Reckitt Benckiser Group Plc reported a 4.5% increase in Q3 net revenues to £3.61 billion, with like-for-like (LFL) growth of 7% driven by robust performance in Core Reckitt (6.7% LFL) and Mead Johnson Nutrition (22% LFL), despite a 4.9% LFL decline in Essential Home. The company reaffirmed its full-year 2025 guidance for 3-4% Group LFL net revenue growth and over 4% for Core Reckitt, though it revised Essential Home's LFL net revenue outlook to a mid-single digit decline. Reckitt remains confident in delivering adjusted earnings per share growth, with its 'Fuel for Growth' program anticipated to drive adjusted operating profit ahead of net revenue growth.
Reckitt Benckiser reported a robust third quarter, with Group net revenue increasing 4.5% on an IFRS basis to £3.61 billion, and like-for-like (LFL) net revenue growing 7%. This strong performance was primarily driven by Core Reckitt, which saw 6.7% LFL growth, and an exceptional 22% LFL growth in Mead Johnson Nutrition, supported by a 4.2% volume growth and 2.8% price increase. Core Reckitt's LFL growth was notably propelled by an 11.8% increase in Emerging Markets and a return to LFL growth in North America (+1.3%) and Europe (+0.9%). Conversely, the Essential Home segment continued to underperform, experiencing a 4.9% LFL net revenue decline, indicating persistent challenges in this division. Looking ahead to fiscal 2025, the company reaffirmed its Group LFL net revenue growth guidance of 3-4% and Core Reckitt's LFL growth above 4%, while maintaining expectations for adjusted EPS growth. However, the outlook for Essential Home was revised downwards to a mid-single digit LFL net revenue decline, from a previously expected low single digit decline. The "Fuel for Growth" program is anticipated to drive adjusted operating profit ahead of net revenue growth.
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