Beiersdorf, the parent company of popular skincare brand Nivea, has witnessed a significant surge in demand for its products, propelling its organic sales to double-digit growth in the first half of the year. The company announced a second upward revision of its annual forecast for organic sales, showcasing the remarkable performance of its core brand and the soaring popularity of sun protection products.
The company now expects its organic sales for both the group and its consumer unit to grow by a high single-digit to low double-digit percentage range. This revised forecast comes after a series of robust sales figures driven by the impressive performance of the Nivea and the Derma brands.
In the first six months of the year, Beiersdorf’s sales surged by an impressive 12.3 percent, amounting to €4.9 billion ($5.35 billion). The adjusted operating profit (adjusted EBIT) witnessed a substantial increase as well, reaching €852 million, up from €710 million in the previous year.
Astonishing Demand for Sun Protection
Vincent Warnery, the CEO of Beiersdorf, expressed delight over the strong growth, particularly highlighting the exceptional performance of Nivea and the Derma brands across all regions and categories. The demand for these products has more than compensated for the comparatively weaker performance of the company’s luxury business segment.
Nivea, in particular, experienced a remarkable surge in sales, recording an impressive 17.9 percent growth compared to the same period last year. Meanwhile, the Derma brands, which include Eucerin and Aquaphor, witnessed an astonishing 26.1 percent jump in sales, driven by an exceptionally high demand for sun protection products, especially in North and Latin America.
Despite the overall success, the company reported a decline in sales for its luxury brand, La Prairie, which saw a 9.9 percent dip in the first six months of the year. The decline was mainly attributed to disruptions in Asian travel retail markets, primarily caused by the “daigou” business model, where Chinese consumers purchase goods overseas on behalf of domestic buyers.
