Business and Strategy¹

Consumer

Consumer

Our Strategy

For over 140 years, the Beiersdorf name has stood for innovative skin care and pioneering skin research. While this tradition remains the cornerstone of our business, we focus resolutely on the future. We aim to shape the future of skin care, and ensure that people feel good in their skin. Economic success is also a priority for us, as sustainable growth and competitiveness are the basis for our ambitious targets.

Our “Care Beyond Skin” purpose serves as a guide, and shapes how we see business success. It means that we act responsibly, demonstrate social engagement, and consciously drive initiatives forward that extend beyond our core business. We also know that only with efficiency, innovation, and business courage can we live up to this responsibility and fulfil our vision.

This vision is ambitious: We want to be the best skin care company in the world. It is at the heart of our “Win with Care” corporate strategy, aimed at building on our past successes, and also guides us in challenging times. It helps us to focus on the development of our brands, the introduction of ground-breaking innovations, and the development of additional growth areas (white spaces). We also focus on profitable growth and a clear ROI mindset, with the objective of creating sustainable financial value while remaining firmly committed to our sustainability ambitions and making a positive contribution to society. We have summarized these ideas in three strategic choices in our “Win with Care” strategy:

• Undisputed Authority in Skin Care – in terms of trusted iconic go-to brands and innovation.

• Consumer-Facing Omnipresence – in relevant markets, channels, and categories.

• Performance with Purpose – driving growth while shaping an inclusive and climate-responsible future.

Our strategic choices rest on two key success factors: our people and the power of digitalization. We nurture talent, build on high-performing, diverse and inclusive teams and foster a culture built on shared values of Care, Trust, Simplicity, and Courage. Moreover, we leverage digital solutions to create delightful consumer experiences across the entire digital consumer journey – from brand interaction to product discovery to purchase – and drive efficient, future-ready processes. This lays the foundation for sustainable growth and long-term success

Undisputed Authority in Skin Care

We reinforced our position as a leading skin care company in 2025 – by means of pioneering innovations and key new product launches (see “Product Highlights” section). We had already marked a milestone with Eucerin in the previous year with the successful launch of our epigenetic active ingredient Epicelline®, that visibly reduces the biological age of the skin and reverses the signs of aging. We followed this in the reporting year with the Eucerin Hyaluron-Filler Epigenetic Serum, thereby making a significant contribution to the double-digit growth of our Derma business – clear evidence of our pioneering role in the field of epigenetics.

On this basis, we also introduced Epicelline® to the mass market in 2025. The NIVEA CELLULAR Epigenetics Rejuvenating Serum represents the largest NIVEA Face Care launch in the past decade. This powerful move boosted our presence in many European countries and secured our leading retail position. The serum combines three types of hyaluronic acid with Epicelline® and boosts the longevity of skin cells, scientifically proven by our patented Age Clock Technology®.

The success story of Thiamidol®, our active ingredient to combat hyperpigmentation and dark spots also continued in 2025 – including launches in our strategic growth markets, the USA, China, and India (see also the section on “Consumer-Facing Omnipresence”). Thiamidol® received particular attention through the publication of a global expert consensus on the management of hyperpigmentation developed by ten leading dermatologists from around the world. The results were presented at the 2025 Congress of the European Academy of Dermatology and Venereology (EADV). A key finding was that Thiamidol®, Beiersdorf’s patented active ingredient, is the dermocosmetic ingredient that the experts recommend as one of the preferred solutions for hyperpigmentation. An impressive confirmation to how we translate our skin research expertise into marketable innovations.

Further significant launches and relaunches underscored our aspiration to set new standards in skin care. The reformulated NIVEA SUN Protect & Moisture series with CITRACELL-PROTECT™ technology and the new 2in1 Primer Daily UV Serum SPF 50 demonstrate our expertise in UV protection. These helped us to gain additional market share in the reporting year, particularly in Europe. The relaunched Eucerin DERMOPURE CLINICAL range provides effective cleansing and care for blemish- and acne-prone skin – a condition that will affect up to 85% of people worldwide at some time in their lives, and is one of the most common reason for visiting dermatologists.

