nivea – including Labello – grew organically by 18% year-on-year in the first quarter, according to the company Growth was led by the sun care, lip care, and deodorants categories. In addition, double-digit sales increases were also seen in face care. This growth was underpinned by price increases and a positive volume contribution for the entire portfolio. Nivea recorded double-digit growth in all key markets.

Eucerin and Aquaphor performed exceedingly well with organic sales growth of 26.9%. Demand remains consistently high in the key US market. In Latin America, the sun care business was a significant growth driver in the first quarter. The Derma business also recorded strong sales growth in Europe, gaining market share in all categories.

La Prairie, Beiersdorf’s luxury brand, saw its sales fall by 12% in the first quarter. This was due to challenging market conditions in China caused by the changes in Covid policies, which significantly impacted the otherwise strong travel retail business. Retail sales in China have, however, recovered significantly since February, starting with sales in brick-and-mortar retail and recently also in travel retail.

[ad_2]

Source link