MOSCOW (MRC) -- Germany-based Henkel recorded 8.9% organic sales growth in 1H 022 and raised its full-year guidance, said the company.
In nominal terms, the company's revenue in January-June increased by 9.9% to 10.9 billion euros, according to its report. Net profit fell by half, to 448 million euros from 947 million euros. Earnings before taxes and interest (EBIT) fell to 684 million euros from 1.3 billion euros a year earlier. Adjusted operating profit decreased by 18.5% to 1.17 billion euros.
Western Europe grew 1H organic sales by 2.2%, Eastern Europe by 23.2%, Africa and the Middle East by 3.2% and North America by 9.2% , in Latin America - by 16.9%, in the Asia-Pacific region - by 6.1%. Business unit Adhesive Technologies (adhesives and technologies) in January-June showed organic sales growth of 12.2%, Beauty Care (cosmetics) - 0.4% (8.2%), Laundry & Home Care (cleaners and detergents) funds) - by 7.4%.
According to the new Henkel forecast, organic sales growth in 2022 will be 4.5-6.5%, not 3.5-5.5% as previously expected. The fall in earnings per share is still expected in the range of 35% to 15% excluding changes in exchange rates, EBIT margin - at the level of 9-11%.
In April, the company decided to withdraw from the markets of Russia and Belarus. "Henkel is carefully considering all options and intends to complete the process by the end of the year," the company said in a statement.
Since the beginning of 2022, Henkel's capitalization has decreased by 8.6%, to 27.7 billion euros.
We remind, Henkel Adhesive Technologies strengthens its capabilities for predictive maintenance solutions by investing in Direct-C LTD (Direct-C), Edmonton, Canada. The company has developed a sophisticated sensor technology for the early detection of hydrocarbon leakages. With the investment Henkel aims to further expand its maintenance, repair and overhaul (MRO) business and to drive the implementation of innovative digital applications.