Reckitt Benckiser Group Stock Earnings Reports

Reckitt delivered solid FY2025 results driven by Emerging Markets and execution of its Fuel for Growth program. Core Reckitt like-for-like net revenue grew 5.2% (volumes +1.5%, price/mix +3.7%), with group adjusted operating profit up 5.3% at constant currency and Core Reckitt margins expanding 90 bps to 26.7%. Emerging Markets was the growth engine (Core EM +14.6%) with China and India notably strong; Intimate Wellness (Durex/Intima) and Dettol were key outperformers. The company is increasing CapEx (GBP 592m in 2025) to strengthen and localize supply chain capacity (new lines/factories in China, North Carolina, Poland, Thailand). Fuel for Growth delivered material fixed-cost savings (group fixed costs 19.4% of revenue in 2025) and enabled stepped-up brand equity investment; management expects to largely offset stranded costs from the Essential Home divestment through the program in 2026 and to exit 2027 with a fixed cost base below 19%. Mead Johnson Nutrition grew 3.8% in 2025 and remains subject to strategic review; Essential Home was divested and GBP 1.6bn returned to shareholders (plus total shareholder returns of GBP 2.3bn including buybacks/dividends). FY2026 guidance: Core Reckitt like-for-like net revenue growth 4–5% (led by Emerging Markets), Q1 to be weaker due to seasonality, CapEx guidance ~4% of revenue, leverage expected to rise toward ~2.5x net debt/EBITDA by H1 2026 before returning lower. Key investor considerations: strong Emerging Markets momentum and margin expansion via Fuel for Growth; higher near-term leverage and elevated CapEx; exposure to seasonal OTC volatility (soft season impacted 2025 shares/volumes) and a tough European consumer/promotional environment; ongoing returns to shareholders via progressive dividend policy and continued buybacks.