Reckitt Benckiser (LON:RB) has updated investors on its first-quarter performance this morning.
Highlights from the company statement:
Highlights: Q1 (at constant rates)
· Q1 in line with expectations.
· Continued strong performance in Health led by Mucinex and Durex. Growth was offset by headwind in Scholl / Amopé, which also impacted ENA performance.
· Home and Portfolio categories, and DvM, negatively impacted by Korea HS issue.
· Growth rates set to improve through the year, and we are on track for our full year net revenue target of +3% LFL*.
· Mead Johnson acquisition remains on track for completion by the end of Q3. Strategic review of the Food business commenced.
Commenting on these results, Rakesh Kapoor, Chief Executive Officer, said:
"Our Q1 results are in line with expectations as macro conditions remain challenging. Against this backdrop our underlying business remains strong. We delivered continued outperformance in consumer health and good growth in DvM, offset by previously flagged headwinds, which will persist during the first half. I expect our growth trajectory to improve as we progress through the year and we remain on track to achieve our full year net revenue target of +3% LFL growth*.
The acquisition of Mead Johnson, to create a global leader in consumer health, is progressing well and we expect completion by the end of Q3. We have commenced a strategic review of our Food business as we continue our focus on portfolio optimisation. We remain very confident that the strategic direction we are pursuing will continue to drive shareholder value."