By  on August 9, 2006

BERLIN — Germany's three beauty leaders, Beiersdorf, Henkel and Douglas, have reported relatively strong quarterly results.

While operating results for Beiersdorf's consumer division declined a nominal 10.8 percent to 83 million euros, or $103.4 million at average exchange, in the quarter ended June 30, when expenses related to the realignment of the consumer supply chain are eliminated, the division's second-quarter earnings before interest and taxes rose 12.2 percent, Beiersdorf pointed out.

Second-quarter sales for the consumer division, which includes the skin care brands Nivea, Eucerin, La Prairie, Juvena, Marlies Möller, La­bello, Florena and others, as well as bandages under the Hansaplast, Curad, Curitas and Elastoplast names, rose a nominal 6.8 percent to 1.14 billion euros, or $1.42 billion, a gain of 5.8 percent when adjusted for currency effects.

Group sales, including the Tesa division, rose 7.2 percent to 1.26 billion euros, or $1.57 billion in the quarter, with EBIT down 6.7 percent. Excluding supply chain realignment expenses, group operative earnings were up 13.8 percent for the quarter. Beiersdorf did not state specific year-end sales goals, other than to say that the consumer division is expecting sales, excluding currency effects, to exceed last year's levels, with a further increase on return on sales.

Düsseldorf-based Henkel Group reported a 12.3 percent gain in EBIT to 95 million euros, or $118.4 million, for its cosmetics and toiletries unit in the second quarter. Divisional sales rose 9 percent to 746 million euros, or $929.4 million, with organic growth placed at 3 percent. Geographically, Henkel said Eastern Europe, North America and Latin America performed particularly well.

The group, which includes laundry and home care, cosmetics and toiletries, consumer and craftsman adhesives and Henkel technologies business sectors, boosted EBIT 21.2 percent to 359 million euros, or $447.3 million, on sales of 3.23 billion euros, or $4.02 billion, an increase of 7.23 percent. Organic growth, when adjusted for foreign exchange and acquisitions and divestments, was set at 6.1 percent.

Ulrich Lehner, chairman of Hen­kel's management board, said he was "very confident we will achieve the targets we have set for ourselves for the full fiscal 2006." These call for organic sales growth of 3 to 4 percent, a rise in EBIT of about 10 percent — after adjusting for foreign exchange — and a 10 percent gain in earnings per preferred share.

To Read the Full Article

Tap into our Global Network

Of Industry Leaders and Designers

load comments
blog comments powered by Disqus