Reckitt Benckiser shares boosted by 2018 update

FTSE 100 consumer goods firm Reckitt Benckiser (LON:RB.) reported that net revenues for the 2018 full year grew by 10% despite a drag from exchange rate changes. However, like-for-like growth was lower at 3%.

Chief executive officer Rakesh Kapoor commented: “2018 was a year of good financial progress, achieved in an environment of both significant change within the company, and challenging market conditions. We delivered the upper end of our 2018 revenue growth target, and accelerated the delivery of MJN cost synergies versus our ingoing expectations.

“2018 was also a year of significant strategic progress. RB2.0 represents a platform to transform RB for growth and outperformance. In 2018 we fully integrated MJN to create RB Health. And at the same time we created RB Hygiene Home, which has reignited growth with a more focussed and agile organisation.

“As we look to the future, we are well positioned for long term, sustainable growth, from the excellent portfolio of brands within each of our more focussed and agile Business Units.

“For 2019 we expect momentum to continue, and target +3-4% LFL net revenue growth. We expect to maintain the adjusted operating margin as we generate our usual RB cost and efficiency savings, and deploy them into building two even stronger businesses“.

Shares in Reckitt Benckiser rose by 4.30% to 6,276p (as of 13:40 GMT).