Furthermore, we expanded our wound care portfolio with a real innovation: We launched the Second Skin Protection Plaster under the Hansaplast, Elastoplast, and CURITAS brands – an ultra-thin, flexible plaster based on hydrocolloid technology, that protects the affected skin, accelerates healing, and reduces the risk of scarring.

To keep NIVEA on a growth trajectory, we introduced a strategic rebalancing of our core portfolio in the reporting year. We are setting clear priorities on key brand pillars and high-growth segments: alongside NIVEA Face Care, we are placing a stronger focus on NIVEA Body Care and NIVEA Deodorants. At the same time, we are sharpening our focus on core markets, with renewed attention to regional consumer needs. This enables us to respond more agilely to diverse local requirements, ensuring NIVEA remains the go-to brand for skin care worldwide. An example of this realignment is the introduction of the NIVEA Derma Control series in the reporting year. It specifically targets consumers with sensitive skin and combines reliable deodorant protection with effective skin care – an example of the “skinification” trend, where skin care principles are transferred to other product categories.

Laying the foundation stone for our new innovation center at the Beiersdorf Campus in Hamburg was another important milestone in 2025. Backed by an investment of €139 million, this state-of-the art center for research, development, and technology is scheduled to open in 2028. Interdisciplinary teams from Research and Development, Supply Chain, Marketing, and Sales will work side by side under one roof in a space totaling around 14,000 m². The close interplay along the entire innovation chain – from the idea stage to the finished product – along with the use of artificial intelligence and digitalized, data-driven workflows, will facilitate shorter development cycles, more efficient processes, and faster time-to-market. This project will reinforce our long-term innovative strength while also making a targeted investment in the skin care of the future.

To ensure future growth, we successfully completed the expansion of our production infrastructure at the Beiersdorf Manufacturing Poznań (BMP) site during the reporting year and inaugurated the new facility. This allowed us to double our production capacity in Poland, strengthen our global manufacturing network, and lay the foundation for future innovations.

Consumer-Facing Omnipresence

Our strategy of scaling innovations across all global brands and expanding into new markets (white spaces), segments, and channels provided key impetus in the reporting year. We made particular progress with our two key innovations, Thiamidol® and Epicelline®, in 2025 and introduced these groundbreaking technologies to new markets.

One of the biggest milestones in 2025 was the launch of our new Eucerin Spotless Brightening Pro Aesthetic Crystal Booster Serum and the NIVEA LUMINOUS 630™ products in domestic China. This step followed the approval by the Chinese National Medical Products Administration (NMPA) of our active ingredient Thiamidol® at the end of 2024. With this approval, we unlocked new growth opportunities for our Eucerin and NIVEA brands on the Chinese market – the second largest dermocosmetics market in the world and a region in which hyperpigmentation is one of the most frequent skin issues.

In the USA, too, we further expanded our consumer-facing presence. Following the successful launch of Eucerin Face in the previous year, we introduced Thiamidol® via the Eucerin Radiant Tone Collection in the reporting year. This enabled us to build on the performance of the previous year and successfully bring this significant skincare innovation in skin care to market. We tapped another growth market with our launch of NIVEA LUMINOUS Thiamidol® facial care products in India. This was a key step in making our innovations accessible to a broader audience. At the same time, we expanded our presence in the luxury segment in India with the launch of La Prairie and Chantecaille. India is one of the most dynamic and fastest growing luxury beauty markets in Asia.

In addition, we successfully continued our strategic expansion aside from the key Thiamidol® and Epicelline® innovations. We launched Eucerin in Japan – the third largest cosmetics market in the world – for the first time in December 2025. The premium Eucerin HARI FILLER series, specially developed for Japanese consumers, targets a new white space and reinforces our position in one of the most sophisticated skin care markets in the world. This product line combines dermatological expertise with the high demands of Japanese consumers in terms of quality and efficacy. Eucerin also celebrated important market entries in Saudi Arabia and Romania, further strengthening our presence around the globe.

