Home Care products giant Henkel has posted an 8.5% increase in operating profit to €3.17 billion, according to its full year results, issued today.
The maker of Persil and Loctite saw sales up 3.5% to €18.7 billion for the year, an organic sales increase of 3.1%. Emerging markets were particularly strong for the group, with organic sales up 6.8%.
“2016 was a very successful year for Henkel,” said Henkel CEO Hans Van Bylen. “In a challenging market environment, we achieved again new record levels for sales and earnings and met our financial targets for the fiscal year.
“We delivered a high quality of earnings. For the first time we reached an adjusted operating profit of more than 3 billion euros.”
The period saw Henkel complete its acquisition of Sun Products, which ‘substantially strengthens’ its Laundry and Home Care business in the US, the company said.
In Asia, the segment posted ‘double-digit organic sales growth’, with performance in mature markets reported as being ‘solid’.
Looking ahead to the coming year, Van Bylen anticipates that Henkel will see organic sales growth of 2% to 4%, with adjusted EBIT margin to increase to more than 17%.
© 2017 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: The European Supermarket Magazine.