Double-digit growth for Henkel in 2015

Henkel’s turnover and profit in 2015 grew markedly, partially because of its strong performance in the emerging markets. The German consumer goods giant targets another turnover increase this year.

18.1 billion euro turnover

CEO Kasper Rorsted described 2015 as an “exceptionally good year”: “We recorded double-digit growth in sales, in EBIT, in EPS and in share price” he said. Henkel, which owns laundry products (Persil), beauty care (Schwarzkopf) and glue (Pritt, Pattex and Loctite) managed a 10.1 % turnover growth in 2015. 

Organically and excluding exchange rates, turnover would have increased 3 %, mostly thanks to the emerging countries: organic growth grew nearly 8 % over there, while Henkel retrieves about half of its yearly turnover from these emerging markets. The company did emphasize there was “also organic turnover growth in the mature markets.”

Increased dividend

Operational profit grew 12.9 % to 2.9 billion euro and the profit per share (adjusted for one-time costs and restructuring costs) grew 11.4 % to 4.88 euro. This means shareholders can expect a little bonus: Henkel forecasts a dividend of 1.47 euro per share, up 12 % compared to the year before.

CEO Kasper Rorsted, who will become Adidas’ CEO later this year, expects the economic and political climate to “remain challenging” in the current year. Nevertheless, he expects a similar “2 to 4 % organic turnover growth”. Its adjusted profit margin should be 16.5 %.