London, Feb 25, 2026, 09:36 GMT — Regular trading hours
- Haleon dropped roughly 4% at the open in London, with a guarded 2026 forecast weighing on the shares.
- Sensodyne’s parent pointed to sluggish U.S. demand, plus what it called a light cold-and-flu season.
- Cost-cutting and a new £500 million buyback are in the spotlight for investors, who are also taking in the drag from slower sales growth.
Haleon dropped 4.0% to 389.30 pence early Wednesday in London, as the consumer healthcare group flagged a weaker end to 2025 and outlined a more modest growth pace for 2026.
The Sensodyne maker is now projecting organic revenue growth between 3% and 5% for 2026—missing its medium-term target. Organic growth, as defined by the company, excludes the effects of currency swings as well as acquisitions and disposals.
The U.S. remains Haleon’s key profit driver, and the near-term outlook is still uneven. Investors counting on steady demand for everyday health products don’t take kindly to a slowdown in growth—even with buybacks on the table.
Haleon reported 2025 revenue fell 1.8% to £11.03 billion, with organic revenue rising 3.0%. Adjusted operating profit landed at £2.53 billion; profit before tax climbed to £2.15 billion. The company pointed to a soft cold-and-flu season, estimating it shaved around 150 basis points from fourth-quarter results and about 40 basis points off the year (one basis point equals 0.01 percentage point). Management also warned of a roughly 1% foreign-exchange drag on 2026 revenue and profit, proposed a total dividend of 7.1 pence, and plans to earmark £500 million for share buybacks in 2026.
Jefferies’ David Hayes didn’t mince words: “This is not good enough.” The analyst highlighted the 2.1% organic sales growth in the fourth quarter, falling short of the broker’s cited 3.5% consensus, and flagged a 0.3% drop in volumes. He added that the cold-and-flu headwind wasn’t flagged clearly heading into year-end. Investing.com UK
Derren Nathan, head of equity research at Hargreaves Lansdown, pointed to management’s “price discipline” and “efficiency gains” as key drivers behind profit. Still, investors face the same headache: U.S. demand isn’t turning into the reliable tailwind they want. Halifax
Haleon finds itself jostling for position in a jam-packed category, going up against consumer health players like Reckitt Benckiser and Kenvue, which is listed in the U.S. On top of that, own-label products from supermarkets and pharmacies keep encroaching, especially in core oral care and remedies tied to the season.
The risk boils down to this: Should U.S. consumers continue opting for cheaper options, or if respiratory illness remains subdued, Haleon could have a tough time reviving volume growth—even if it manages to keep prices firm. Cost cuts don’t always materialize quickly in reported figures, either.
Eyes turn to North American volume trends heading into early 2026, and whether cold-and-flu demand can bounce back. The market’s also tracking when the 2026 buyback lands. Shares go ex-dividend April 9, with the final payment slated for May 14.
