PZ Cussons on track for full year but highlights 'tough' trading

PZ Cussons said on Wednesday that it remains on track to deliver full-year growth in operating profits despite tough trading conditions in most markets.

The company, which is behind brands such as Imperial Leather and Original Source, said it's becoming increasingly clear that consumers in the UK are "shopping cautiously", reflecting general cost inflation outstripping wage growth and broader economic uncertainty.

In Australia, there has been an improved performance across all categories of personal care, home care and food & nutrition, continuing the positive momentum of the second half of the previous year. In Indonesia, the company said it has seen good growth across both the core Cussons Baby range as well as from recent new product launches across Imperial Leather and Cussons Kids.

While product launches across the washing and bathing division have been well received, volumes remain very sensitive to price points and discounting. Meanwhile, in the beauty division, recent new product launches such as the new Sanctuary Being range have performed well over the summer.

"In conclusion the business remains in good shape with market shares holding or growing in key categories.

"Whilst tough trading conditions are evident in most markets and expected to continue, brand initiatives, tight cost control and our deep knowledge of our markets provide a solid basis for the year ahead."