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Sales gain in a realignment year.
January 11, 2011
By: TOM BRANNA
Editor
The Beiersdorf Group’s sales and earnings for fiscal year 2010 were within the target range announced on December 10, 2010. The Group’s preliminary results for 2010 show nominal sales growth of 7.7% to €6,192 million (previous year: €5,748 million). On a like-for-like basis, sales were up 3.1% on last year. Sales by the consumer business segment (organic) increased by 1.6% to €5,320 million (previous year: €5,011 million). However, performance in the global consumer markets varied substantially. Business in the United Kingdom and Russia did very well, whereas in the other European countries it was mixed. The consumer business segment recorded particularly strong growth in North and Latin America. Sales in the Africa/Asia/Australia region were up slightly on the previous year. Preliminary Consumer EBIT, adjusted for special factors, was approximately €600 million (previous year: €558 million), corresponding to an adjusted EBIT margin of 11.3% (previous year: 11.1%). The tesa business segment recorded sales of €872 million (previous year: €737 million). This represents an increase in like-for-like sales of 13.2% compared with the previous year. The adhesive tape business recovered tangibly, with sales even up slightly on the pre-crisis year 2008. Preliminary EBIT in the tesa business segment rose to approximately €97 million (previous year: €29 million). As a result, the EBIT margin was 11.1% (previous year: 3.9%). “Beiersdorf’s business segments performed very differently in fiscal year 2010. While tesa returned to its former strength after the economic crisis and generated outstanding sales, the consumer business segment only recorded a 1.6% increase in sales. Despite clear successes in individual regions, we are not satisfied with the overall performance by the consumer business segment in 2010. As a result, we resolved significant investments and restructuring measures for this segment in December. Although the effects of these measures will impact our results in the transitional phase, they will systematically restore our previous momentum,” said Thomas-B. Quaas, Chairman of the Executive Board of Beiersdorf AG. All figures for 2010 are preliminary and have not been audited.
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