Reckitt Raises Global Prices as Iran Conflict Keeps Oil Costs Volatile, Shares Jump 5%
Updated
Updated · London Loves Business · Jul 29
Reckitt Raises Global Prices as Iran Conflict Keeps Oil Costs Volatile, Shares Jump 5%
2 articles · Updated · London Loves Business · Jul 29
Summary
Moderate price increases are being rolled out across most Reckitt markets, including Europe and the US, after earlier hikes in emerging markets to offset oil-linked input costs tied to the Iran conflict.
£150 million was the company’s prior estimate for the 2026 cost hit if oil stayed at $110 a barrel all year; it now says crude has moderated but Middle East tensions still make costs uncertain.
4.2% like-for-like sales growth in core brands during the second quarter helped Reckitt keep its 2026 revenue growth forecast at 4% to 5%, lifting shares more than 5% in early trading.
£1.47 billion in first-half underlying operating profit was down 14.3%, though Reckitt said that mainly reflected last year’s sale of a 70% stake in its essential home cleaning business.
£500 million in new buybacks, after £1 billion completed in the first half, signaled confidence that the company can absorb geopolitical and inflation pressures while passing some costs to consumers.