Beiersdorf Half Year 2009: Nivea's growth slowed down

Beiersdorf, the German giant of personal care products, released its first half of 2019 earnings report. Sales growth of Nivea, its flagship skin care brand, slowed down, but Beiersdorf still maintained its annual performance target. The key financial data of Beiersdorf in the first half of 2009 as of June 30 are as follows:

Total sales of Beiersdorf are 3.837 billion euros. Excluding the influence of exchange rate and acquisition, the sales of consumer goods sector increased by 4.8% to 3.150 billion euros, mainly by the Americas. TESA sales of adhesives subsidiary of Beiersdorf increased by 2.4% year-on-year, mainly due to the downturn in automotive business in the United States market excluding 11 million euros of special items, and EBIT (pre-interest and tax profit) was 592 million euros, up from the same period last year. 1% long (special items related to the $550 million purchase of Coppertone in May); pre-interest and tax profit margin of 15.4%.

European market sales of 1.96 billion euros, an increase of 2.3%. American market sales of 644 million euros over the same period of last year, compared with the same period of last year Compared with the same period last year, the annual sales of Nivea, a popular skin care brand under Beiersdorf, increased by 3.2% in the first half and slowed down by 4.9% in the first quarter. But sales of La Prairie, a luxury skincare brand, grew by nearly 27% year-on-year.

Mass brands like Nivea have been impacted by the rise of a series of new "subversive brands". Because consumers prefer natural ingredients and high-end products, this has prompted Beiersdorf plus La Prairie and Eucerin and other higher positioning brands.