BDRFY - Beiersdorf Aktiengesellschaft (BDRFF) Q4 2024 Earnings Call Transcript

2025-02-28 18:10:15 ET

Beiersdorf Aktiengesellschaft (BDRFF)

Q4 2024 Earnings Conference Call

February 27, 2025 03:00 AM ET

Company Participants

Christopher Sheldon - Head of Investor Relations
Vincent Warnery - Chief Executive Officer
Astrid Hermann - Chief Financial Officer

Conference Call Participants

Jeremy Fialko - HSBC

Guillaume Delmas - UBS

Iain Simpson - Barclays

Molly Wylenzek - Jefferies

Paulina Wurminghausen - Suddeutschen Zeitung

Tom Sykes - Deutsche Bank

Matthias Inverardi - Reuters

Victoria Petrova - Bank of America

Ulrike Dauer - Dow Jones

Karel Zoete - Kepler

Mikheil Omanadze - Exane BNP Paribas

Presentation

Christopher Sheldon

Good morning, and welcome to Beiersdorf's 2024 Full Year Results Presentation. It's great to have you with us today. I'm here with our CFO, Astrid Hermann; and our CEO, Vincent Warnery, who will walk you through our full year and fourth quarter results shortly. [Operator Instructions]

And with that, I'd like to hand it over to Vincent.

Vincent Warnery

Thank you, Christopher, and good morning to all of you. Thank you for joining our 2024 full year results conference. Astrid and I have now the pleasure to walk you through our financial results and share an update on the significant progress we have made in implementing our Win With Care strategy. Moreover, we'll provide an outlook on our plans for 2025 and beyond. After that, the floor will be open for your questions.

Let's start by looking back on 2024. 2024 was yet another challenging year, marked by ongoing geopolitical instability and macroeconomic volatility. Despite these significant headwinds, Beiersdorf proved this strength, resilience and innovative power, delivering yet another outstanding year and confirming our position as a leader in our industry.

Let's kick off with the highlights. We fully delivered on our promise and achieved sustained growth of sales and profit. Net sales reached an all-time high of EUR 9.9 billion, and our EBIT margin, excluding special factors, increased by 50 basis points to 13.9%. This development is extraordinary, especially when comparing it to the high base in 2023.

For the second consecutive year, our remarkable performance continues to put us ahead of the competition. We also delivered an on Win With Care strategy announced at the Capital Market Day in June 2024. With groundbreaking innovations and the pursuit of wide spaces, we are ideally positioned for continued success for the years to come. We are pressing ahead with our commitment to care beyond skin. We lead in climate care and champion diversity and inclusion within Beiersdorf and society.

Our employees are the driver for success. I sincerely thank our teams for their dedication, which has driven Beiersdorf to yet another record year. Their passion, creativity and energy have been truly outstanding, forming the backbone of our success.

Together, we have built an impressive track record. Since 2021, we consistently increase net sales and EBIT year-on-year. Over the past years, our net sales grew by 8.9% per year on average. Our EBIT increased even stronger at a double-digit compound annual rate, reaching a record level of close to EUR 1.4 billion in 2024. This is a testament to our strengths and reliability to deliver profitable growth to all our stakeholders.

And with that, we were again able to outperform the market. Our organic sales growth was more than 200 basis points ahead of key peers in the market. How did we do this? By delivering transformative innovation across our portfolio, by strengthening our iconic brands and conquering wide spaces with our exceptional team....

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