(Reuters) - British consumer healthcare company Haleon reported annual profit and revenue in line with analysts consensus on Thursday, helped by sustained demand for its multi-vitamin and oral health
Sensodyne maker Haleon says 2025 revenue growth skewed to second half
By Pushkala Aripaka and Raechel Thankam Job
(Reuters) - British consumer healthcare group Haleon on Thursday said 2025 revenue and profit growth would be weighted to the second half of the year, overshadowing a strong end to 2024 and sending its shares down by more than 3%.
The company, which makes Sensodyne toothpaste, ENO antacids and Centrum multivitamins, projected organic revenue would grow between 4% and 6% for the year, compared with a company-compiled consensus of 5.3%.
"We are well positioned to drive organic revenue growth within our medium-term guidance range, with strong organic profit growth in 2025," CEO Brian McNamara said.
Slowing demand for cold and cough medicines after the pandemic has weighed on consumer healthcare companies, and Haleon is working on clearing stocks of those products which typically sell more in the colder months.
Its shares were down 2.9% at 384 pence by 1155 GMT. The stock had gained around 20% since its spin-off from GSK in 2022.
"The stock has moved quite a way since it floated, so the reaction is understandable, but longer term this remains a good quality business with good brands," Quilter Cheviot's Chris Beckett said.
A rising consumer focus on wellness is boosting sales at Haleon's multivitamins and oral hygiene products divisions, where revenues rose by 7.6% and 9.6%, respectively, on an organic basis.
Still, companies globally are scrambling to adapt to growing trade tensions after the U.S. administration imposed a raft of tariffs on imports from China, Mexico and Canada, and soon possibly from the European Union.
Any potential impact on Haleon is expected to be "relatively low", and the company is monitoring the situation and working on potential mitigations, CEO McNamara told Reuters.
"We still believe we can deliver on (2025) guidance, even if there is an impact from tariffs."
He added that most of Haleon's U.S. supplies were produced domestically, and that the company had "very little to no" exposure to China and Mexico, but had a plant in Montreal and some raw materials were sourced from outside the U.S.
North America accounted for about 36% of Haleon's 2024 revenue, which along with adjusted operating profit, was in line with expectations.
(Reporting by Pushkala Aripaka and Raechel Thankam Job in Bengaluru; Editing by Rashmi Aich and Louise Heavens)
