The consumer goods group Beiersdorf is grappling with sluggish consumer demand and has been forced to lower its sales forecast once more.

The company's core brand, Nivea, came under particular pressure from July to September. "In the third quarter of 2025, we observed a further slowdown in the skincare market, especially in emerging markets," Beiersdorf CEO Vincent Warnery admitted on Thursday. "As a result, we now expect organic sales growth of around 2.5 percent for our Consumer business for the full year." It was only in August that Beiersdorf had already revised its forecast downward, then projecting an increase of three to four percent for the division. In early trading in Frankfurt, Beiersdorf shares were down around two percent.

No changes were made to the outlook for Beiersdorf's second pillar, Tesa. For the group as a whole, Beiersdorf now anticipates organic sales growth of about 2.5 percent, down from the previous "around three percent." The company continues to expect its operating EBIT margin, excluding special items, to remain slightly above the prior year's level (2024: 13.9 percent).

In the third quarter, the Hamburg-based company reported sales of 2.35 billion euros, marking a 0.9 percent decline. Nivea sales dropped by 2.6 percent, with an organic decrease of 0.4 percent recorded. Analysts had, on average, expected group sales of 2.3 billion euros for the third quarter.

Warnery remains optimistic about Nivea's trajectory, citing innovation as a key driver: "We are taking targeted measures at Nivea to reignite growth in a challenging market," the Beiersdorf chief said. The introduction of the ingredient Epicelline, which Beiersdorf claims has a "skin-rejuvenating effect," is showing "promising initial results." The main care brands Eucerin and Aquaphor both posted growth. Meanwhile, the luxury label La Prairie, long a source of concern, returned to the growth path with an organic sales increase of 1.6 percent in the third quarter, buoyed by a rebound in China.

Rival L'Oreal recently reported sales growth, though it fell short of analysts' expectations. The French company noted that its crucial Chinese sales had increased for the first time in two years. Overall, sales from July to September rose by 4.2 percent to 10.33 billion euros.

(Reporting by Matthias Inverardi, editing by Myria Mildenberger. For inquiries, please contact our editorial team at berlin.newsroom@thomsonreuters.com (for politics and economics) or frankfurt.newsroom@thomsonreuters.com (for companies and markets).