Thursday, May 11, 2017
“Henkel delivered a strong performance in the first quarter in a highly challenging market environment. The consumer goods markets were characterized by intensifying promotional and pricing pressure. We were able to significantly increase sales and earnings and to further grow adjusted return on sales. For the first time, quarterly sales exceeded 5 billion euros. Adjusted operating profit also reached a new high. All three business units and all regions contributed to the successful development and the high quality of earnings,” said Henkel CEO Hans Van Bylen.
“This strong performance was driven by our leading brands and innovations, our intensified focus on our customers and consumers, the acceleration of our digital activities and our highly committed global team,” Hans Van Bylen added. “We further strengthened our portfolio and signed two compelling acquisitions.” Hans added further.
Commenting on the fiscal year 2017, Hans Van Bylen said: “We expect the overall volatile and uncertain market environment to persist throughout the year. Currency fluctuations are likely to continue and the prices for commodities are expected to increase. We also anticipate promotional and pricing pressure in the consumer goods markets to further increase. Nevertheless, we are committed to continue our successful development.”
In this challenging market environment, Henkel confirmed the outlook for the current fiscal year: “We expect organic sales growth of 2 to 4 percent. We expect our adjusted EBIT margin to increase to more than 17.0 percent and adjusted earnings per preferred share to grow between 7 and 9 percent,” said Hans Van Bylen.
Tags: announcement, characterise, consumer goods markets, first quarter, Hans Van Bylen, Henkel, Henkel CEO, highly challenging market, intensifying promotional and pricing pressure, strong performance
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