By Adriano Marchese

 

Beiersdorf AG on Tuesday reported a fall in profits in 2020 after a challenging year navigating the Covid-19 pandemic but said it would increase investment funding toward its strategy program.

The German company, which owns skincare brands including Eucerin, Nivea and Elastoplast, said adjusted profit after tax--the company's preferred metric which excludes special factors--was 636 million euros ($771.4 million), down from EUR788 million in 2019.

Adjusted earnings per share fell to EUR2.73 from EUR3.40.

Sales fell to EUR7.03 billion from EUR7.65 billion in 2019, with the company's consumer business segment booking lower sales of EUR5.7 billion from EUR6.27 billion.

The company said it will invest a further EUR300 million in its strategy program, which it said is geared toward sustainability, digitalization and growth markets over the next five years.

"The aim of this investment is to benefit from the strong market position, further increase the brands' appeal, and gain further market share," the company said.

Looking ahead, Beiersdorf expects positive sales growth and earnings before interest and taxes margins at the prior year's level.

 

Write to Adriano Marchese at adriano.marchese@wsj.com

 

(END) Dow Jones Newswires

February 16, 2021 16:04 ET (21:04 GMT)

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