Bart Becht, the Dutch chief executive of Reckitt Benckiser, may not be familiar with the Yorkshire saying “Where there’s muck, there’s brass”, but his business is proof that there is money to be made in the mundane world of detergents, disinfectants and dishwasher tablets. While the glitzy financial services sectors may be experiencing turmoil and a chill wind, domestic hygiene is a different story.

Yesterday the world’s biggest household cleaning business told the City for the third time this year that its figures would be better than expected. This time it was referring to future profits forecasts and cost savings that would be greater than expected from the integration of Boots Healthcare International.

Its third-quarter profits were in line with expectations at £218 million, but still an impressive rise of 14 per cent on the back of sales that had climbed 11 per cent.

Next year the Anglo-Dutch company expects sales growth of 9 per cent, compared with its previous prediction (itself an upwardly revised estimate made in April) of between 7 and 8 per cent. Net profit growth is expected to be in the high teens as opposed to the mid-teens.

Mr Becht said that Reckitt’s growth was across the range of its many under-the-sink products such as Cillit Bang and Cif cleaner, Finish/Calgonit dishwasher products, Mr Sheen polish and Lysol disinfectants, but it also had been boosted by the new Vanish Crystal White fabric cleaner and Air-wick’s new Freshmatic air freshener. With a number of nasty cold viruses floating around, Reckitt also saw good sales of Nurofen and Strepsils throat lozenges, acquired under the Boots healthcare purchase.

Another key member of the Reckitt stable, Dettol, also performed strongly, Mr Becht said, but Dettol’s marketing was dealt a blow recently by the advertising watchdog. Its eye-catching television advertising, which claimed that there were 50 times more germs on a kitchen cutting board than on a toilet seat, was taken off air recently when the Advertising Standards Authority said that the company could not back up its claims.

Despite the sweet-smelling forecasts for future growth, the City was still slightly disappointed with the shine from Reckitt. Celine Pannuti, an analyst at JPMorgan, said that she was disappointed by the flat third-quarter operating margin of 21.8 per cent.

Mr Becht said that the lack of margin growth was largely thanks to new product launches in the third quarter, with heavy spending on Air Wick Mini, Nurofen Express and Cillit Bang Grease and Floor.

He said: “We don’t look for a slowdown in margin growth in 2007 and 2008.” He said that operating margins for the full year would be ahead of the group’s target of 22 per cent, up from last year’s margin of 21.5 per cent.

The shares slipped 4.9 per cent to £27.28p yesterday as profit-taking also followed the slightly flat analysts’ reception to the third-quarter results. But the company’s shares still exceed their competitor companies’, trading on 20.5 times forecast 2008 earnings, a premium to Unilever’s 15.9 times, and Colgate-Palmolive’s 19.5 times.

Mr Becht has said that he likes to do the cleaning at home. Not that he needs to. Last year he earned a total remuneration package of £22 million including options. With this year’s expectation-busting performance, he is likely to top that.

Times Recommends

• Lies and cover-up at MG Rover exposed by report
• High oil prices push manufacturing costs up
• Primark founder steps down as chief executive