- Nivea and Tesa boost sales at Beiersdorf
The Beiersdorf corporation, which owns the Nivea brand and is seeing a resurgence in Tesa sales, continues to grow. In the first half of the year, compared to the same period last year, organic sales - excluding external effects such as acquisitions - increased by 7.1% to nearly 5.2 billion euros, as reported by the consumer goods giant in Hamburg. "These positive results more than offset the persistent headwinds in the challenging luxury market, particularly in China," commented CEO Vincent Warnery in a statement.
Beiersdorf is still struggling with its luxury brand La Prairie due to the consumption slump in China. However, the company noted that its luxury products performed better than the market. The majority of sales still come from Nivea and Labello products. In the first half of the year, Beiersdorf approached the 3 billion euro sales mark with these products.
On a group level, however, adjusted operating profit before interest and taxes for the first six months slipped from 852 to 838 million euros due to advanced investments and marketing expenses. After taxes, profit remained roughly stable at 590 million euros. Warnery confirmed the annual forecast.
Despite the ongoing challenges in the luxury market, particularly in China, affecting La Prairie, Beiersdorf's luxury products still managed to outperform the market. However, a significant portion of the company's sales continues to originate from Nivea and Labello products, with the first half of the year approaching the 3 billion euros sales mark for these products in China.
