Beiersdorf AG

Hard numbers reported: group net sales were EUR 4.952 billion in H1 2026, with organic sales down 3.5%; consumer net sales were EUR 4.113 billion, with organic sales down 4.0% and nominal sales down 5.0%; Tesa net sales were EUR 839 million, with organic sales down 0.9% and nominal sales down 2.1%. Consumer EBIT was EUR 632 million with a 15.4% margin; group EBIT excluding special factors was EUR 768 million with a 15.5% margin; EPS was EUR 2.52. Gross margin was 61.0% for consumer, down 100 bps from 62.0%, and 58.3% at group level, down 110 bps. For full year 2026, management now expects consumer organic sales to decline low single digits, consumer EBIT margin to be at least 11%, Tesa organic sales to be flat to slightly growing with EBIT margin slightly below prior year, and group organic sales to decline low single digits with EBIT margin at least 11.8%.

Vincent Warnery framed the quarter as a period of external volatility and internal repositioning, with geopolitical and consumer-demand pressure still hitting NIVEA hardest. He said the first phase of rebalancing produced some positive sell-out results, but not enough, so the company has started an 18-month turnaround focused on accessibility, local relevance, broader category investment and sharper consumer activation. His tone was candid and corrective: he said the company had learned from its mistakes, is not overconfident, and is willing to be “brutal” on marketing support to restore sustainable NIVEA growth.

Astrid Hermann focused on the earnings bridge and guidance reset. She said consumer gross margin fell to 61.0% from 62.0% due to higher raw material costs, lower volumes and FX, partly offset by pricing, while group gross margin fell to 58.3%; marketing and selling expenses rose to 34.8% of sales, R&D rose to 3.8% of sales, and G&A was reduced through cost discipline and phasing effects. She noted special factors were EUR 8 million versus EUR 20 million a year ago, profit after tax was broadly stable at EUR 558 million, and the share buyback program remains committed at EUR 750 million over roughly the 18-month/2-year period.

Analysts pressed management on whether NIVEA’s issues were just media allocation and innovation timing or a deeper relevance problem, and on how quickly sell-in and sell-out would converge. Vincent said the brand had become too weighted toward premium face care, acknowledged that competitiveness and pace of innovation need improvement, but argued the core issue is rebalancing toward affordability and local execution rather than a wholesale operating-model failure. On retailer disputes, management said around 30% of the sell-in/sell-out gap was due to conflicts, 50% to destocking and sun/phasing, and the rest to route-to-market changes; they said deals now cover 92% of European business and they expect sell-in and sell-out to be broadly aligned by year-end.