Consumer Health

Key Data – Consumer Health

 

 

Q1 2016

 

Q1 2017

 

Change

 

 

€ million

 

€ million

 

Reported %

Fx & p adj. %

2016 figures restated; Fx & p adj. = currency- and portfolio-adjusted; Fx adj. = currency-adjusted

1

For definition see Annual Report 2016, Chapter “Alternative Performance Measures Used by the Bayer Group.”

Sales

 

1,520

 

1,601

 

+5.3

+2.6

Changes in sales1

 

 

 

 

 

 

 

Volume

 

−1.5%

 

+0.3%

 

 

 

Price

 

+3.7%

 

+2.3%

 

 

 

Currency

 

−4.5%

 

+2.7%

 

 

 

Portfolio

 

0.0%

 

0.0%

 

 

 

 

 

 

 

 

 

 

 

 

 

€ million

 

€ million

 

Reported %

Fx adj. %

Sales by region

 

 

 

 

 

 

 

Europe / Middle East / Africa

 

482

 

538

 

+11.6

+8.9

North America

 

677

 

701

 

+3.5

−0.1

Asia / Pacific

 

201

 

220

 

+9.5

+6.5

Latin America

 

160

 

142

 

−11.3

−9.4

EBITDA1

 

364

 

384

 

+5.5

 

Special items1

 

(19)

 

(8)

 

 

 

EBITDA before special items1

 

383

 

392

 

+2.3

 

EBITDA margin before special items1

 

25.2%

 

24.5%

 

 

 

EBIT1

 

243

 

278

 

+14.4

 

Special items1

 

(32)

 

(9)

 

 

 

EBIT before special items1

 

275

 

287

 

+4.4

 

Net cash provided by operating activities

 

197

 

265

 

+34.5

 

First quarter of 2017

Sales

Sales of Consumer Health rose by 2.6% (Fx & portfolio adj.) in the first quarter of 2017 to €1,601 million. We registered encouraging growth in Europe / Middle East / Africa and Asia / Pacific. Sales in North America were level year on year on a currency-adjusted basis, while business declined substantially in Latin America.

Best-Selling Consumer Health Products

 

 

Q1 2016

 

Q1 2017

 

Change

 

 

€ million

 

€ million

 

Reported %

Fx adj.1 %

1

Fx adj. = currency-adjusted; for definition see Annual Report 2016, Chapter “Alternative Performance Measures Used by the Bayer Group.”

2

Trademark rights and distribution only in certain countries outside the European Union

Claritin™

 

187

 

190

 

+1.6

−2.4

Aspirin™

 

116

 

117

 

+0.9

−0.4

Coppertone™

 

81

 

102

 

+25.9

+21.3

Bepanthen™ / Bepanthol™

 

92

 

95

 

+3.3

+2.2

Aleve™

 

90

 

82

 

−8.9

−11.8

Canesten™

 

64

 

70

 

+9.4

+11.5

Alka-Seltzer™ product family

 

57

 

70

 

+22.8

+19.6

One A Day™

 

44

 

55

 

+25.0

+19.1

Elevit™

 

43

 

52

 

+20.9

+13.4

Dr. Scholl’s™2

 

60

 

41

 

−31.7

−33.6

Total

 

834

 

874

 

+4.8

+2.1

Proportion of Consumer Health sales

 

55%

 

55%

 

 

 

Sales by product

  • Business with our antihistamine Claritin™ was down slightly, primarily due to a slow start to the allergy season in the United States. Gains in Europe and China only partially offset this effect.
  • Sales of our analgesic Aspirin™ were level with the prior-year quarter. Including business with Aspirin™ Cardio, which is reported under Pharmaceuticals, sales climbed by 7.5% (Fx adj.) to €274 million (Q1 2016: €253 million).
  • We achieved strong sales growth with our sunscreen product Coppertone™, primarily in the United States and China where we built inventories in the distribution channel ahead of the summer season.
  • Business with our Bepanthen™ / Bepanthol™ wound and skin care products increased slightly. Sales growth in Europe and Asia / Pacific more than offset the decline registered in Latin America.
  • Sales of our analgesic Aleve™ decreased substantially, primarily due to intensified competition in the United States. The sales performance of Aleve™ Tens remained positive but was insufficient to offset this decline.
  • We achieved gratifying sales increases for our Canesten™ skin and intimate health products, in part due to the expansion of our product portfolio last year.
  • Sales of the Alka-Seltzer™ family of products to treat gastric complaints and cold symtoms advanced significantly, especially in the United States due to a strong cold season and as a result of a product line extension.
  • We recorded strong sales growth for our One A Day™ vitamin product, in part due to product line extensions and the expansion of our distribution channels in the United States.
  • Our prenatal vitamin Elevit™ registered double-digit sales growth. This was largely attributable to demand remaining strong in Asia / Pacific.
  • Sales of our Dr. Scholl’s™ foot care products declined substantially, primarily due to the reduction of inventories in distribution channels ahead of a change in product lines and a weak market environment in the United States.

Earnings

EBITDA before special items of Consumer Health advanced by 2.3% to €392 million in the first quarter of 2017 (Q1 2016: €383 million). This increase resulted from the positive development of sales as well as from one-time gains of around €20 million, primarily arising from the sale of brands. A higher cost of goods sold, in part due to write-downs on inventories, had an opposing effect.

EBIT increased by 14.4% to €278 million, including special charges of €9 million (Q1 2016: €32 million) that were largely attributable to efficiency enhancement measures.

Special Items1 Consumer Health

 

 

EBIT
Q1 2016

EBIT
Q1 2017

 

EBITDA Q1 2016

EBITDA Q1 2017

 

 

€ million

€ million

 

€ million

€ million

1

For definition see Annual Report 2016, Chapter “Alternative Performance Measures Used by the Bayer Group.”

Restructuring

 

(14)

(9)

 

(1)

(8)

Integration costs

 

(18)

 

(18)

Total Special Items

 

(32)

(9)

 

(19)

(8)