We also continued to consistently expand our digital omnipresence, which had a positive impact on the development of our e-commerce business: Worldwide, we achieved organic growth of 20% compared to the previous year – driven by strong performance in emerging markets and Europe. We also expanded our presence on the Indian e‑commerce platform Nykaa and newly introduced NIVEA Face and La Prairie. Within the broader e-commerce landscape, social commerce is becoming increasingly important. Since 2020, we have been active on TikTok Shop in several markets, and in 2025 we expanded the platform to NIVEA in Germany, Italy, and Mexico. With the launch in Germany, we are among the first brands in the social commerce space, creating a seamless in-app shopping experience that connects inspiration with purchase decisions. These efforts further strengthen our multi‑channel strategy and ensure our brands remain highly relevant for future generations.

Performance with Purpose

We express our responsibility towards society, the environment, and our consumers through our “Care Beyond Skin” purpose and our sustainability agenda – and it is firmly embedded in our “Win with Care” corporate strategy. As a forward-looking and resilient company, we combine sustainability with competitiveness. We focus on profitable growth and strategic investment, place clear emphasis on efficiency and productivity, and also shape the skin care of the future with the smallest possible environmental footprint and a positive impact on society. To this end we make important progress every year in environmental and social matters (see “Non-Financial Statement”).

This interplay between economic strength and responsibility reflects our growth mindset. We have a long-term outlook, make targeted investments, and ensure ongoing development in order to achieve our ambitious vision. We systematically pursued our digitalization activities in the reporting year to increase efficiency and competitive strength. Our focus was on automation and targeted use of artificial intelligence (AI) – both as a catalyst for our employees and as a driver for the further development of our business. For us, AI is more than just a tool: It reduces complexity, creates space for creative and value-adding tasks, and accelerates data-driven decision-making. At the same time, AI is transforming our business by automating routine tasks, enabling employees to concentrate on strategic priorities, and acting as a new voice to our consumers – through intelligent product recommendations and targeted engagement. In addition, during the reporting year, our OPEX (Operational Growth Excellence) program supported us in identifying growth opportunities in our core markets – such as by optimizing pricing strategies, product ranges, and product presentations. We employ a uniform approach and close cross-departmental cooperation to improve processes, and thereby boost our sustainable organic growth.

We also made significant progress in sustainability, particularly by reducing GHG emissions (greenhouse gas, GHG) and increasing the share of recycled and renewable materials in our plastic packaging. At the same time, we are driving forward the transformation toward a more sustainable brand and product portfolio with unwavering commitment. Another example is the introduction of the EcoBeautyScore for our NIVEA and Eucerin brands. This is a science-based scoring system that makes the environmental impact of cosmetic products transparent and thus supports sustainable shopping decisions. Most of our relevant face care products received the best scores A and B as of the end of the reporting year. This success is part of our comprehensive strategy to systematically optimize existing products and new developments in terms of ingredients, formulations, and packaging – thereby creating real added value for consumers and for society. You can find more details in the “Non-Financial Statement”.

Furthermore, we strengthened our commitment to diversity and inclusion – including initiatives to integrate people with disabilities. More than 30 global teams (“Disability Inclusion Squads”) actively drove this work forward, supported by several external partner organizations. We trained our global leaders and recruiters on inclusive practices and, together with local partners to explore how we can make our offices and production sites even more accessible. In addition, our employee community “Ability” promoted internal dialogue and raised awareness of the topic. We also continued to advance gender equality and pay equity. In 2025, we completed our first global Pay Equity Audit – an important step toward fair compensation. Our ambition remains clear: We aim to become a global equal-pay employer and will continue implementing measures to achieve this goal.

This progress shows that we worked on all key elements of our strategy in the financial year 2025, despite the challenging environment. This ranged from refining our brands and innovations, through expanding into relevant markets, down to increasing efficiency and the sustainable transformation of our portfolio. This lays the foundation for long-term competitiveness, profitable growth, and achieving our vision.