According to our dividend policy, dividend payouts of Henkel AG & Co. KGaA shall, depending on the company’s asset and profit positions as well as its financial requirements, amount to 30 to 40 percent of net income after non-controlling interests and adjusted for exceptional items. We will propose to the Annual General Meeting a stable dividend relative to the previous year of 1.85 euros per preferred share and 1.83 euros per ordinary share for the fiscal year just ended. This equates to a payout ratio of 46.6 percent1, which is above the target range of 30 to 40 percent and reflects the unusual burden on earnings caused in particular by considerably higher commodity prices and logistics costs. This payout is possible thanks not least to the strong financial base and low net indebtedness of the Henkel Group. Thus we are able to maintain dividend continuity for our shareholders.
1 Calculation based on the number of shares qualifying for dividends as of December 31, 2022.