Get the app today! Download iPhone App Download Android App

Reckitt Q3 Sales Top Estimates On Coronavirus Demand For Cleaning Products

Published on Oct 20 2020 9:59 AM in A-Brands tagged: Trending Posts / Reckitt Benckiser / Third Quarter Report / Coronavirus

Reckitt Q3 Sales Top Estimates On Coronavirus Demand For Cleaning Products

Reckitt Benckiser has reported a much bigger-than-expected rise in third-quarter sales and raised its full-year outlook, as the coronavirus pandemic lifts demand for its cleaning products.

The British maker of Dettol and Lysol said its plan to rejuvenate sales following years of difficulties may be achieved a year earlier than expected.

"While there is still more work to do, I'm pleased to say that RB today is in much better shape than it was a year ago," chief executive Laxman Narasimhan, who has been in the role for a year, told reporters.

The company said sales on a like-for-like basis, excluding items such as foreign exchange fluctuations, rose 13.3%. Analysts on average expected a 9.5% increase, according to a consensus provided by the company.

Quarterly net revenue was £3.51 billion (£3.88 billion), up from £3.21 billion a year earlier.

The company raised its full-year net revenue outlook, saying it expects a low double-digit rise, up from a previous forecast of high single-digit growth.

Quarterly Performance

Like-for-like sales rose 19.5% in the company's hygiene business in the third quarter, 12.6% in its health business, which includes Durex condoms and Mucinex cold medicine, and 4.1% in its nutrition business, which includes Enfamil baby formula.

The COVID-19 pandemic has relieved pressure on a business that has struggled against intense competition in the health and hygiene sectors for several years.

Reckitt is preparing to sell some of its personal care brands, including Veet hair removal cream and Clearasil acne cream, Reuters reported last month.

News by Reuters, edited by ESM. Click subscribe to sign up to ESM: European Supermarket Magazine.

Share on Facebook Share on Twitter Share on LinkedIn Share via Email