PARIS – Beiersdorf AG said Thursday that it expects organic growth to decelerate in 2025, due to a weaker demand for skin care.
The German maker of Nivea, La Prairie and Chantecaille products said it foresees organic sales to grow between 4 percent and 6 percent this year. In 2024, the company registered organic sales gains of 6.5 percent to 9.85 billion euros.
The company had given guidance last year that full-year sales growth would be in the range of 6 percent to 8 percent.
Beauty companies have noted a slowdown since the beginning of the second half of 2024, which has continue into the first quarter of 2025, weighed down by the ongoing weakness of the Chinese market, and inventory reductions in the U.S. and in travel retail.
Beiersdorf rivals such as Coty Inc. and L’Oréal recently registered quarterly sales that fell short of financial analysts’ expectations.
In 2024, Beiersdorf’s cashcow Nivea brand posted a like-for-like sales increase of 9 percent to 5.6 billion euros. The company’s Derma division, meanwhile, reported 10.6 percent growth to 1.37 billion euros.
La Prairie Skin Caviar Luxe Cream
Courtesy
La Prairie, the prestige skin care brand’s sales significantly slowed in 2024, declining 6.2 percent to 509 million euros.
“The difficult macroeconomic conditions in China weighted on the sales performance of the premium brand,” said Beiersdorf in a statement.
The contract of the group’s chief executive officer Vincent Warnery has been extended until the end of 2030.
“With the group guidance for 2025, we believe we will outperform the market again this year,” Warnery said in a statement released Thursday.
