10/28/2009, Düsseldorf / Germany


Henkel announces preliminary figures for third quarter 2009


Henkel continues positive trend in third quarter

The positive development of Henkel’s consumer businesses in previous quarters continued during the third quarter of 2009. There was also a further improvement in the results of the Adhesive Technologies business sector, albeit on a significantly lower level than in the previous year.

The following preliminary figures exceed the consensus estimates of the analysts as known to Henkel at the current time.

According to preliminary figures, Henkel generated sales in the third quarter of 2009 amounting to around 3.49 billion euros. In the prior-year quarter, sales came in at 3.76 billion euros. In organic terms, that is to say adjusted for foreign exchange and acquisitions/divestments, sales decreased by 2.5 percent compared to the level of the prior-year quarter. Operating profit (EBIT) amounted to 290 million euros. Included in this figure are one-time charges and restructuring charges of 95 million euros. After adjusting for these items, adjusted operating profit (“adjusted EBIT”) fell slightly from 391 million euros to 385 million euros.

At around 1.04 billion euros, sales of the Laundry & Home Care business sector were just below the level of the prior-year quarter. Organic sales growth was 2.4 percent. Operating profit (EBIT) increased from 117 million euros to 137 million euros. Having generated slightly lower sales of around 760 million euros and organic sales growth of 3.7 percent, the Cosmetics/Toiletries business sector posted an improved operating profit (EBIT) of 100 million euros compared to 96 million euros in the same quarter of the previous year.

Due to the volume declines suffered by major customer industries, the Adhesive Technologies business sector registered a decrease in sales to some 1.63 billion euros. In organic terms, sales decreased by 7.6 percent. Operating profit (EBIT) declined from 169 million euros to 89 million euros. Adjusted operating profit amounted to 150 million euros.

“We outperformed market expectations for our earnings development in the third quarter. This reflects both the stabilization in our markets and our programs on structural and cost alignment. However, it can not be expected to again achieve the strong past quarter results in the fourth quarter,” says Kasper Rorsted, Chairman of the Henkel Management Board.

Henkel will be publishing precise figures on the third quarter performance and the outlook in its quarterly report, which is due to come out on November 11, 2009.

This information contains forward-looking statements which are based on the current estimates and assumptions made by the corporate management of Henkel AG & Co. KGaA. Forward-looking statements are characterized by the use of words such as expect, intend, plan, predict, assume, believe, estimate, anticipate, etc. Such statements are not to be understood as in any way guaranteeing that those expectations will turn out to be accurate. Future performance and the results actually achieved by Henkel AG & Co. KGaA and its affiliated companies depend on a number of risks and uncertainties and may therefore differ materially from the forward-looking statements. Many of these factors are outside Henkel's control and cannot be accurately estimated in advance, such as the future economic environment and the actions of competitors and others involved in the marketplace. Henkel neither plans nor undertakes to update any forward-looking statements.

Henkel AG & Co. KGaA