Health and hygiene group reaps rewards of innovation and agile supply chain

Health, hygiene and home produce company, Reckitt Benckiser Group, (Reckitt) says it has managed to shrug off a tough economic environment to deliver continued momentum in 2022.

Releasing its final results for the year, the Hull-based group reports net revenues of £14.4bn, (2021: £13.2bn) up 7.6% on a like-for-like basis and a pre-tax profit of £3bn (2021: £260,000 loss).

Adjusted operating profit was £3.4bn (2021: £2.8bn) and as of 31 December 2022, the group had total equity of £9.5bn (31 December 2021: £7.4bn).

Nicandro Durante, chief executive officer, said: “Reckitt delivered a year of strong growth in net revenue, earnings, and free cash flow conversion amidst a continued challenging environment.

“We are now 28% larger than we were in 2019. Our healthy balance sheet underpins our financial strength, and we are delighted to grow the dividend in 2022 with the aim to deliver sustainable dividend growth in future years.

“We enter 2023 as a strengthened business with enhanced financial, operational and brand resilience, and continued growth momentum.

“The benefits of our reinvigorated innovation pipeline and operational improvements are coming through – including a more agile supply chain and improved customer relationships.”

Reckitt says it will continue to experience macroeconomic and consumer pressures in the year ahead.

But the group adds it is confident its financial, operational and brand strength position it well for the future.

For 2023 the group says it is targeting like-for-like net revenue growth of mid-single digits. The target includes a return to growth in Reckitt’s disinfection portfolio from a circa +40% larger base versus pre-pandemic levels.