Emerging markets boost Reckitt Benckiser

20th Apr 2011 12:22

A strong performance in emerging markets helped Reckitt Benckiser, the maker of household products such as the cleaning agent Cillit Bang, to a good start to 2011.Net revenues in the first quarter were up by 14% from the same period the previous year at £2.28bn. On a like-for-like basis, excluding the impact of the condom and footcare products maker SSL which was acquired last year, sales were up by 5%.Sales in developing markets, which account for 24% of revenues, were up by 23%, or 14% on a like-for-like basis. In Europe, which accounts for 45% of revenues, net revenue was 17% higher at £1.03bn, but on a like-for-like basis sales were flat. In North America and Australia (24% of revenues) sales were up by 5%, 2% on a like-for-like basis.The pharmaceutical division, which accounts for 7% of revenues, saw sales rise by 23% to £156m, after buying back the rights to sell Suboxone, used to treat heroin addiction."These results position us well to achieve our FY 2011 financial targets of +12% net revenue growth and +10% adjusted net income growth (both at constant exchange), and with that to deliver another year of above industry-average growth," said chief executive Bart Becht.RG