Financial Data and Key Metrics Changes - In 2025, the company achieved 3% organic sales growth, which is below the medium-term guidance of 4%-6% due to lower category growth and reduced consumer confidence in key markets [1][5] - Full year organic revenue growth was 3%, with a split of 2.3% from price and 0.7% from volume mix [11] - Gross margin improved by 220 basis points, resulting in 10.5% organic profit growth [6][10] - Free cash flow reached GBP 1.9 billion, with a reduction in working capital by 11 days [10][22] Business Line Data and Key Metrics Changes - Oral health delivered high single-digit growth, outperforming the market with a 7.9% increase, driven by brands like Sensodyne and parodontax [13][20] - VMS (Vitamins, Minerals, and Supplements) grew 1.9%, with strong performance outside the U.S. but impacted by a softer multivitamin category in North America [14][17] - OTC (Over-the-Counter) pain relief grew 2.3%, with notable growth from Panadol and Advil [14][16] - Respiratory health declined by 1.9%, affected by a challenging consumer environment and a weaker cold and flu season [16] Market Data and Key Metrics Changes - North America experienced a 0.4% decline in organic revenue, with a split of 1% price increase and a 1.4% decline in volume mix [17] - EMEA and Latin America saw organic revenue increase by 4.7%, driven by price and volume mix [19] - Asia Pacific reported a 5.2% organic revenue growth, with significant contributions from China and India [20] Company Strategy and Development Direction - The company is focused on three strategic priorities: delivering competitive growth, unlocking productivity gains, and embedding an agile culture [1][4] - A new operating model is being implemented to enhance growth and agility, including the creation of new leadership roles and operating units [28][29] - The company plans to invest in A&P (Advertising and Promotion) and R&D to drive innovation and market execution [8][26] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in returning North America to growth, despite a challenging operating environment [7][32] - The outlook for 2026 anticipates organic revenue growth of 3%-5%, with continued strength in emerging markets [25][26] - Management acknowledged the need for improved organic revenue performance and is focused on unlocking productivity to drive growth [10][26] Other Important Information - The company allocated GBP 500 million for share buybacks in 2026 and proposed a final dividend of 4.9 pence, reflecting a 7.6% increase in total dividends for the year [6][25] - The productivity agenda aims for a reduction of SKUs and packaging by around 30% over three years, with expected gross annualized savings of GBP 175 million to GBP 200 million [4][24] Q&A Session Summary Question: What are the expectations for North America returning to growth? - Management is implementing a broader action plan and has strengthened the North America team to drive growth through improved marketing effectiveness and innovation [32] Question: How is the company addressing the challenges in the U.S. market? - The company is focusing on scaling innovations faster and leveraging its portfolio to improve competitive positioning in key categories [32]

Financial Data and Key Metrics Changes - In 2025, the company achieved 3% organic sales growth, which is below the medium-term guidance of 4%-6% due to lower category growth and reduced consumer confidence in key markets [1][5] - Full year organic revenue growth was 3%, with a split of 2.3% from price and 0.7% from volume mix [11] - Gross margin improved by 220 basis points, resulting in 10.5% organic profit growth [6][10] - Free cash flow reached GBP 1.9 billion, with a reduction in working capital by 11 days [10][22] Business Line Data and Key Metrics Changes - Oral health grew by 7.9%, significantly outperforming the market, with strong growth in brands like Sensodyne and parodontax [13][20] - VMS (Vitamins, Minerals, and Supplements) grew by 1.9%, with strong performance outside the U.S. but impacted by a softer multivitamin category in North America [14] - OTC (Over-the-Counter) pain relief grew by 2.3%, with notable growth in Panadol and the launch of Voltaren patches [14][15] - Respiratory health declined by 1.9%, affected by a challenging consumer environment and a weaker cold and flu season [16] Market Data and Key Metrics Changes - North America experienced a 0.4% decline in organic revenue, with a split of 1% price increase and a 1.4% decline in volume mix [17] - EMEA and Latin America saw organic revenue increase by 4.7%, driven by price increases and resilient performance in oral health [19] - Asia Pacific reported a 5.2% organic revenue growth, with significant contributions from China and India [20] Company Strategy and Development Direction - The company is focused on three strategic priorities: delivering competitive growth, unlocking productivity gains, and embedding an agile culture [1][4] - Plans to evolve the operating model to drive growth and agility were announced, including the creation of new leadership roles and operating units [28][29] - The company aims to return North America to growth through targeted actions and investments in marketing and innovation [8][32] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in outperforming the market despite a challenging operating environment, with expectations for 2026 organic revenue growth in the range of 3%-5% [7][26] - The outlook for North America is cautiously optimistic, with plans to enhance market execution and innovation [7][32] - Management acknowledged the need for improved organic revenue performance and emphasized the focus on productivity to drive future growth [10][26] Other Important Information - The company allocated GBP 500 million for share buybacks in 2026 and proposed a final dividend of 4.9 pence, marking a 7.6% increase in total dividends for the year [6][25] - The new operating model is expected to deliver GBP 175 million-GBP 200 million in gross annualized savings, enhancing flexibility and agility [24] Q&A Session Summary Question: What are the expectations for organic revenue growth in 2026? - The company expects organic revenue growth to be in the range of 3%-5%, with a focus on returning North America to growth and continued strength in emerging markets [7][26] Question: How is the company addressing the challenges in North America? - The company is implementing a broader action plan, strengthening the North America team, and investing in capabilities to drive distribution and marketing effectiveness [32] Question: What are the key drivers of the productivity agenda? - Key drivers include reducing SKUs, optimizing supply chain efficiency, and leveraging automation and AI to enhance operational effectiveness [4][12]

