Nivea-maker Beiersdorf has reported a significant decline in sales for the first half of the year, as the ongoing coronavirus pandemic continues to impact both its consumer business and adhesives unit. The company saw a 10.7% decrease in sales, falling short of the average analyst forecast. This decline worsened in the last three months, resulting in first-half sales of 3.513 billion euros.

Beiersdorf stated that it is still unable to provide a forecast for the full year due to the uncertain impact of the pandemic. In the first quarter alone, sales had already fallen by 3.6%. The consumer business experienced a 10.9% decline in the first half, while the Tesa adhesives business, which supplies the automotive and electronics industries, saw a drop of 10%.

One of the main contributing factors to this decline is the decrease in international travel, which negatively affected Beiersdorf’s premium skincare brand, La Prairie, and sun care products. However, the company did see increased sales of hand wash, hand creams, and plasters amidst the pandemic.

These figures highlight the challenges Beiersdorf faces as consumer priorities shift and demand for non-essential items, such as skincare products, decreases. Additionally, the automotive and electronics industries, which Beiersdorf supplies with adhesives, have also been heavily impacted by the pandemic, resulting in a further decrease in demand.

The future remains uncertain for Beiersdorf as it continues to navigate through these unprecedented times. The company is unable to provide an accurate forecast for the remainder of the year due to the unpredictable nature of the pandemic and its effects on consumer behavior. However, Beiersdorf remains committed to overcoming these challenges and adjusting its strategies to ensure the long-term success of its brands, including Nivea and La Prairie, as well as its adhesives business.

To adapt to the evolving situation, Beiersdorf will closely monitor market trends and consumer preferences to identify new growth opportunities. The company will also prioritize the health and safety of its employees and customers, implementing necessary measures to mitigate the spread of the virus. By remaining agile and resilient, Beiersdorf aims to emerge stronger from this crisis and restore its sales performance in the coming months and years.

Useful links:
1. Beiersdorf Official Website
2. Beiersdorf on Reuters