Annual sales, profits jump at Haleon

(Sharecast News) - Consumer healthcare giant Haleon reiterated its full-year outlook on Thursday, after posting improved full-year sales and profits. The maker of Sensodyne toothpaste and Centrum vitamins said organic revenues rose 5% in 2024, to £11.2bn, including a 3.7% increase in prices.

On a reported basis, revenues dipped 0.6%, largely due to adverse foreign exchange rates after the pound strengthened against the dollar, euro and other key currencies.

Adjusted operating profits jumped 9.8% to £2.5bn, or by 10.5% to £2.2bn on a reported basis, with the margin growing 100 basis points to 22.3% on an organic basis.

Both revenues and profits were in line with analyst expectations.

Brian McNamara, chief executive, said: "I am pleased with our performance in 2024 and the progress we are making to build Haleon into an agile, competitive and consumer-focused organisation.

"We are delivering against our growth plans. Importantly, 71% of our business gained or maintained share this year, demonstrating the strength and appeal of our brands.

"Looking ahead, we are well positive to drive organic revenue growth within our medium-term guidance growth, with strong organic profit growth in 2025."

The blue chip, which was spun out of GSK in 2022 and also owns Voltaren and Panadol, among others, expects organic revenues to grow by between 4% and 6% in the current year, with profit growth ahead of revenue growth.

It has also allocated £500m to share buybacks in 2025, after increasing the 2024 dividend by 10%.