Beiersdorf benefits from bump in Nivea sales (updated)
26/04/2023 07:45
(Adds details about division performance, share move, broker
comment)
April 26 (Reuters) - Beiersdorf's BEIG.DE Nivea brand
recorded 18% sales growth in the first quarter of 2023 thanks to
price hikes, the German firm said on Wednesday, confirming
higher sales across its business year-on-year.
Its Tesa segment eked out organic of 0.9% in the
quarter.
Sales to the automotive industry rose by a double-digit
percentage, offsetting a weaker start to the year for its
electronics business in China, which was affected by lower
demand for smartphones and tablets.
Beiersdorf's luxury brand La Prairie was the only outlier,
recording a 12% fall in sales year-on-year, with the company
citing challenging market conditions in China caused by the
changes in COVID-19 policies.
"Momentum in the business appears very good (volumes up)
aside from La Prairie, which should turn materially in Q2 2023,"
Credit Suisse commented on the result.
Overall, the consumer business unit of Beiersdorf achieved
sales of 2.06 billion euros ($2.27 billion), growing by 14.8%
year-on-year.
Shares in Beiersdorf were up 0.3% in early Frankfurt
trade.
($1 = 0.9108 euros)
($1 = 0.9090 euros)
(Reporting by Tristan Veyet in Gdansk, Editing by Friederike
Heine)
((Tristan.Chabba@thomsonreuters.com;))