|Bid||6,539.00 x 20000|
|Ask||6,540.00 x 3500|
|Day's Range||6,514.00 - 6,590.00|
|52 Week Range||5,559.00 - 7,174.00|
|Beta (3Y Monthly)||1.04|
|PE Ratio (TTM)||21.46|
|Earnings Date||Jul 30, 2019|
|Forward Dividend & Yield||2.00 (3.16%)|
|1y Target Est||7,085.56|
U.K. grocer J Sainsbury Plc sells a private-label alternative for a third of the price. It was also blindsided by production glitches and slowing sales of infant-nutrition products after acquiring Enfamil maker Mead Johnson. By turning to Narasimhan, a PepsiCo Inc. veteran, the company hopes to reconcile Kapoor’s vision with the reality that fickle shoppers are overwhelmingly turning away from big brands to cheaper alternatives.
Reckitt has eschewed some of the obvious candidates for the role, such as Tesco Plc’s Dave Lewis or Uniliver’s Nitin Paranjpe. It has instead chosen Narasimhan, who joins from PepsiCo Inc., where he was global chief commercial officer. It has endured a tumultuous few years, following the $16.6 billion acquisition of Mead Johnson in 2017.
Reckitt has turned outside the group for Kapoor’s successor, the first time it has done so since its formation in 1999 out of Reckitt & Colman and Benckiser. Laxman Narasimhan, chief commercial officer of PepsiCo, will join in July and take over on September 1. By opting for Narasimhan, Reckitt has hedged consumer sector experience (“the dimension that really counts”) with the M&A expertise of an ex-McKinsey consultant.
Narasimhan, PepsiCo's global chief commercial officer, is the first external candidate to be appointed as CEO at Reckitt since the maker of Durex condoms, Nurofen tablets and Dettol cleaners was formed in 1999. The 52-year-old takes over as CEO on Sept. 1, replacing Rakesh Kapoor, 60, who has led Reckitt for more than eight years and said in January he would retire this year.
Consumer goods group Reckitt Benckiser has picked PepsiCo executive Laxman Narasimhan as its next chief executive, becoming the latest industry heavyweight to turn to a company outsider to tackle faltering growth and new media-savvy rivals. Narasimhan, PepsiCo's global chief commercial officer, is the first external candidate to be appointed as CEO at Reckitt since the maker of Durex condoms, Nurofen tablets and Dettol cleaners was formed in 1999.
Mr Narasimhan, 52, grew up in India, where he completed an engineering degree and founded a start-up before moving to the US for business school. Before joining Pepsi in 2012, he spent 19 years working as a consultant at McKinsey, where he advised large retail, healthcare and consumer goods companies on operations, strategies and dealmaking. Chris Sinclair, Reckitt’s chairman, said the board had considered about 60 candidates for the top post before selecting the company’s first outside leader since it was formed in 1999 from the merger of Reckitt & Colman of the UK and the Dutch company Benckiser.
Last year, PepsiCo’s UK marketeers brought back “The Pepsi Challenge”: a blind tasting of its cola against the rival stimulant preferred by four out of five Britons (and, if I read the Sunday headlines correctly, at least two out of 10 candidates to be the next prime minister). the drinks group’s chief commercial officer, Laxman Narasimhan, as its new and first externally sourced chief executive. Rakesh Kapoor at the consumer goods group at a time when its margins — and share price — appear to have peaked.
Dettol and Lysol maker Reckitt Benckiser Group Plc will invest an additional $200 million in its UK and U.S. units this year, including a $70 million investment in a Michigan manufacturing facility. Chief Executive Officer Rakesh Kapoor said the funds would be used to expand the company's Michigan plant, which was bought as part of its takeover of Enfamil infant formula maker Mead Johnson Nutrition company for about $18 billion in 2017. Kapoor made his remarks at a breakfast event at St James' Palace, the Queen's official residence, attended by U.S. President Donald Trump and high level executives from 10 U.S. and British businesses.
