Reckitt Benckiser (LSE:RB.)
Historical Stock Chart
6 Months : From Jun 2019 to Dec 2019
By Anthony Shevlin
Shares in Reckitt Benckiser Group PLC (RB.LN) slid in early trading after the FTSE 100 company lowered its full-year net revenue guidance despite saying the second half of the year should be stronger.
The consumer-goods company revised downward its 2019 net revenue guidance growth to between 2% and 3% on a like-for-like basis. The company previously expected growth of between 3% and 4%.
The company behind brands such as Cillit Bang cleaning products and Nurofen painkillers said pretax profit for the six months ended June 30 was 1.26 billion pounds ($1.55 billion), compared with GBP1.11 billion a year prior.
At GMT 0715, shares in Reckitt Benckiser traded 5.2% lower at 6330 pence.
The company acknowledged it made a slow start to the year but said growth levels should return to normal in the second half.
"Our like-for-like performance in 1H was [plus] 1%, somewhat below our expectations," said Rakesh Kapoor, the company's outgoing chief executive.
Analysts at Citi said the company's second-quarter results were disappointing and showed the need for Reckitt to regain strategic flexibility.
"This set of results is making a strategic rethink, and portfolio changes in line with [the] RB 2.0 [strategy], even more pressing," Citi said.
Write to Anthony Shevlin at email@example.com; @anthony_shevlin
(END) Dow Jones Newswires
July 30, 2019 03:52 ET (07:52 GMT)
Copyright (c) 2019 Dow Jones & Company, Inc.