Sales of German cosmetic and consumer goods maker Beiersdorf (Nivea, Eucerin, La Prairie, Hansaplast) have grown by 4.7% in organic terms (i.e. based on a comparable structure and constant exchange rates) in 2014. In nominal terms, sales increased by 2.3%, from 6.141 billion euros to 6.285 billion euros.
The groups two business segments - Consumer (skin and body care products) and Tesa (self-adhesive system and product solutions for industrial customers and consumers) - both contributed to this performance. However, in a difficult economic environment, profits decreased from 543 million euros in 2013 to 537 million euros (USD 613 million) last year, down 1.1 per cent.
Beiersdorf’s Consumer business segment achieved organic sales growth of 4.8% in financial year 2014. In nominal terms, sales rose by 2.1%, from 5.103 billion euros in the previous year to 5.209 billion euros (5.938 billion US dollars) in 2014. This was due in particular to the company’s three core brands: Nivea recorded 6.2% growth, Eucerin 6.0%, and La Prairie 5.1%.
Beiersdorf increased organic sales in all regions. In Europe, Beiersdorf further expanded its market position, generating sales growth of 2.0%. In Western Europe, sales rose by 1.6%. In Eastern Europe, sales grew by 3.6%. Beiersdorf achieved sales growth of 6.2% in the Americas region. Business in Latin America performed particularly well once again with sales growth of 7.1%, led by Brazil. In North America, sales increased by 4.6%. The Africa/Asia/Australia region saw a strong increase in sales, with growth of 9.6%. Many markets in the region generated good or extremely good growth rates, although economic growth has eased in some markets, particularly in China.
“Beiersdorf was successful in 2014. We have achieved a level of stability that leads us to expect further growth even in more difficult political and economic conditions. This makes us cautiously optimistic for 2015,” said Stefan F. Heidenreich, CEO of Beiersdorf AG.
Indeed, Beiersdorf expects to deliver sales growth of 3-5% and a slightly improved EBIT margin in 2015 at Group level. In the Consumer business segment, above-market sales growth of 3-5% too is forecast.