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Beiersdorf 2013 Profits Rise 11.9%

The German maker of Nivea, Eucerin and La Prairie forecast above-market growth for 2014.

BERLIN — Beiersdorf AG said its net profits for 2013 rose 11.9 percent and forecast above-market growth for 2014.

 

Net income for the Hamburg-based maker of Nivea, Eucerin and La Prairie in the 12 months ended Dec. 31 was 537 million euros, or $713 million, excluding special factors including the reorganization of the firm’s consumer business in China, plus the realignment of corporate structures and processes.

 

Beiersdorf’s 2013 adjusted operating profit (EBIT) increased 10.7 percent to 814 million euros, or $1.08 billion. The adjusted EBIT margin was 13.2 percent, up from the previous year’s 12.2 percent.

 

Dollar figures are converted from the euro at average exchange for the period to which they refer.

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As reported, the firm’s group sales gained 1.7 percent to 6.14 billion euros, or $8.16 billion. On an organic basis, they rose 7.2 percent.

 

Adjusted operating profit for Beiersdorf’s consumer products division advanced 5.3 percent to 638 million euros, or $847.2 million, with the Nivea, Eucerin and La Prairie brands all contributing to the increase. Sales for the division were 5.1 billion euros, or $6.78 billion, a 1.1 percent uptick in reported terms and 7 percent on an organic basis.

 

The company’s adhesive arm Tesa registered a 36.4 percent gain in adjusted operating profits to 176 million euros, or $233.7 million.  Its sales were up 4.7 percent to 1.04 billion euros, or $1.38 billion. In organic terms, they advanced 8.5 percent.

 

Beiersdorf chief executive officer Stefan F. Heidenreich in a statement called 2013 “an important and successful year” for the company.

 

“The group has made gains in market share, increased sales and improved its earnings,” he said. “Beiersdorf is back on a sustainable growth track.”

 

For 2014 the firm expects an adjusted EBIT margin slightly above 2013’s rate and group sales growth to be between 4 percent and 6 percent.