Financial Data and Key Metrics Changes - In 2025, the company achieved 3% organic sales growth, which is below the medium-term guidance of 4%-6% due to lower category growth and reduced consumer confidence [1][5] - Full year organic revenue growth was 3%, with a split of 2.3% from price and 0.7% from volume mix [5][10] - Gross margin improved by 220 basis points, resulting in 10.5% organic profit growth [6][9] - Free cash flow reached GBP 1.9 billion, with a reduction in working capital by 11 days [9][20] Business Line Data and Key Metrics Changes - Oral health grew by 7.9%, significantly outperforming the market, driven by strong performance from Sensodyne and parodontax [12][14] - VMS (Vitamins, Minerals, and Supplements) grew by 1.9%, with strong performance outside the U.S. but impacted by softer multivitamin category in North America [13][14] - OTC (Over-the-Counter) pain relief grew by 2.3%, with notable growth from Panadol and Advil [13][14] - Respiratory health declined by 1.9%, affected by a weaker cold and flu season [14] Market Data and Key Metrics Changes - North America experienced a 0.4% decline in organic revenue, with a split of 1% price increase and a 1.4% decline in volume mix [15][16] - EMEA and Latin America saw organic revenue increase by 4.7%, driven by price increases and resilient performance in oral health [17] - Asia Pacific reported 5.2% organic revenue growth, with significant contributions from China and India [18] Company Strategy and Development Direction - The company is focused on three strategic priorities: competitive growth, unlocking productivity gains, and embedding an agile culture [1][4] - A new operating model is being implemented to enhance growth and agility, including the creation of new leadership roles and operating units [26][27] - The company plans to invest in A&P and R&D to drive innovation and market execution [7][30] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in returning North America to growth, despite a challenging operating environment [6][24] - The outlook for 2026 anticipates organic revenue growth of 3%-5%, with continued strength in emerging markets [23][24] - Management acknowledged the need for improved organic revenue performance and emphasized unlocking productivity for sustained growth [9][24] Other Important Information - The company allocated GBP 500 million for share buybacks in 2026 and proposed a final dividend of 4.9 pence, marking a 7.6% increase in total dividends for the year [23][24] - Adjusted diluted EPS grew by 5%, supported by lower net interest charges and a favorable geographic mix of profit [19][24] Q&A Session Summary Question: What are the expectations for organic revenue growth in 2026? - The company expects organic revenue growth to be in the range of 3%-5%, with a focus on returning North America to growth and leveraging opportunities in emerging markets [23][24] Question: How is the company addressing the challenges in North America? - The company is implementing a new operating model and has appointed new leaders to strengthen its North America team, focusing on improving net revenue management and marketing effectiveness [27][30]

Core Insights - Haleon has appointed Kedar Lele as the new President for the India Subcontinent, effective this month, succeeding Navneet Saluja who retired in October 2025 [1][3] - Lele brings over 25 years of experience in various sectors, including FMCG, and will be part of Haleon's Executive Team, focusing on the company's strategy to reach 1 billion more consumers by 2030 [3][4] Company Overview - Haleon is a consumer healthcare company based in England, offering over-the-counter products for everyday health needs, with a focus on oral care, digestive health, pain management, respiratory health, and vitamin and mineral supplements [6] - The company markets well-known brands such as Eno, Sensodyne, Iodex, Crocin, Otrivin, Centrum, Ostocalcium, Parodontax, and Polident in India [6] Leadership Background - Kedar Lele previously served as Managing Director at Castrol India Ltd and has nearly two decades of experience at Hindustan Unilever Ltd, where he held senior roles including Executive Director for Sales and Customer Development in South Asia [2][4] - Lele holds an MBA in Strategic Marketing and Operations from the Indian School of Business and has served on the board of TVS Automobile Solutions [5]