Company news and results
Danone grew net sales by +7.1% on a like-for-like basis in the first quarter of 2022. Price was up +4.9% and volume/mix up +2.2%.
2022 guidance reiterated, supported by pricing actions, mix management and productivity efforts: price-led like-for-like sales growth between +3 and +5% and a recurring operating margin above 12%
L'Oréal increased sales by +13.5% like-for-like in the first quarter of 2022.
In the first three months of the year, the growth trend continued in the global beauty market, with consumer purchasing behaviour unaffected by inflation.
We made the most of our omnichannel strategy, with a clear revival in offline sales while e-commerce continued to grow, representing 25.8% of sales.
ASML reported net sales of €3.5 billion and net bookings of €7.0 billion in Q1 2022.
We continue to see that the demand for our systems is higher than our current production capacity. We accommodate our customers through offering high-productivity upgrades and reducing cycle time in our factories, and we continue to offer a fast shipment process. In addition, we are actively working to significantly expand capacity together with our supply chain partners.
Heineken published its trading update for the first quarter of 2022. Net revenue per hectolitre was up 18.3%:
…driven by assertive pricing and premiumisation across all regions, as well as a positive channel mix effect, particularly in Europe.
CRH, the global building materials group, reported an increase in revenue of 13% like for like in the first quarter of 2022.
We expect the positive demand environment in North America to continue, which, in addition to the continued delivery of our integrated solutions strategy and good commercial management, should positively impact both our Americas Materials and Building Products businesses. Despite the challenges of significant energy cost volatility and the ongoing conflict in Ukraine, we expect like-for-like EBITDA in our Europe Materials business to be ahead of the prior year period.
Kering’s revenue increased 21% in the first quarter of 2022, on a comparable basis. Gucci was up 13%:
Gucci’s strong showing in North America and Europe was overshadowed by its exposure to China, where we are boosting its organization to fully capture the vitality of the market. While we remain attentive to economic and geopolitical conditions, we invest in all our brands, whose attractivity will continue to fuel our growth and profitability.
Nestle’s organic growth was 7.6% in the first quarter of 2022, with pricing of 5.2%. Purina PetCare was the largest contributor to organic growth. Coffee saw high single-digit growth.
Full-year 2022 outlook confirmed: we expect organic sales growth around 5% and underlying trading operating profit margin between 17.0% and 17.5%. Underlying earnings per share in constant currency and capital efficiency are expected to increase
Sartorius reported an increase in revenue of 25.4% in the first quarter of 2022 and confirmed its outlook:
Sales revenue expected to rise by 15 to 19 percent and underlying EBITDA margin projected to be about 34 percent
Deals and IPO
UK's Spectris to sell Omega Engineering for $525 million (link)
Music streamer Deezer is going public via SPAC at a $1.1B valuation (link)
Avient Corp to buy DSM business unit for $1.5 bln (link)
Other news
AB InBev Announces Decision to Sell Interest in Russian JV (link)
As a result, AB InBev is de-recognizing the investments in AB InBev Efes and will report a 1.1 billion USD non-cash impairment charge in non-underlying share of results of associates as part of its first quarter results announcement.
Q1 European venture capital trends in five charts (link)
European car sales dip for ninth consecutive month in March (link)