Beiersdorf 2021 Sales See Growth
● The German consumer goods company reported organic sales increase of 9.7 percent last year.
PARIS — German consumer goods company Beiersdorf AG’s 2021 organic sales rose 9.7 percent to 7.63 billion euros, outpacing pre-pandemic levels of 2019.
In reported terms, the Hamburg, Germany-based maker of Nivea products’ sales increased 8.6 percent, spurred by its Tesa, La Prairie and Derma businesses.
Implied organic sales growth in the fourth quarter was around 2.6 percent, according to Bernstein.
“Beiersdorf seems to have had an OK end of the year in organic growth… in line with consensus, but companies reporting till now had material beats on organic growth,” wrote Bernstein analyst Bruno Monteyne in a note Tuesday.
For the year, Beiersdorf’s consolidated EBIT margin was up 10 basis points to 13 percent.
The company’s Tesa Business Segment, producer of adhesives, posted organic growth of 13.6 percent to 1.5 billion euros.
Sales at the Consumer Business Segment were organically up 8.8 percent to 6.13 billion euros, driven by the selective cosmetics segment. Beiersdorf said demand for La Prairie climbed 20.1 percent, due to the recovery of travel retail. The Derma business, including the Eucerin and Aquaphor brands, continued performing strongly, up 19.5 percent, especially in the U.S., Germany, Latin America and China.
Nivea, considered Beiersdorf’s core brand, recorded 5.5 organic sales growth in 2021.
Jefferies analyst Molly Wylenzek wrote in a note that Nivea was sequentially weaker in the fourth quarter and below expectations. “The turnaround of Nivea is becoming an increasingly urgent priority,” she wrote.
For 2022, Beiersdorf expects its sales overall, and for the Consumer and Tesa Business Segments, to gain in the mid-single-digit range. The group’s consolidated EBIT margin should be about on a par with 2021’s.
“The group expects the improvement in the skin-care market to continue in 2022,” Beiersdorf said in a statement.