11th Feb 2015 07:27
LONDON (Alliance News) - Dettol and Nurofen maker Reckitt Benckiser Group PLC Wednesday reported higher profit for 2014, despite a fall in revenue, helped by price increases and its cost optimisation initiatives, as well as like-for-like revenue growth in the fourth quarter.
The British consumer goods giant reported an adjusted operating profit of GBP2.19 billion for 2014, excluding its RB Pharmaceuticals business, compared with GBP2.14 billion last year, up 11% at constant currency rates and 2% growth at actual rates.
Its pretax profit for the year came in at GBP2.13 billion, up from GBP1.86 billion in 2013.
Net revenue, excluding RB Pharmaceuticals, came in at GBP8.84 billion, compared with a restated revenue figure of GBP9.27 billion in 2013. The decline marked a 5% fall at actual rates, hit by the strength of sterling, however Reckitt said growth would have been 4% if currency rates had stayed unchanged.
It said net revenue, excluding RBP, was GBP2.30 billion in the fourth quarter, with like-for-like growth of 5%.
"In 2014, challenging market conditions persisted, we had a strong year, particularly in [Europe and North America] and [Russia, Middle East and Africa] where our operational changes and improved go-to-market initiatives have delivered significant improvement. We further sharpened our portfolio focus with the acquisition of K-Y, the demerger of Indivior and the disposal of Footwear," said Chief Executive Rakesh Kapoor in a statement.
Reckitt recommended a final dividend of 79 pence per share, giving a total dividend for 2014 of 129 pence, up 1% on 2013.
The group spun off its pharmaceuticals business at the end of last year as Indivior PLC. The new FTSE 250-listed company on Wednesday reported operating profit of USD562 million for 2014, down from a USD695 million profit the year before, as net revenue fell by 8% to USD1.11 billion, from USD1.22 billion in 2013.
By Rowena Harris-Doughty; [email protected]; @rharrisdoughty
Copyright 2015 Alliance News Limited. All Rights Reserved.
Related Shares:
RB..LIndivior