Reckitt Benckiser hails product innovation after “strong” third quarter

Reckitt Benckiser says that product innovation helped push revenue up 7% in the third quarter as it looks forward to further gains from newly acquired Durex maker SSL.


The company, which owns the Nurofen and Vanish brands, says that net revenue was £2.1bn in the three months to 30 September.

Sales gains helped lift net profit by 14% to £426m in the period.

The company, which also owns cleaning brands Cillit Bang and Finish, has looked to increase profit through product development, via several “powerbrand” innovations such as the Lysol/Dettol “No Touch Hand Soap System,” and extensive marketing support.

Total marketing investment was higher in the third quarter, the company says, while pure media spend increased by 4.8%, equating to 9.8% of net revenue.

The £2.54bn deal to buy SSL, which also owns the Scholl brand, completed yesterday (1 November) after the disposal of two minor brands to satisfy European Union regulators.

SSL brands will sit within its health and personal care business, which also includes the Strepsils and Clearasil brands.

Net revenue from the business for the year to date increased 7% to £1.6bn.

The company says it is now targeting net revenue growth of 6% and net profit growth of 16% for the full-year, excluding SSL.

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