Beiersdorf exceeds industry expectations with Q2 results

Beiersdorf exceeds industry expectations with Q2 results

Beiersdorf has reported earnings before interest and taxes, excluding some items, increased 17 per cent in the three months ending June 2015.
Rising to 250 million euros, the company has beaten analyst expectations of 246 million euros. The makers of Nivea cream and Lapello balm put the increase down to new twists on products and higher prices.

Helped by these price increases, the operating margin widened by more than a percentage point to 14.9 per cent. However, the producer of personal care products missed expectations with its organic sales growth, which grew 1.4 per cent, as opposed to analyst estimates of 2.3 per cent.

Global sales of beauty and personal care products grew 3.6 per cent, while the company has expanded the Nivea brand to include in-shower products, has broadened its men’s shower gel and face cream, and expanded Labello in fruit flavours.

A new financial chief has been hired to revamp familiar products to stay competitive in the personal-care market.