Henkel raises sales forecast again despite falling profits

By Ulrike Duration

FRANKFURT (Dow Jones) — After the first half of the year, Henkel surprisingly raised its sales forecast for the full year for the second time this year, despite declining profits.

As the Düsseldorf-based consumer goods manufacturer announced, it now expects organic sales growth of between 4.5 and 6.5 percent for the year as a whole instead of 3.5 to 5.5 percent. The DAX group justifies this with higher expectations for the Beauty Care and Laundry & Home Care areas. Henkel confirmed the forecasts for the EBIT margin and earnings per share.

In the first half of the year, adjusted operating earnings before interest and taxes (adjusted EBIT) fell to 1.166 (1.43) billion euros. The corresponding adjusted EBIT margin deteriorated to 10.7 percent from 14.4 percent.

Adjusted profit after taxes and third parties has more than halved to EUR 447 (942) million. Adjusted earnings per preferred share fell to EUR 1.95 from EUR 2.40.

Sales amounted to 10.9 billion euros in the half year. Organically, this was an increase of 8.9 percent compared to 11.3 percent in the same period of the previous year. Of this, EUR 5.64 billion was attributable to the second quarter; organically, the increase in sales was 10.9 percent after 15.2 percent.

Contact to the author: [email protected]; @UlrikeDauer_

DJG/uxd/smh

(END) Dow Jones Newswires

August 15, 2022 01:46 ET (05:46 GMT)

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