Henkel has completed the acquisition of the Thermal Management Materials business of Nanoramic Laboratories ‏(Nanoramic) headquartered in Boston, MA, USA, marketed under the brand Thermexit™ ‏(Thermexit). Nanoramic, until 2018 known as FastCAP Systems Corporation, is an R&D company focused on developing high-end energy storage and thermal management technologies based on carbon composites. With this acquisition Henkel aims to strengthen the position of its Adhesive Technologies business unit in the growing markets for Thermal Interface Materials ‏(TIM) by expanding its capabilities in high-performance segments.

Henkel completed the acquisition of the US-based advanced materials start-up NBD Nanotechnologies Inc. ‏(NBD Nano). NBD Nano, headquartered in Boston, Massachusetts, has expertise in developing surface properties such as repellency for plastics or optical coatings for displays. With this acquisition Henkel aims to strengthen the position of its Adhesive Technologies business unit in the area of functional coatings.

• Group sales in the first half of 2022 grew organically by +8.9 percent to around 10.9 billion euros ‏(nominal +9.9 percent), driven by all business units and regions
• Earnings impacted, as expected, by drastic input cost headwinds:
  • Operating profit ‏(EBIT)* reaches 1,166 million euros ‏(-18.5%)
  • EBIT margin* at 10.7% ‏(-370 basis points)
  • Earnings per preferred share ‏(EPS)* at 1.95 euros, -20.8% at constant exchange rates
• Good progress in implementing the purposeful growth agenda and in merging the consumer businesses into Henkel Consumer Brands
• Outlook for fiscal 2022 updated:
  • Organic sales growth: increased to +4.5 to +6.5 percent
  • EBIT margin*: unchanged at 9.0 to 11.0 percent
  • Earnings per preferred share ‏(EPS)* at constant exchange rates: unchanged a decline in the range of -35 to -15 percent

• Group sales increase organically by +7.1 percent to around 5.3 billion euros; nominal +6.1 percent:
  • Adhesive Technologies generates double-digit organic sales growth of +10.7 percent; nominal +11.6 percent
  • Beauty Care with slightly negative organic sales development of -1.2 percent; nominal -3.5 percent, due to implementation of planned portfolio measures
  • Laundry & Home Care records very strong organic sales growth of +4.9 percent; nominal +2.2 percent
• Emerging markets with double-digit sales growth, mature markets with strong growth
• Merger of Laundry & Home Care and Beauty Care business units into integrated multi-category platform Henkel Consumer Brands:
  • Strengthening growth momentum and margin profile in the consumer business
  • Significant synergies: around 500 million euros gross savings targeted in the mid term
  • First phase of measures to be implemented by the end of 2023: around 250 million euros annualized net savings expected, around 2,000 jobs affected worldwide
  • Portfolio measures for businesses with total annual sales of up to 1 billion euros under review
• Outlook for fiscal 2022 updated on April 29
• Clear commitment to mid- to long-term financial ambition

• Group sales increase organically by +7.1 percent to around 5.3 billion euros
  • Adhesive Technologies: double-digit organic growth of +10.7 percent
  • Beauty Care: slight organic decline of -1.2 percent
  • Laundry & Home Care: very strong organic growth of +4.9 percent
• Updated outlook for fiscal 2022 – extraordinarily strong rising costs for direct materials & logistics and significant effects from the exit of business activities in Russia and Belarus expected
  • Organic sales growth: +3.5 to +5.5 percent
  • Adjusted return on sales ‏(EBIT margin)*: between 9.0 and 11.0 percent
  • Adjusted earnings per preferred share ‏(EPS) * at constant exchange rates: decline in the range from -35 to -15 percent

Against the background of the current developments of the war in Ukraine, Henkel has decided to exit its business activities in Russia. The execution process is now being prepared. Henkel will work closely with its teams in Russia on the details to ensure an orderly process. In the meantime, Henkel’s 2,500 employees in Russia will continue to be employed and paid. The expected financial impact for Henkel resulting from the planned exit cannot be quantified at this time.

At the virtual Annual General Meeting of Henkel AG & Co. KGaA on April 4, 2022, the shareholders approved all agenda items. In total, about 87 percent of the voting capital stock was represented. As in the previous years, the Annual General Meeting was conducted as a virtual meeting. A total of 89 questions were asked by shareholders at the Annual General Meeting.

• Good business performance in 2021 in challenging market environment:
  • Group sales reach 20.1 billion euros, +7.8 percent organic growth
  • Operating profit* increases to 2.7 billion euros, +4.2 percent
  • EBIT margin* on prior-year level: 13.4 percent
  • Earnings per preferred share ‏(EPS)*: 4.56 euros, +9.2 percent adjusted for currency effects
  • Good free cash flow of 1.5 billion euros, net financial position significantly improved
• Proposed dividend on prior-year level: 1.85 euros per preferred share
• Outlook 2022 and mid- to long-term financial ambition unchanged
• Consistent implementation of agenda for Purposeful Growth since 2020
• Key measures to take strategic growth agenda to next level:
  • Integration process of Laundry & Home Care and Beauty Care to one multi-category platform with around 10 billion euros sales started
  • Further portfolio optimization planned in the consumer goods business
  • Share buyback program with a volume of up to 1 billion euros started
  • Venture Fund II with a total volume of 150 million euros
  • New sustainability strategy and ambitions

• Strong performance and improvements across key dimensions in 2021
• Evolved sustainability strategy: 2030+ Sustainability Ambition Framework
• Introducing new ambitions, including moving up climate positivity in production from 2040 to 2030

• Attractive portfolio with strong and successful premium brands
• Step-change for Hair Professional business in Asia-Pacific
• Henkel becomes one of the leading players in dynamic growth region
• Trademark licensing of SHISEIDO PROFESSIONAL Brand by Shiseido
• Shiseido to retain 20 percent share in Japanese entity to support business growth