Organic sales growth, improvement in EBIT margin
Henkel recently announced strong business development in 2023.
According to the report, the Düsseldorf-based Group's sales grew organically by 4.2 percent to 21.5 billion euros. In nominal terms, however, this represents a decline of 3.9 percent compared to 2022.
The adjusted operating result (adjusted EBIT) rose by 10.2% to around 2.6 billion euros in 2023. In the previous year, it amounted to around 2.3 billion euros. With regard to earnings, Henkel points out in its press release that the effects of persistently high prices for direct materials and logistics continue to weigh on the company's profitability.
Continued measures to reduce costs and increase efficiency in production and supply chain as well as portfolio optimization measures helped the Group to more than offset the above-mentioned effects.
Henkel is forecasting an adjusted return on sales (adjusted EBIT margin) of 11.9 percent. In 2022, the adjusted EBIT margin was 10.4 percent.
Carsten Knobel, CEO of Henkel, said: "Despite a persistently challenging market environment, we consistently drove forward our growth strategy in 2023 and once again accelerated its implementation, increased our organic sales very strongly and significantly improved profitability." Henkel has thus exceeded the forecast it made at the beginning of the year.