Haleon Stock Plunges After Missing Its Own Q3 Bar, Adds £500m Buyback

Haleon (LON: HLN), the consumer health group, saw its share price tumble over 12% in early Thursday trading after the company said it now expects full-year organic revenue growth of around 2.5%, after third-quarter growth of 2.6% fell short of its own expectations. Adjusted operating profit guidance is unchanged, and a further £500m goes into share buybacks.

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Revenue for the three months to the 30th of September was £2,868m, up 2.5% as reported. Price added 2.1 points to organic growth and volume and mix 0.5 points. Haleon said weak cold and flu consumption cut orders in North America, and a change in China’s raw material classification held the quarter back further.

Oral Health was the standout, up 8.8% organically to £930m on the back of innovation. Respiratory fell 2.0% to £499m, while VMS slipped 0.5% to £423m and Pain Relief edged up 0.5% to £657m.

By region, North America grew 2.5% organically to £992m, with strong US execution in Sensodyne and Centrum driving double-digit consumption growth. Europe fell 0.6% to £798m. Emerging Markets rose 5.1%, led by high-teens growth in India and continued e-commerce momentum in China.

Chief executive Brian McNamara set out the priority:

Our key priority is to drive stronger volume growth and return the business to consistent delivery of our medium-term growth guidance.

Brian McNamara, chief executive of Haleon

The new guidance absorbs two specific hits. In China, imports of Centrum products registered as over-the-counter medicines have ceased until further notice, after the classification change. Food-registered Centrum products are unaffected, and the company said the halt is not linked to quality or safety. Those products brought in about £75m of revenue in 2025.

In Brazil, Haleon is bringing forward a new go-to-market model, originally due to roll out gradually through 2027, to the fourth quarter, alongside the country’s new tax framework. It expects that to cut net revenue by £15m to £20m in the quarter.

The £500m buyback is due to complete by the full-year results in February 2027. Haleon also guides to net interest of about £255m and an adjusted tax rate of about 24.5%.