Beiersdorf AG

Earnings Release • May 9, 2018

Beiersdorf starts 2018 starts 2018withboost in sales boost in salesboost sales

• Group sales up 6.5 %
• Consumer increases sales by 6.1 %
• tesa achieves sales growth of 8.5 %
• Forecast for 2018 confirmed

Hamburg, May 8, 2018 – Beiersdorf has started the 2018 financial year with a boost in sales, increasing organic sales by 6.5 % in the first three months. In nominal terms, sales rose to €1.807 billion, up 0.4 % on the prior-year figure of €1.801 billion.

"Beiersdorf made impressive progress on its profitable growth path in the first quarter of 2018. Both business segments, Consumer and tesa, delivered very dynamic performance and sales growth well above the market. These significant growth rates once again demonstrate Beiersdorf's strong international position and high level of competitiveness. Our continued success results from strengthening our brands, accelerating our innovations, and systematically expanding our business activities in emerging markets. Despite the current political and economic uncertainty throughout some regions, we look optimistically to the coming months and therefore confirm our forecast for 2018," said Stefan F. Heidenreich, CEO of Beiersdorf AG.

Group sales performance

(IN € MILLION)
			Change (in %)
	Jan. 1 – Mar. 31, 2017	Jan. 1 – Mar. 31, 2018	nominal	organic
Europe	930	952	2.3	4.1
Americas	325	297	-8.6	4.0
Africa/Asia/Australia	546	558	2.5	12.2
Total	1,801	1,807	0.4	6.5

Organic Group sales grew by 6.5 % in the first three months of the year. At €1.807 billion, nominal Group sales were up 0.4 % year on year (previous year: €1.801 billion). Negative exchange rate effects reduced growth by 6.1 percentage points.

Consumer sales performance

(IN € MILLION)

			Change (in %)
		Jan. 1 – Mar. 31, 2017 Jan. 1 – Mar. 31, 2018	nominal	organic
Europe	748	765	2.2	4.3
Western Europe	597	614	2.8	4.2
Eastern Europe	151	151	0.0	4.5
Americas	278	247	-10.7	1.6
North America	117	110	-5.8	8.3
Latin America	161	137	-14.3	-3.4
Africa/Asia/Australia	458	466	1.8	11.9
Total	1,484	1,478	-0.3	6.1

The Consumer Business Segment recorded a 6.1 % organic increase in sales in the first three months of 2018, reduced by 6.4 percentage points due to negative exchange rate effects. At €1.478 billion, nominal sales were down 0.3 % on the previous year's figure of €1.484 billion.

Brands

NIVEA sales were up 1.9 %. The Derma business unit, which includes the Eucerin and Aquaphor brands, finished the first quarter with an increase in sales of 8.5 %. Sales of Healthcare, which includes the Hansaplast and Elastoplast brands, were 2.7 % lower than the prior-year level. On the back of an already healthy previous year, La Prairie achieved a substantial hike in growth of 55.5 %.

Europe

Organic sales in the Europe region grew by 4.3 %. At €765 million, nominal sales were up 2.2 % on the previous year's figure of €748 million. In Western Europe, there was a 4.2 % increase in sales. Germany recorded good growth, while sales in France remained below the prior year. In Eastern Europe, sales growth reached 4.5 %.

Americas

Organic sales in the Americas region were up 1.6 % on the prior-year figure. At €247 million, nominal sales were down 10.7 % on the previous year's figure of €278 million due to negative exchange rate effects.

North America experienced strong sales growth of 8.3 %. In Latin America, sales were down by 3.4 %. In Argentina and Brazil, sales slipped below the previous year's level.

Africa/Asia/Australia

The Africa/Asia/Australia region recorded a substantial rise in sales of 11.9 %. In nominal terms, sales rose by 1.8 % to €466 million against last year's figure of €458 million.

tesa sales performance

(IN € MILLION)

			Change (in %)
	Jan. 1 – Mar. 31, 2017	Jan. 1 – Mar. 31, 2018	nominal	organic
Europe	182	187	2.6	3.7
Americas	47	49	3.7	18.2
Africa/Asia/Australia	88	93	5.9	13.9
Total	317	329	3.6	8.5

In the first three months of the year, tesa again achieved significant sales growth against the already robust prior year's quarter with a strong increase in organic sales of 8.5 %. In nominal terms, sales rose by 3.6 % to €329 million against last year's figure of €317 million. Negative exchange rate effects reduced growth by 4.9 percentage points.

Group net assets and financial position

There were no significant changes in the Group's net assets and financial position in the first three months of the year compared with December 31, 2017.

Forecast for 2018

Beiersdorf anticipates sales growth of 4–5 % in 2018 for the Consumer Business Segment with a slight increase in the EBIT margin from operations against the previous year.

The tesa Business Segment is expected to generate sales growth of 3–4 % with an EBIT margin from operations slightly below the prior-year level.

Based on the forecasts of both business segments, Group sales growth is expected to be approximately 4 % with a consolidated EBIT margin from operations at the prior-year level.

About Beiersdorf AG

Beiersdorf AG is a leading provider of innovative, high-quality skin care products and has over 135 years of experience in this market segment. The Hamburg-based company has around 19,000 employees worldwide and is listed on the DAX, the German benchmark equities index. Beiersdorf generated sales of €7.1 billion in fiscal year 2017. The Beiersdorf product portfolio comprises strong, leading international skin and body care brands including NIVEA – the world's largest skin care brand* – Eucerin, Hansaplast, and La Prairie. Millions of people around the world choose Beiersdorf each day for its innovative, high-quality products. Other renowned brands such as Labello, Florena, 8x4, Hidrofugal, atrix, Aquaphor, SLEK, and Maestro round off our extensive portfolio. Beiersdorf's wholly owned affiliate tesa SE, another globally leading manufacturer in its field, supplies self-adhesive products and system solutions to industry, craft businesses, and consumers.

* Source: Euromonitor International Limited; NIVEA by umbrella brand name in the categories Body Care, Face Care and Hand Care; in retail value terms, 2016.

Contact:

Corporate Communications Investor Relations Inken Hollmann-Peters Dr. Jens Geissler Tel.: +49 40 4909-2001 Tel.: +49 40 4909-5000

Email: cc@beiersdorf.com Email: investor.relations@beiersdorf.com