German personal care company Beiersdorf has posted sales growth of 0.7 percent during its first quarter this year, compared to the same period in 2014.
In nominal terms, sales increased by 6.7 percent, from €1.323bn in the previous year to €1.411bn. Sales growth was achieved across both of the company’s core segments, consumer and tesa- Beiersdorf’s self-adhesive product and system solutions segment.
Stefan Heidenreich, CEO of Beiersdorf, commented, “Business performance in the first three months of 2015 was in line with our forecast. Our sales were better than last year´s comparable high quarter. Our consolidated EBIT margin marked a new record level for Beiersdorf. After laying some important groundwork in the first quarter, we will pick up momentum over the coming months and consequently continue on our profitable growth path.”
The consumer business segment delivered organic sales growth of 0.7 percent in the first quarter of 2015. EBIT excluding special factors improved from €193m to €204m. This corresponds to an earnings before interest and tax (EBIT) margin of 14.5 percent, compared with 14.6 percent in the previous year. However, the prior-year figure was positively impacted by a non-recurring income of €10m.
tesa recorded organic sales growth of 0.4 percent in the past quarter. In nominal terms, sales rose by 8.1 percent, from €273m to €295m. This was due in particular to the positive trend in business with automotive industry customers. EBIT excluding special factors increased by 20 percent, from €42m to €51m. This corresponds to an EBIT margin of 17.2 percent (previous year: 15.5 percent).
Geographically, sales growth in Europe amounted to 0.1 percent. The company achieved strong growth of 9.9 percent in Eastern Europe, which was offset by a 2.1 percent decline in sales in Western Europe. While clear increases were achieved in Spain, France, and particularly in Russia and Poland, sales in Germany, the UK, Italy, and in Switzerland remained below last year’s level.
In the Americas region, Beiersdorf lifted sales by 7.8 percent, with growth being particularly strong in Latin America. Beiersdorf increased its sales by 9.4 percent in this region, led once again by Brazil. North America recorded sales growth of 5.3 percent.
Sales in the Africa/Asia/Australia region fell by 2.5 percent against last year. This was primarily attributable to declining sales in China. Clear sales growth was achieved in India, South Africa, and Turkey.
