- Reckitt Benckiser says revenue was 6.9% higher in the fiscal third quarter.
- The consumer goods company's sales jump 19% in North America.
- Reckitt Benckiser forecasts over 10% growth in its annual net revenue.
Reckitt Benckiser Group plc (LON: RB) posted higher revenue for the fiscal third quarter on Tuesday. The company attributed the increase to its disinfection business, and raised its net revenue guidance for the full year.
Shares of the company jumped 2.5% in premarket trading on Tuesday but lost 1% on market open. On a year to date basis, Reckitt Benckiser is now a little under 20% up in the stock market. Confused about choosing a reliable stockbroker to trade online? Here’s a list of the top few to make selection easier for you.
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Reckitt Benckiser’s sales jump 19% in North America
The owner of prominent brands like Durex, Harpic, and Dettol, said its revenue in the fiscal third quarter printed at £3.51 billion that represents a 6.9% growth on a year over year basis, and 13% on a comparable basis.
In late September, Reckitt Benckiser expressed plans of offloading a few of its personal care brands (non-core), including Clearasil acne cream and Veet hair removal.
The consumer goods company also said on Tuesday that its revenue on a year to date basis currently stands at £10.42 billion, versus £9.26 billion in the comparable period of last year. According to Reckitt Benckiser, it saw the sharpest growth in North America where sales posted an annualised growth of 19%, attributed primarily to its disinfection brands, including Lysol.
The Slough-based company cited the Coronavirus pandemic as it reported a significant sales growth of 13% versus the comparable period of last year. Reckitt Benckiser generated £1.49 billion of sales from this segment. COVID-19 crisis has so far infected more than 0.7 million people in the United Kingdom and caused over 43 thousand deaths.
Reckitt Benckiser’s revenue forecast for the full fiscal year
The British multinational now forecasts over 10% of growth in its annual net revenue, versus less than 10% that it had previously estimated. In its report published in late July, Reckitt Benckiser had noted £1.44 billion of pre-tax profit in the fiscal first half.
CEO Laxman Narasimhan commented on the financial update on Tuesday and said:
“I feel very good about our performance so far. The growth has been led by our hygiene business. We are seeing behaviour changes in our categories. We are seeing 80% of consumers adopting better hygiene practices. We are uniquely placed to help tackle the challenges the world is facing.”
At the time of writing, Reckitt Benckiser has a market capitalisation of £52 billion.