Haleon Reports Profit Growth Amid Revenue Decline
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Nov 14 2024
0mins
Should l Buy HLN?
Source: Business Insider
Haleon plc's stock fell 7.13% and hit a 5-day low amid broader market gains, with the Nasdaq-100 up 1.25% and the S&P 500 up 0.58%.
Despite a revenue decline, Haleon reported a 12.7% increase in fiscal 2025 profit before tax, reaching £2.15 billion. The company's earnings per share rose by 17.8%, reflecting successful cost control and operational efficiency. Additionally, Haleon announced a £500 million share buyback plan for 2026, indicating confidence in future cash flows and a commitment to enhancing shareholder returns.
The profit growth, despite revenue challenges, suggests that Haleon is effectively managing its costs and positioning itself for future growth. The share buyback plan may also support the stock price in the long term.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy HLN?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on HLN
Wall Street analysts forecast HLN stock price to rise
1 Analyst Rating
1 Buy
0 Hold
0 Sell
Moderate Buy
Current: 10.260
Low
13.44
Averages
13.44
High
13.44
Current: 10.260
Low
13.44
Averages
13.44
High
13.44
About HLN
Haleon plc is a consumer healthcare company. The Company’s product portfolio spans six major categories, including oral health, vitamins, minerals and supplements (VMS), pain relief, respiratory health, digestive health and therapeutic skin health and other. The Company’s geographical segments include North America, Europe, Middle East, Africa, and Latin America (EMEA) & LatAm, and Asia Pacific (APAC). Its respiratory health brands offer product solutions for a range of respiratory issues, including cold and flu, nasal congestion, coughs, and allergies. The Company’s oral health brands include Sensodyne, Polident, and Parodontax. Its VMS brands include Centrum, Emergen-C, and Caltrate. Its respiratory brands include Otrivin, Theraflu, Flonase, Contac, and Beechams. Its pain relief brands include Voltaren, Panadol, and Advil. Its digestive health brands include TUMS, ENO, and Benefiber. Its therapeutic skin health brands include Fenistil, Zovirax, and Bactroban.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Haleon Invests £65M to Expand Oral Health Manufacturing in China
- Market Expansion Plan: Haleon aims to extend its oral health brand parodontax to 30 cities in China by the end of 2027, reaching over 250 million consumers, thereby driving sales growth to meet the rising middle-class demand for trusted international brands.
- New Factory Investment: The company is investing £65 million in a new oral health manufacturing plant in Shanghai, enhancing its local production capabilities to respond more swiftly to consumer preferences and accelerate innovation, supporting its goal of reaching one billion consumers by 2030.
- Product Localization: To resonate with Chinese consumers, Haleon's global R&D team collaborated with local scientists to adapt the flavor and packaging of parodontax, ensuring a blend of clinical efficacy and consumer preferences, thus enhancing market competitiveness.
- Market Opportunity: With China's gum health market valued at approximately £860 million and over 70% of adults experiencing gum issues, Haleon's investment positions it favorably in this rapidly growing market, catering to the demand for clinically proven products.
See More
Daily Multivitamin May Slow Biological Aging, Study Finds
- Study Background: An analysis of the COSMOS randomized trial indicates that Centrum Silver may help slow biological aging markers, led by researchers from Mass General Brigham and Augusta University, involving nearly 1,000 older participants over two years.
- Biological Aging Slowed: Participants taking the multivitamin showed slowing in all five epigenetic clocks compared to the placebo group, with significant reductions in two clocks predictive of mortality, equating to about four months less biological aging over two years.
- Accelerated Aging Benefits: The study found that participants with accelerated biological aging at baseline experienced greater benefits from the multivitamin, suggesting that this intervention may be particularly effective for individuals with higher biological age, potentially providing crucial insights for long-term health outcomes.
- Strategic Implications: This research offers new evidence for the potential role of multivitamins in healthy aging, highlighting Centrum Silver as a safe, low-cost intervention that may play a significant role in promoting health among older adults.
See More
Haleon plc Reports Profit Growth for Fiscal 2025 Despite Revenue Decline
- Significant Profit Growth: Haleon plc reported a 12.7% increase in fiscal 2025 profit before tax, reaching £2.15 billion, up from £1.91 billion last year, demonstrating strong profitability despite a revenue decline.
- Earnings Per Share Increase: The company's earnings per share rose by 17.8%, from 15.7 pence to 18.5 pence, reflecting successful cost control and operational efficiency, which enhances shareholder return expectations.
