Beiersdorf Aktiengesellschaft (ETR:BEI) reported a third-quarter organic sales decline as continued pressure at NIVEA and weakness in its tesa electronics business outweighed growth in dermatological skincare and luxury brands.
Group net sales totaled €2.362 billion in the third quarter of 2026, representing an organic decline of 1.3%. Nominal sales rose 0.4% on favorable foreign-exchange effects. For the first nine months, group sales were €7.314 billion, down 2.8% organically and 3.0% nominally.
Chief Executive Officer Vincent Warnery said performance improved from the first half across the consumer business, though NIVEA continued to face challenges. Consumer sales declined 0.7% organically in the quarter to €1.94 billion, while tesa sales fell 4.3% organically to €422 million.
Derma and Luxury Brands Drive Growth
Beiersdorf’s Derma business, led by Eucerin and Aquaphor, posted organic sales growth of 10.6% in the third quarter and 8.7% for the first nine months. The company cited broad-based growth across regions and categories, supported by product launches and expansion into new segments.
Aquaphor’s expansion into U.S. body lotions and creams was a notable contributor. Warnery said the launch, which began in July, reached the No. 3 position in the U.S. therapeutic skincare market within six weeks and became the No. 1 Derma body-care brand in the drugstore channel. Aquaphor grew 13% organically during the quarter.
Eucerin also introduced DermoPure Clinical ProBiom8 for acne-prone skin. The product uses the company’s patented TopiC.A ingredient and was launched in September in initial markets including Europe, Mexico and Thailand.
La Prairie accelerated to 8.5% organic growth in the third quarter after retail disruptions earlier in the year. China was the brand’s principal growth contributor, with net sales there rising 28%, driven by e-commerce, brick-and-mortar sales and the White Caviar line. Warnery said White Caviar became the top luxury brightening collection in China after the addition of the Thiamidol ingredient.
The company also launched Swiss Pristine, a new La Prairie entry line priced from €180 to €300. According to Warnery, the line is attracting consumers who are on average four to 10 years younger than existing La Prairie customers, with 80% new to the brand. It has also enabled distribution through channels including Amazon in the U.S. and Sephora and Bluemercury in Canada.
NIVEA Turnaround Remains in Focus
NIVEA organic sales declined 4.9% in the quarter, or 3.2% excluding Russia. Beiersdorf said retailer disputes, inventory reductions and sales phasing weighed on sell-in. A commercial dispute involving a Russian subsidiary and a local business partner also affected the quarter, though Warnery said the matter has been settled and normal operations have resumed.
Management said NIVEA sell-out continued to grow globally, though it remained below market growth. In Western Europe, sell-out was slightly positive and had increased roughly 1% through August, according to Warnery. Sun-care sell-out grew 6%, while deodorant sales returned to growth; face care remained an area of weakness.
The company is pursuing a 2026-2027 turnaround plan centered on expanding the NIVEA and Fa portfolios, accelerating innovation, reinforcing value-for-money positioning, increasing local-market relevance and directing more spending toward consumer-facing activities.
Initiatives include the European rollout of FACE+, a face-care range priced between €5 and €6 that uses ingredients including vitamin C, niacinamide, panthenol and hyaluronic acid. Warnery said early results showed strong recruitment of new consumers. In India, NIVEA is expanding its Soft range into gel moisturizers tailored to local preferences for lightweight hydration.
Warnery said Beiersdorf intends to finish 2026 with NIVEA sell-in aligned with sell-out and with healthier inventory levels. The company expects the fourth quarter to remain slightly negative because of inventory normalization, residual retailer disputes and a difficult comparison with the prior-year launch period.
tesa Faces Semiconductor Pressure
tesa’s sales decline reflected weaker demand from consumer-electronics customers amid ongoing chip shortages, particularly in Asia. Chief Financial Officer Astrid Hermann said electronics is one of tesa’s higher-margin businesses, meaning the decline also pressured profitability.
Excluding electronics, tesa posted low-single-digit growth in the third quarter and year to date. Electrical systems, automotive, print and packaging, and industrial trade and converting contributed positively. Automotive accelerated during the quarter, benefiting from electric-vehicle business wins.
Hermann said the company does not expect semiconductor shortages to ease meaningfully in the near term, but tesa faces an easier comparison in the fourth quarter because electronics sales were lower in the prior-year period.
Outlook Maintained
Beiersdorf maintained its full-year outlook. It expects consumer sales to decline organically by a low-single-digit percentage and anticipates a consumer EBIT margin before special factors of at least 11.0%.
For tesa, the company continues to expect flat to slightly positive organic sales growth, although semiconductor shortages remain a risk. Its EBIT margin before special factors is expected to be slightly below the prior-year level.
At the group level, Beiersdorf continues to forecast a low-single-digit organic sales decline and an EBIT margin before special factors of at least 11.8%.
Management also acknowledged margin pressure from investment behind the NIVEA reset, product mix and costs. Hermann said gross margin would face downward pressure in the second half and into next year, though stronger growth from Derma and La Prairie could provide a favorable mix benefit. Beiersdorf plans limited pricing action, with Warnery emphasizing the importance of preserving NIVEA’s value-for-money position.
About Beiersdorf Aktiengesellschaft (ETR:BEI)
Beiersdorf Aktiengesellschaft, together with its subsidiaries, manufactures and distributes consumer goods in Europe, the Americas, Africa, Asia, and Australia. It operates in two segments, Consumer Business and Tesa Business. The Consumer Business Segment offers skin and body care products. The Tesa Business segment provides adhesive tapes and self-adhesive solutions for industries, craft businesses, and consumers. This segment offers its system solutions to the automotive, electronics, printing and paper, and building and construction industries.
