3/6/2013, Düsseldorf / Germany


2012 targets fully achieved


Additional Downloads

Download: web print
Show all


Henkel’s sales and earnings reaching record levels

  • Sales rise 5.8 percent to 16,510 million euros (organic: +3.8%)
  • Adjusted* operating profit: +15.1 percent to 2,335 million euros
  • Adjusted* EBIT margin: +1.1 percentage points to 14.1%
  • Adjusted* earnings per preferred share (EPS): +17.8% to 3.70 euros
  • Strong performance in the emerging markets (organic: +7.8%)
  • Proposed dividend: +18.8 percent to 0.95 euros per preferred share
  • 2013 set to be another year of growth

"2012 was the most successful year for Henkel so far: we achieved excellent results in a highly volatile and competitive market environment and met or exceeded all financial targets,” said Henkel CEO, Kasper Rorsted. “All three Henkel business sectors showed profitable growth with expansion of market shares in their relevant markets. We also delivered on the ambitious financial targets we set in 2008 for the period up to 2012. We have substantially strengthened Henkel’s competitiveness, establishing a strong foundation for our future growth.”

Looking at fiscal year 2013, Rorsted said: “The strong dynamics and high volatility in our markets will persist. Although Henkel is well positioned, we will continue to further simplify and improve our processes in order to respond to changes faster than our competition.

We expect organic sales growth for the full fiscal year to be between 3 and 5 percent. We also expect to increase our adjusted EBIT margin to around 14.5 percent, and improve adjusted earnings per preferred share by around 10 percent.”

Sales and earnings 2012

In a challenging economic environment, Henkel’s sales grew to 16,510 million euros in fiscal year 2012, an increase of 5.8 percent versus the prior year. Organic sales, which exclude the impact of foreign exchange and acquisitions/divestments, rose by 3.8 percent, driven by both price and volume.

All three business sectors contributed to organic sales growth and further expanded market shares in their relevant markets. Laundry & Home Care posted an increase in organic sales of 4.7 percent. Organic growth in Adhesive Technologies was around 3.6 percent. The Beauty Care business sector posted an organic sales growth of 3.1 percent.

After allowing for one-time gains, one-time charges and restructuring charges, adjusted operating profit rose to 2,335 million euros, an increase of 15.1 percent over the figure of 2,029 million euros for the prior year. All three business sectors contributed to this positive development. Reported operating profit (EBIT) amounted to 2,199 million euros compared to 1,765 million euros in the prior year.

Despite higher prices in procurement markets, adjusted return on sales (adjusted EBIT margin) increased significantly by 1.1 percentage points, from 13.0 percent to 14.1 percent. Reported return on sales amounted to 13.3 percent compared to 11.3 percent in the prior year.

The financial result improved by 14 million euros to –141 million euros, as a result of the decrease in net debt and lower interest rates. Foreign exchange also had a positive effect. The tax rate was 24.4 percent compared to 26.0 percent in the prior year.

Adjusted net income after deducting non-controlling interests increased year on year by 18.2 percent, from 1,356 million euros to 1,603 million euros. Net income was at 1,556 million euros compared to 1,191 million euros in the prior year. After deducting 46 million euros attributable to non-controlling interests, net income amounted to 1,510 million euros (previous year: 1,161 million euros). Adjusted earnings per preferred share (EPS) increased 17.8 percent year on year, from 3.14 euros to 3.70 euros. Unadjusted, EPS was 3.49 euros versus 2.69 euros in the prior year.

The Management Board, Supervisory Board and Shareholders’ Committee propose that the Annual General Meeting approves a 18.8 percent higher dividend per preferred share of 0.95 euros (previous year: 0.80 euros) and a 19.2 percent increased dividend per ordinary share of 0.93 euros (previous year: 0.78 euros).

The ratio of net working capital to sales underwent a further improvement, ending the year at 5.2 percent, 2.1 percentage points below the level at the end of 2011. Net debt as of December 31, 2012, decreased substantially to 85 million euros (December 31, 2011: 1,392 million euros). Free cash flow was more than doubled to a new record high of 2,023 million euros.

* Adjusted for one-time charges/gains and restructuring charges

This document 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, forecast and similar formulations. 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 forward-looking statements.

Get the Henkel App!

Now also providing Investor Relations content!

App Store

Google play