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PZ Cussons on course for sales lift despite ‘challenging’ trading
27 June 2022, 09:04
The company said it expects to report group revenue for the year of around £590 million.
Consumer goods firm PZ Cussons has said it is on track for full-year like-for-like sales to lift 3%, but cautioned that trading conditions remain “challenging”.
The company said trading in the fourth quarter has continued to be “in line with expectations”, with like-for-like sales up 7% in the three months to May 31, putting it on course to report group revenue for the year of around £590 million.
It saw a particular boost in revenue from its “must-win brands”, which include products such as Sanctuary Spa and Original Source and grew 4% in the fourth quarter to May 31.
Chief executive Jonathan Myers said: “The trading environment continues to be challenging, with high input-cost inflation and pressures on household budgets.”
Mr Myers warned in April that the group was facing the “most challenging” environment many have seen as cost pressures escalated.
Mr Myers added in Monday’s update: “We have plans in place to mitigate the impact of this, as we continue to deliver great value for consumers, whilst also investing behind more premium innovations.
“The recent introduction of our new portfolio brand, Cussons Creations, for the value-conscious consumer, alongside the relaunches of Sanctuary Spa and Imperial Leather, are good examples of such initiatives.
“They have been well received by customers and have allowed us to secure significant distribution gains.”
In 2021, the company recorded revenue of £603.3 million, which marked growth of 2.7% from the £587.2 million in the previous year.
The company said in its latest update that skin care brand Childs Farm, which it acquired in March, has performed in line with expectations and it plans to develop the brand.