Henkel plans growth agenda

The Henkel management board, at its recent Capital Markets Day, highlighted the growth and earnings potential of two business units, adhesive technologies and the future consumer brands business.

“In view of the continued strong sales growth in adhesive technologies, today we have updated the outlook for fiscal 2022 for both the adhesive technologies business unit and the Henkel group,” said Carsten Knobel, CEO of Henkel.

Henkel said it expects organic sales growth of 5.5 to 7.5% at its group level in fiscal 2022; previously: 4.5 to 6.5%.

Organic sales growth of 10 to 12% is expected for the adhesive technologies business unit; previously: 8 to 10%.

Henkel said it is pursuing an agenda for purposeful growth and has developed a clear strategic framework for this.

“Key elements of the strategic framework are a successful portfolio, clear competitive edge in the areas of innovation, sustainability, and digitalization as well as future-ready operating models based on a strong company culture,” said the firm.

In implementing the new organizational structure of consumer brands, Henkel said it is ahead of the originally announced timeframe in most regions. As part of the merger, Wolfgang König, who is currently responsible for beauty care on the management board and will head the new unit in the future.

“In addition, we are continuing to work intensively on comprehensive measures to compensate as far as possible the impact of the drastic increase in raw material, logistics and energy costs on our earnings development," said Knobel.