- Share Buyback Plan: Haleon announced a £500 million allocation for share buybacks in 2026, a move aimed not only at boosting earnings per share but also reflecting confidence in future cash flows, thereby enhancing market recognition of its long-term value.
- Future Growth Outlook: The company expects organic revenue growth of 3% to 5% for fiscal 2026, alongside high single-digit adjusted operating profit growth, indicating Haleon's strategic commitment to enhancing profitability and market competitiveness.
See More
Sensodyne Launches Clinical Repair Toothpaste for Sensitive Teeth
- Solution for Sensitive Teeth: Sensodyne's Clinical Repair toothpaste starts repairing sensitive areas within 60 seconds and provides significant relief after three days of twice-daily brushing, addressing the needs of 85% of sensitive teeth sufferers seeking root cause solutions, thereby enhancing the brand's competitive position in the market.
- Innovative Repair Technology: The toothpaste features a scientifically-backed formula that activates during brushing to form a protective layer that strengthens with each use, offering more robust protection than two leading competitors, marking a technological advancement in sensitivity repair.
- Perfect for Daily Care: Clinical Repair is available in two options, Whiten & Shine and Fresh Clean, designed to meet consumer demands for sensitivity relief and cleaning benefits, thereby enhancing the overall daily oral care experience for users.
- Pricing and Availability: The product is now available at major retailers like Amazon, Walmart, and Target, with an MSRP of $8.99, and is expected to rapidly expand nationwide, further driving sales growth.
See More
TUMS Launches Limited-Edition Burn Ball Football for Game Day Heartburn Relief
- Brand Collaboration: TUMS partners with viral creator Airrack for a playful marketing campaign featuring trick shots and social sweepstakes, aimed at engaging younger audiences and enhancing brand visibility.
- Market Demand: Research indicates that one in four Super Bowl viewers experience occasional heartburn while enjoying their favorite foods, with 75% unprepared for relief, highlighting a significant market need for quick and effective heartburn solutions.
- Product Innovation: The Burn Ball football is not only a limited-edition item but also specifically designed to pass TUMS, providing consumers with a fast-acting heartburn relief solution on game day, thereby enhancing the brand's competitive edge in the market.
- Marketing Strategy: By integrating sports and entertainment elements, TUMS's innovative product is expected to attract more young consumers, boost brand loyalty, and drive sales growth, particularly during the critical Super Bowl marketing window.
See More
TUMS Launches Limited-Edition Burn Ball Football for Heartburn Relief Ahead of Big Game
- Limited Edition Product Launch: TUMS introduces the first-ever Burn Ball football, specifically designed for fast heartburn relief, which is expected to attract a large consumer base and enhance brand visibility.
- Social Campaign Promotion: Partnering with YouTube star Eric Decker, TUMS launches the #PassTheTUMS campaign, encouraging users to share creative videos, which is anticipated to boost brand engagement and attract younger consumers.
- Prize Incentive Mechanism: The campaign features a $5,000 grand prize and 50 $50 UberEats gift cards, aimed at increasing participation and further driving brand loyalty through reward mechanisms.
- Market Research Support: A survey by Talker Research indicates that one in four viewers experiences heartburn while watching the Super Bowl, highlighting the market demand and potential growth opportunities for TUMS products.
See More
Haleon Invests £65M to Expand Oral Health Manufacturing in China
- Market Expansion Plan: Haleon aims to extend its oral health brand parodontax to 30 cities in China by the end of 2027, reaching over 250 million consumers, thereby driving sales growth to meet the rising middle-class demand for trusted international brands.
- New Factory Investment: The company is investing £65 million in a new oral health manufacturing plant in Shanghai, enhancing its local production capabilities to respond more swiftly to consumer preferences and accelerate innovation, supporting its goal of reaching one billion consumers by 2030.
- Product Localization: To resonate with Chinese consumers, Haleon's global R&D team collaborated with local scientists to adapt the flavor and packaging of parodontax, ensuring a blend of clinical efficacy and consumer preferences, thus enhancing market competitiveness.
- Market Opportunity: With China's gum health market valued at approximately £860 million and over 70% of adults experiencing gum issues, Haleon's investment positions it favorably in this rapidly growing market, catering to the demand for clinically proven products.
See More
Daily Multivitamin May Slow Biological Aging, Study Finds
- Study Background: An analysis of the COSMOS randomized trial indicates that Centrum Silver may help slow biological aging markers, led by researchers from Mass General Brigham and Augusta University, involving nearly 1,000 older participants over two years.
