Beiersdorf Q3 sales rally

The north German Nivea producer Beiersdorf AG has posted a 3.7% rise in group sales to €4.5 billion for the first nine months of 2012. Consumer division sales, which include the groups Nivea and other cosmetics and care products, also went up by 3.7% to €3.8bn. Growth of 3.7% in the reporting period compares with virtual stagnation (+0.9%) in the same period last year. Group post-tax earnings grew by 6.7% to €358m.

Product streamlining contributed to growth in Beiersdorfs consumer division. Nivea sales alone went up 5.4% with strong growth from Nivea Deo, Nivea Shower and Nivea Men. The Nivea haircare product sales were lower than in the same period of 2011 owing to streamlining of the range. The Eucerin range put on growth of 5.4% and La Prairie increased sales by 4.8%.

Regional sales varied with Europe levelling out at the same level as last year though western Europe alone was down 2.5% against a rise of 7.7% in eastern Europe. Sales in the Americas went up 9.9% with North America level against last year offset by a strong rise of 15.5% in Latin America. The Africa-Asia-Australia region achieved a sales increase of 9.6% with good results in India, Thailand, the Middle East and South Africa.

Beiersdorf has said it expects consumer division growth to rise by 3% to 4% in 2012 as a whole with patchy growth in Europe. Overall, in the wake of a weakening in China especially, it is expected that world demand growth will slow down. The raw materials sector is set to be problematic with reduced supply side capacities.