Reckitt Benckiser Exceeds Earnings and Revenue Estimates Despite Divestiture Impact
Reckitt Benckiser (RBGPF) reported first-half results that beat both revenue and earnings expectations, despite a significant drop in free cash flow. The company's non-GAAP EPS came in at £1.52 per share for the period, surpassing estimates by £0.11. Revenue reached £6.41 billion, exceeding forecasts by £230 million, although it declined 8.2% year-over-year due to the divestiture of its Essential Home business. Free cash flow fell sharply in H1 2026 to £419 million, a drop of 32.7% compared to last year, primarily attributed to the impact of the Essential Home sale. Despite this decline, Reckitt reaffirmed its full-year FY26 outlook, signaling confidence in maintaining performance despite ongoing structural changes. The results highlight resilience amid strategic shifts and suggest that while short-term cash flow is affected by divestitures, earnings remain robust enough to support continued investor expectations.
Topics: divestments eps_beat free_cash_flow revenue