PZ Cussons Plc reported higher quarterly like-for-like revenue, buoyed by an improvement in the soap maker's margins due to price hikes earlier in the year, and its strong performance in the Europe and Americas markets.
Consumer-facing companies have been raising prices to fight margin pressures from elevated costs of everything from raw materials, transport and labour. This has also offset lower consumer spending so far.
"We remain confident in delivering against 2023 expectations and that further strategic progress will be made in the balance of full year and into 2024," CEO Jonathan Myers said in a statement.
The Manchester-based company said performance in Europe and the Americas was buoyed by strong demand for its self-tanning brand, St. Tropez US and the combined Imperial Leather and Cussons Creations portfolio.
St. Tropez is known to be popular among celebrities including reality television star Kim Kardashian and American model Ashley Graham.
However, the company's robust trading was partly offset in Africa, one of PZ Cusson's main markets, due to disruption in demand in Nigeria in February due to bank note changes and the elections.
The maker of Carex hand wash saw a 6.2% rise in like-for-like revenue for the quarter ended 4 March to £166 million (€188.7 million).
In February, the soap maker reported a fall in half-year operating margin due to high costs, although price increases pushed up profit. Its adjusted operating profit margin of 9.9% came in below a market consensus of 10.4%, according to Barclays analysts.
News by Reuters, edited by ESM – your source for the latest A-Brands news. Click subscribe to sign up to ESM: European Supermarket Magazine.