- Biological Aging Slowed: Participants taking the multivitamin showed slowing in all five epigenetic clocks compared to the placebo group, with significant reductions in two clocks predictive of mortality, equating to about four months less biological aging over two years.
- Accelerated Aging Benefits: The study found that participants with accelerated biological aging at baseline experienced greater benefits from the multivitamin, suggesting that this intervention may be particularly effective for individuals with higher biological age, potentially providing crucial insights for long-term health outcomes.
- Strategic Implications: This research offers new evidence for the potential role of multivitamins in healthy aging, highlighting Centrum Silver as a safe, low-cost intervention that may play a significant role in promoting health among older adults.
See More
Haleon plc Reports Profit Growth for Fiscal 2025 Despite Revenue Decline
- Significant Profit Growth: Haleon plc reported a 12.7% increase in fiscal 2025 profit before tax, reaching £2.15 billion, up from £1.91 billion last year, demonstrating strong profitability despite a revenue decline.
- Earnings Per Share Increase: The company's earnings per share rose by 17.8%, from 15.7 pence to 18.5 pence, reflecting successful cost control and operational efficiency, which enhances shareholder return expectations.
- Share Buyback Plan: Haleon announced a £500 million allocation for share buybacks in 2026, a move aimed not only at boosting earnings per share but also reflecting confidence in future cash flows, thereby enhancing market recognition of its long-term value.
- Future Growth Outlook: The company expects organic revenue growth of 3% to 5% for fiscal 2026, alongside high single-digit adjusted operating profit growth, indicating Haleon's strategic commitment to enhancing profitability and market competitiveness.
See More
Sensodyne Launches Clinical Repair Toothpaste for Sensitive Teeth
- Solution for Sensitive Teeth: Sensodyne's Clinical Repair toothpaste starts repairing sensitive areas within 60 seconds and provides significant relief after three days of twice-daily brushing, addressing the needs of 85% of sensitive teeth sufferers seeking root cause solutions, thereby enhancing the brand's competitive position in the market.
- Innovative Repair Technology: The toothpaste features a scientifically-backed formula that activates during brushing to form a protective layer that strengthens with each use, offering more robust protection than two leading competitors, marking a technological advancement in sensitivity repair.
- Perfect for Daily Care: Clinical Repair is available in two options, Whiten & Shine and Fresh Clean, designed to meet consumer demands for sensitivity relief and cleaning benefits, thereby enhancing the overall daily oral care experience for users.
- Pricing and Availability: The product is now available at major retailers like Amazon, Walmart, and Target, with an MSRP of $8.99, and is expected to rapidly expand nationwide, further driving sales growth.
See More
TUMS Launches Limited-Edition Burn Ball Football for Game Day Heartburn Relief
- Brand Collaboration: TUMS partners with viral creator Airrack for a playful marketing campaign featuring trick shots and social sweepstakes, aimed at engaging younger audiences and enhancing brand visibility.
- Market Demand: Research indicates that one in four Super Bowl viewers experience occasional heartburn while enjoying their favorite foods, with 75% unprepared for relief, highlighting a significant market need for quick and effective heartburn solutions.
- Product Innovation: The Burn Ball football is not only a limited-edition item but also specifically designed to pass TUMS, providing consumers with a fast-acting heartburn relief solution on game day, thereby enhancing the brand's competitive edge in the market.
- Marketing Strategy: By integrating sports and entertainment elements, TUMS's innovative product is expected to attract more young consumers, boost brand loyalty, and drive sales growth, particularly during the critical Super Bowl marketing window.
See More
TUMS Launches Limited-Edition Burn Ball Football for Heartburn Relief Ahead of Big Game
- Limited Edition Product Launch: TUMS introduces the first-ever Burn Ball football, specifically designed for fast heartburn relief, which is expected to attract a large consumer base and enhance brand visibility.
- Social Campaign Promotion: Partnering with YouTube star Eric Decker, TUMS launches the #PassTheTUMS campaign, encouraging users to share creative videos, which is anticipated to boost brand engagement and attract younger consumers.
- Prize Incentive Mechanism: The campaign features a $5,000 grand prize and 50 $50 UberEats gift cards, aimed at increasing participation and further driving brand loyalty through reward mechanisms.
- Market Research Support: A survey by Talker Research indicates that one in four viewers experiences heartburn while watching the Super Bowl, highlighting the market demand and potential growth opportunities for TUMS products.
See More
