BERLIN — Beiersdorf AG forecast growth for 2012 in line with the market and confirmed its 2011 financial results in an annual report published today.
“We are making good progress on the realignment of our corporate structures and processes as part of our drive to increase the regionalization of our consumer business. We are optimistic that we will grow in line with the market again in 2012,” stated Beiersdorf chief executive officer Thomas-B. Quaas, who also noted the company’s Tesa adhesive business would grow at levels slightly above the market.
The 2011 annual report is the last to be released under Quaas’ leadership. As reported, he will hand over the ceo reigns to Stefan F. Heidenreich after the annual general meeting in April of the Hamburg, Germany-based maker of Nivea, Eucerin and La Prairie. As reported, the company registered 2011 after-tax profits of 259 million euros, or $361.1 million, down 20.6 percent on-year. Beiersdorf last year cut its European product offering by almost 20 percent, reorganized its business in China and began realigning its consumer segment, including job cuts in the division. Excluding such special factors, profits fell 7.6 percent to 646 million euros, or $900.7 million.
Group sales at the company rose 1.1 percent to 5.63 billion euros, or $7.85 billion. Meanwhile, its organic revenues gained 2.1 percent.
Dollar figures are calculated at average exchange for 2011.
Beiersdorf’s consumer segment posted sales of 4.7 billion euros, or $6.55 billion, down 0.04 percent. Adjusted for currency translation effects, revenues were up 0.6 percent, while organic sales grew 1.1 percent.
In the year, Nivea registered an organic sales increase of 2.1 percent worldwide, driven by new products and the brand’s anniversary celebrations. Eucerin revenues rose 4.8 percent, and La Prairie posted a 3.4 percent sales gain.
Overall in the consumer segment, strong performances were seen in Latin America, where revenues grew 15.2 percent to 577 million euros, or $804.5 million, as well as in the U.K. and Russia.
Beiersdorf’s home market continued to be important for Nivea, although the brand’s exit from the makeup business in 2011 dealt a visible blow in Germany, where organic sales were down 3.2 percent to 717 million euros, or $999.7 million. Last year’s reorganization of the company’s China activities also affected the results for the region including Africa, Asia and Australia, where organic revenues rose 1.8 percent to 1.03 billion euros, or $1.44 billion.
Tesa performed well last year, with sales growing 7.3 percent to 937 million euros, or $1.3 billion.