Good Q2 performance for Henkel despite negative currency effects

Henkel realised a good result in the second quarter of 2018 despite significant negative currency effects and higher material prices. The company managed to increase quarterly sales to an all-time high, further improved their adjusted EBIT margin and achieved the highest quarterly adjusted earnings to date,” said Hans Van Bylen, CEO, Henkel. Van Bylen: “Our Adhesive Technologies business unit delivered very strong organic growth, the Laundry & Home Care Division also reported good growth and the development of Beauty Care was also positive.”

The company expects organic sales growth of 2 per cent to 4 per cent for the Henkel Group. In the Laundry & Home Care business unit Henkel continues to expect growth in the range of 2 per cent to 4 per cent. For adjusted return on sales (EBIT), Henkel now anticipates an increase year on year to around 18 per cent from previously more than 17.5 per cent. All three business units are expected to contribute to the overall positive performance. Reflecting the development of currencies and material prices, Henkel expects an increase of between 3 per cent and 6 per cent in adjusted earnings per preferred share from previously between 5 and 8 per cent. Bylen: “The outlook underlines our continued focus on sustainable profitable growth and we are committed to further drive the implementation of our strategic priorities.”