PZ Cussons Full-Year Profit Advances 11% on Indonesian Sales
Stock Chart for PZ Cussons PLC (PZC)
PZ Cussons Plc (PZC), the U.K. maker of Imperial Leather shower gel, said full-year profit rose 11 percent as the company revamped its baby products in Indonesia.
Net income climbed to 70.4 million pounds ($115 million) or 16.29 pence per share in the year ended May 31, from 63.7 million pounds, or 14.72 pence, a year earlier, the Manchester, England-based company said in a statement today.
PZ reformulated and repackaged some of its baby products in Indonesia, where it has a 40 percent share of that segment, according to Finance Director Brandon Leigh. In September, PZ acquired sunless tanning brand St. Tropez, which has higher- margin products less affected by raw materials prices.
“Our star was Indonesia; the growth there offset more challenging conditions in Australia,” Leigh said in a telephone interview. Australia and New Zealand sales were hurt by discounting, as well as natural disasters such as flooding and earthquakes, he said.
PZ Cussons may increase its average selling prices by 2 percent to 3 percent this year, due to higher raw materials costs, Leigh said. Last fiscal year, costs rose as much as 8 percent on average, and the company boosted its prices about 5 percent, he said.
PZ is seeking beauty-products acquisitions in Europe to complement the St. Tropez line, Leigh said. It’s also looking for health-, beauty-, or baby-products deals in Asia, though nothing is imminent, he said.
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