BRIC Sales Help Cosmetic Firm Beiersdorf Post Strong Results

Aug. 5, 2008
Net profit leaps 57%.

German cosmetics group Beiersdorf, maker of Nivea creams, benefitted from strong global demand in the second quarter and has coped with the rising cost of raw materials for now, it said on Tuesday.

Group sales rose by 7% from April to June, reaching 1.57 billion euros (US$2.44 billion), a statement said.

Growth was especially strong in China, where the German group recently bought the C-Bons Hair Care firm, as well as in Brazil, India and Russia.

Net profit jumped by 57% to 148 million euros as the Hamburg-based company began to reap the fruit of a restructuring program that focused on its supply chain. The result of that work contributed 13 million euros to overall results, compared with a charge of 48 million in the second quarter of 2007.

Starting next year, the restructuring should no longer involve costs but provide savings estimated at 100 million euros per year, Beiersdorf said.

For now, it has managed to cope with rising prices for raw materials, but warned that it "will adapt its sales prices in line with this trend next year."

Copyright Agence France-Presse 2008

Popular Sponsored Recommendations

Discrete and Process Manufacturing 2024 Trends and Outlook for North America

Oct. 29, 2023
Manufacturers are reaping the benefits of automation and cloud-based solutions. Discover what is driving today's industry trends and how they can shape your growth priorities ...

Why DataOps may be the key to unlocking the full potential of digital transformation

Nov. 3, 2023
Read the 2023 market survey conducted by IndustryWeek

The Ultimate Ecommerce Excellence Checklist

Oct. 2, 2023
Scaling ecommerce operations is no easy task when your business is moving fast. Assess your current ecommerce maturity level and set optimization priorities with this practical...

How Digital Twin Technology is Empowering Manufacturers

Sept. 27, 2023
This FAQ delves into why this technology offers business value and considerations toward implementation.

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!