FX.co ★ Henkel Q1 Group Sales Down 5.2% - Quick Facts

Henkel AG & Co. KGaA, a Germany-based household and personal products business, announced that its group sales for the first quarter of 2024 stood at 5.317 billion euros. This represents a decline of 5.2 percent compared to the previous year's quarter. The decrease is attributed to the sale of the company's business activities in Russia and unfavorable foreign exchange effects.

However, the company saw an organic sales growth of 3.0 percent during the quarter, driven by a positive development in pricing.

Furthermore, Henkel significantly improved its sales and earnings forecast for 2024 last week. The company now expects annual adjusted earnings per preferred share to rise by 15 percent to 25 percent at constant exchange rates, up from the previous expectation of an increase between 5 percent and 20 percent.

In terms of the annual organic sales growth, the company now anticipates a growth between 2.5 percent and 4.5 percent. This is an increase from the previously projected 2 percent to 4 percent range. Moreover, the company also expects an adjusted return on sales to be between 13 percent and 14 percent, higher than the initially expected range of 12 percent to 13.5 percent.