U.S. President Donald Trump struck a positive, conciliatory tone with top British and U.S. business leaders at a meeting in London on Tuesday, sources familiar with the talks told Reuters, despite tensions between the two countries over China's Huawei. In a breakfast gathering with 10 executives at St James' Palace, Trump mentioned the strong historical ties between the two countries and praised British investment in the U.S. healthcare sector in particular, the sources said. Trump had earlier promised Britain a substantial post-Brexit trade deal, during a state visit to Britain being cast as a chance to celebrate Britain's "special relationship" with the United States and boost trade links.
British Prime Minister Theresa May will call on U.S. President Donald Trump to deepen transatlantic economic cooperation on Tuesday, saying a bilateral trade deal could make their partnership "greater still". At a meeting with 10 British and U.S. businesses at St James' Palace, the Queen's official residence, May will tell companies such as defence contractor BAE Systems and pharmaceuticals giant GlaxoSmithKline that greater cooperation would boost the two countries' economic partnership. "It is a great partnership, but one I believe we can make greater still," she will say, according to advance extracts from her office.
Reckitt Benckiser is working to resolve both its search for a new chief executive and its position relating to U.S. charges of wrongdoing at a former business, its chairman told investors at its annual general meeting on Thursday. The maker of Lysol cleaners and Durex condoms is "well under way with a comprehensive process" to select a successor to Chief Executive Rakesh Kapoor, Chairman Christopher Sinclair said at the meeting in London. "I'm hopeful that in the not-too-distant future, we'll have something significant to report here," Sinclair said.
LONDON/BEIJING, May 7 (Reuters) - Nestle plans to launch a new line of baby formula in China this year under an existing brand, targeted at smaller cities, as the world's largest packaged food company tries to lengthen its lead in the world's biggest baby milk market. The new line, discussed exclusively with Reuters, will focus on smaller provincial cities, often in China's western provinces, where greater shipping distances and lower incomes can make some imported brand goods unaffordable, though wealth there is growing. Producers of many consumer staples such as soft drinks and soap had to seek growth in the less-profitable provincial cities years ago, as China's richer eastern markets matured.
Not for Reckitt Benckiser Group Plc, which reported weaker-than-expected first-quarter sales on Thursday. All this means Reckitt will find it a bit harder to achieve its full-year target of 3-4 percent like-for-like sales growth. It may get some help from infant nutrition, where sales growth of 5 percent indicates that the division is recovering from a disruption to baby milk supplies last year.
Reckitt Benckiser Group reported lower-than-expected first-quarter sales, due to weakness in its health business, but stood by its full-year forecast, relying on an improvement as the year goes on. Like-for-like sales rose 3 percent in Reckitt's hygiene and home business, but were flat in health as a 5 percent rise in infant formula was offset by a 9 percent drop in over-the-counter medicines. Other health products, including Airborne vitamins and Scholl footcare products, were flat.
Travel groups supported the main index as British holidaymakers drove demand for destinations further afield given the contortions over Brexit. London-listed shares of German tour operator TUI advanced nearly 3 percent to their highest since mid-February, while British Airways owner IAG and EasyJet added 2 percent and 1 percent, respectively. The world's oldest travel group, Thomas Cook, jumped 4.1 percent on the small-cap index.
The consumer good group’s strategy now looks to be a hostage to U.S. lawyers. Under outgoing CEO Rakesh Kapoor, Reckitt had been simplifying and refocusing its portfolio. This effort was expected to culminate in the division of the business into two separate companies: one focused on household products such as Cillit Bang cleaner and Finish dishwasher tabs, the other on consumer health treatments like Nurofen painkillers and Gaviscon heartburn tablets.
In an indictment in federal court in Abingdon, Virginia, a grand jury said Indivior made billions of dollars by deceiving doctors and healthcare benefit programs into believing its Suboxone Film version was safer and less susceptible to abuse than similar drugs. The indictment charged Indivior and its subsidiary Indivior Inc with conspiracy, health care fraud, mail fraud and wire fraud. If the company is convicted, the U.S. government would seek forfeiture of at least $3 billion from Indivior, the indictment said.