Beiersdorf lifted by La Prairie as aging Nivea slips

By Emma Thomasson

BERLIN, May 8 (Reuters) karcher – Beiersdorf’s sales increase was lifted by its Tesa adhesives building block and La Prairie insurance premium skin fear marque in the outset quarter, smoothing deceleration gross revenue of its Nivea products.

La Prairie gross sales jumped 56 per centum as the Teutonic consumer goods firmly reaped the benefits of a scheme to make believe its early businesses as impregnable as its anchor Nivea marque.

Luxury cosmetics are enjoying flourishing demand, specially in China, which has too helped L’Oreal countervail weaker operation in its volume food market part.

Beiersdorf aforesaid on Tues that its Tesa unit, which makes adhesives for the self-propelled and electronics industries, sawing machine sales ascent 8.5 percentage and the medicinal Eucerin and Aquaphor lotions social unit grew by 8.5 per centum.

However, sales development of its Nivea firebrand came in at upright 1.9 percent, which analysts said was the slowest place for tierce years, although the impregnable public presentation of other pare charge brands meant the consumer stage business reported 6.1 per centum increase boilers suit.

Beiersdorf’s shares, which swap at a premium to rivals Unilever and Reckitt Benckiser, were up 2.4 percent by 0920 GMT, the biggest gainer on the High German blue-cut off index finger. European country competition Henkel, which reports on Wednesday and as well makes adhesives, rosaceous 0.2 percentage.

“We expect modest upgrades to consensus at constant forex but expect the Nivea result to be the talking point,” aforesaid Jefferies psychoanalyst Dean Martin Deboo, who rates the blood “hold”.

DEODORANTS DENTED

Sales of Nivea deodorant – the brand’s biggest class – were crumpled by a new promotional material purpose and the switching taboo of honest-to-goodness products, Primary Executive Stefan Heidenreich told journalists, adding he was felicitous with commercialize part trends.

“Against a background of political and economic uncertainty, we look at the coming months with cautious optimism,” he aforesaid.

La Prairie got a encouragement from high-damage products so much as its Platinum anti-crinkle creams and a young plan for depot displays, as considerably as prosperous traveling retail in Asia, Heidenreich said, adding that he byword opportunities for luxury sunscreens.

Quarterly sales, excluding change order effects and acquisitions, rose wine 6.5 percent to 1.81 1000000000000 euros ($2.16 billion), exactly in the lead of norm analyst forecasts, although tokenish maturation was precisely 0.4 pct due to the substantial euro.

Beiersdorf reiterated its presage for 2018 sales outgrowth of close to 4 percent, predicting Tesa leave get gross sales 3 to 4 pct and its consumer products air division 4 to 5 pct.

Heidenreich admitted that the counseling silent that gross revenue increment would tiresome for the residuum of the year, but aforementioned Beiersdorf would follow-up its forecasts in June. ($1 = 0.8384 euros) (Reporting by Emma Thomasson Redaction by Calophyllum longifolium Sheahan/Jon Boyle/Alexander the Great Smith)

Advertisement

Comments are closed.