Reckitt Benckiser Group PLC (LSE:RKT, FRA:3RB, XETRA:3RB) reported subdued first-quarter growth as a weak cold and flu season and softer European demand weighed on sales.
The FTSE 100 maker of household and health brands from Dettol and Finish to Mucinex, Strepsils and Nurofen generated like-for-like revenue growth of 0.6% in the three months to March.
LFL growth was 1.3% in its core business, or 3.1% if excluding seasonal over-the-counter products. This was well below the full-year guidance of 4-5% LFL growth.
Group net revenue fell 11.8% to £3.25 billion, reflecting the disposal of its Essential Home division in December and currency headwinds.
Emerging markets were the main positive driver, with LFL growth of 7.6%, including double-digit gains in China and India.
Europe declined 4.2% as volumes dropped, while North America slipped 0.9% due to weaker price/mix.
Sales of seasonal over-the-counter medicines declined by double-digits due to the weak cold and flu season as retailers reduced inventory levels through the quarter.
Also to blame, said chief executive Kris Licht, were "weak categories in Europe" and geopolitical disruption from the war in the Middle East.
Reckitt continues to expect like-for-like revenue growth of 4% to 5% in the 2026 financial year.
Licht said: "This will be driven by sequential growth from our market-leading Powerbrands, as the season resets and we continue to launch superior innovations including Mucinex 12hr Cold and Fever, improved performance in Europe and continued strong growth across China, India and non-seasonal North America."
A £1 billion share buyback programme is ongoing, with £669 million completed by mid-April.