Reckitt Benckiser reduced its full-year like-for-like net revenue growth guidance to 3.5-4.5 percent from 4-5 percent, citing manufacturing constraints for Lysol in North America and a decline in Chinese supplement sales. The company reported third-quarter revenue growth of 3.3 percent, missing analyst expectations of 4.1 percent. Manufacturing upgrades temporarily limited Lysol supply, causing North American sales to fall 1.3 percent despite a 1 percent analyst forecast.
Emerging markets saw 8 percent growth, though Chinese vitamin and supplement sales slowed after an Australian competitor faced investigation for false import claims. Reckitt's Move Free brand in China was specifically impacted. The hygiene business in Russia also suffered under sanctions, though Reckitt retained its health brands like Nurofen.
Without the Russia Hygiene divestment, group sales growth would have reached 3.9 percent. The company faces ongoing challenges in restoring consumer confidence in key international markets.
Source: Financial Times Companies · Summarized by HeadlinesBriefing