British consumer healthcare giant Haleon PLC (LSE:HLN, NYSE:HLN) has upgraded its full-year sales and earnings guidance for 2023, reflecting a solid first-half performance.
The firm now expects organic revenue growth of 7-8%, up from its previous forecast of "towards the upper end of the 4-6% range". Adjusted operating profit growth is now projected to be 9-11% at constant currency.
Haleon, which owns well-known brands such as Sensodyne toothpaste and Panadol painkillers, reported a 10.6% increase in revenue to £5,738 million in the six months ended 30 June 2023.
This was fuelled by 10.1% organic growth in its Power Brands and an encouraging blend of 7.5% price growth and 2.9% volume/mix growth.
The company's adjusted operating profit margin stood at 22.2%, down 40 basis points at constant currency.
In a statement, CEO Brian McNamara praised the consistent growth across regions and categories and reiterated confidence in the resilience of the brand portfolio.
The interim results also highlighted a strong execution in reducing debt, with net cash flow from operating activities at £749 million, investors were told.
In the results statement, Haleon said it had agreed to dispose of the antifungal line Lamisil for £235 million and is expecting to realise around £250 million in connection with the sale.
An interim dividend of 1.8 pence per share has been declared.
Established as a spin-off from GSK in July 2022, Haleon has become a global leader in over-the-counter medicines, capturing 7.3% of the market.