Reckitt Benckiser Group (RKT) investor relations material

Executive summary

• Delivered 2.6% like-for-like net revenue growth in H1 2026 to £6,411m, with Q2 accelerating to 4.7% and all business areas and categories improving, driven by innovation and balanced volume/price mix.

• Adjusted operating profit margin was 23.6%, with adjusted diluted EPS of 152.1p, down 9.7% due to Essential Home divestment dilution.

• Strategic initiatives, including Fuel for Growth, reduced fixed costs and enabled increased investment in Powerbrands and digital innovation.

• Over £3 billion returned to shareholders in H1 2026, including a new £500 million buyback and 5% interim dividend increase.

• Essential Home divestment completed, impacting year-over-year comparisons but underlying business momentum remained strong.

Financial highlights

• Core Reckitt and Mead Johnson like-for-like net revenue grew 2.6% in H1; Core Reckitt up 2.7%, Mead Johnson up 2.0%.

• Adjusted operating profit margin for Core Reckitt and Mead Johnson was 23.6%, down 100bps year-over-year but ahead of expectations.

• Adjusted EPS declined 9.7% to 152.1p, mainly due to Essential Home divestment.

• Free cash flow was £419m, with cash conversion at 42%.

• Net debt to EBITDA at 2.5x, in line with expectations.

Outlook and guidance

• Full-year 2026 guidance unchanged: 4%-5% like-for-like net revenue growth for Core Reckitt; adjusted operating profit margin expected at 24.9%-25.6% for the full year, with a stronger H2.

• Fuel for Growth program expected to largely offset stranded costs from Essential Home divestment.

• Emerging markets expected to maintain broad-based growth; Europe to return to growth in H2; North America to be H2-weighted.

• Sustainable long-term EPS growth ambition reiterated, despite dilution from Essential Home divestment.