PZ Cussons PLC (LSE:PZC), a producer of hygiene products such as Carex, said in a trading update to the market today that it expects like-for-like sales to grow 3% and earnings to be in line with expectations in 2022.
It said growth has been driven by improvements in its pricing, as the demand for hand sanitising products in its Carex range normalises following the Covid-19 pandemic.
The FTSE 250-listed group's chief executive Jonathan Myers warned of the cost-of-living pressures facing customers and increased costs in its supply chain.
"With a new team in place, we have re-focused on the core job of building brands and have started to unlock value through dramatically reducing complexity in our business," Myers said in a statement.
“The trading environment continues to be challenging, with high input cost inflation and pressures on household budgets. We have plans in place to mitigate the impact of this, as we continue to deliver great value for consumers, whilst also investing behind more premium innovations.”
The personal care company said Childs Farm, which it bought in March, “has performed in line with expectations and our plans to develop the brand are progressing well”.
In its trading update for the year ending 31 May today, it said it expects to report revenue of £590mln for 2022, which it said represents an uptick in like-for-like sales.
In 2021, the company reported group revenue of £603mln, a 2.7% increase on sales in 2020.
The company said it “continues to see good revenue momentum on our Must Win Brands, which grew 4% in Q4” off the back of marketing efforts. Last year in its 2021 annual report, it said Must Win had been growing at a rate of 11%.
PZ Cussons (LSE:PZC) plans to report its full-year results on 22 September.