Derma and health drive Beiersdorf’s 2025 growth amid market volatility

Beiersdorf’s 2025 full-year financial results showed that the company maintained growth despite the stagnating market. It outperformed key competitors, remaining the fastest-growing skin care company in the market.

Group sales reached €9.9 billion (US$11.49 billion) with 2.4% organic growth. While the growth is modest in absolute terms, it remains above the global skin care market’s growth rate. Profitability remained consistent, with EBIT excluding special factors increasing to €1.4 billion (US$1.62 billion), up 14% from 13.9% in 2024.

The Derma (+11.7%) and Health Care (+9.3%) segments were key drivers of growth, while Luxury skin care remained volatile (-4.5).

Beiersdorf proposes that the dividend for FY2025 be confirmed at €1.00 (US$1.16) per share and will be submitted to the Annual General Meeting on April 23, 2026.

Informed by successful buyback programs in 2024 and 2025, the company also announced a share buyback program of up to €750 million (US$870 million) to take place over the next two years.

Nivea grew organically by 0.9%, reflecting the softening of the global skin care market and the need for sustained innovation for legacy brands. Key product launches in the latter half of 2025 strengthened the brand’s Face Care segment positioning with Nivea Cellular Epigenetics Rejuvenating Serum, marking “the most significant product introduction in this category in Nivea’s history.”

Additionally, Nivea’s restructuring in China temporarily negatively impacted its performance in the country. Following the restructuring in Q3, Nivea returned to double-digit growth in China in Q4.

For the coming year, Beiersdorf is rebalancing Nivea’s strategy by distributing investments more homogeneously across its portfolio. While Face Care remains the priority, investments are being distributed more evenly across Face Care, Body Care, Deodorants, and accessible skin care innovations in 2026.

Skin stats

The Derma segment, with subsidiaries Eucerin and Aquaphor, did especially well, sustaining 11.7% organic growth and reaching nominal sales of €1.5 billion (US$1.74 billion), marking its fifth consecutive year of double-digit growth. Emerging markets proved to be key growth drivers for the segment in 2025.

The strong performance of the Derma segment was bolstered by product innovations, such as the Epigenetics Serum, and by the expansion of the Thiamidol product line in the US and China. The Anti-Pigment body lotions category was also a valuable player in the 2025 report with strong growth.

E-commerce outperformed brick-and-mortar sales with faster growth once again.

Band-Aids for the economy

Health Care, with brands Hansaplast and Elastoplast, cashed in with 9.3% organic sales growth, marking one of its strongest years in the company’s history. The growth was bolstered by the wound care category, which was a key sales driver with the successful launch of the Second Skin Protection range. Large plasters also recorded double-digit growth.

In luxury skin care, La Prairie faced a volatile year, with an overall 4.5% decrease in organic sales, bringing nominal sales to €478 million (US$554 million). The recovery of the Chinese market in Q4 also contributed to sequential improvement throughout the year, as the segment ended Q4 with 3.8% organic net sales growth.

New product launches and e-commerce growth contributed to the segment’s momentum.

“Twenty-twenty-five was a demanding year for the skin care industry, marked by slowing growth and continued market volatility,” says Vincent Warnery, CEO of Beiersdorf.

“Our Derma business continued its strong momentum, driven by breakthrough innovations and targeted expansion into white spaces. Growth at Nivea slowed in a challenging mass-market environment. This is why we have initiated a focused rebalancing of the Nivea portfolio to restore momentum over time. With strong brands, deep skin care expertise, and a clear strategic focus, Beiersdorf remains well positioned, even as market conditions remain volatile in 2026.”

The year ahead

Beiersdorf expects the 2026 Consumer Business Segment to be flat or to show a slight organic growth rate, due to continued volatility and cautious consumer demand in the global skin care market.

The company expects to cash in below the full‑year range in Q1, due to the US retail and China travel retail landscapes and fewer product innovations from Nivea than in Q4 of 2025.

EBIT margins for ongoing operations are expected to come in lower than in 2025.

“This is driven by raw material cost increases, unfavorable FX, and only limited fixed cost leverage on gross margin, while maintaining strong marketing support,” says the report.