Henkel still recovering after US delivery problems
By Emma Thomasson - Nov 28th 2018, 09:58
Henkel, owner of consumer brands including Persil detergent and Schwarzkopf shampoo, says it is still working to win back shelf space for its products in the US after being hit by delivery problems early in 2018.
While Persil and some other brands have since recovered, Henkel lost promotional slots for mid- and lower-priced products due to the delivery delays at the start of the year, CEO Hans van Bylen told journalists.
“We are working with full focus to get growth back in this business,” he said, after Henkel reported that sales in North America slipped 0.8% in July-September from a year earlier.
The German group is battling US rival Procter & Gamble for market share, particularly for detergents and cleaning products after Henkel bought Sun Products, known for its Snuggle brand, for $3.6bn in 2016.
Procter & Gamble reported better-than-expected quarterly figures in October, with organic sales up 4%, and said it is raising prices on several products around the world, sending its shares up by their most in a decade.
Shares in Henkel have fallen 16% in the last year, but were up 3.2% after its results, helped by a robust third-quarter performance by its adhesives unit, the maker of Loctite glue.
Organic sales of adhesives, which account for about half of Henkel group sales and include glue for appliances, electronics and packaging, rose 3.8% in the quarter.
Group sales rose 2.7% to €5bn, stripping out acquisitions and the impact from currencies. Earnings per share were up 2.6% to €1.58.
Overall, Henkel’s cleaning products, detergents and home-care products business reported 2.5% sales growth, while sales of beauty care, which includes the Schwarzkopf brand, rose 0.5%.
Henkel reiterated its 2018 guidance for organic sales growth of 2%-4% and adjusted earnings per share to rise by 3%-6%.Business Live
Retail boost could steer SA away from a recession
12/08/2019 - 12:37
A rebound in economic growth in the second quarter of the year will likely see SA avert its second recession in two years.
Hong Kong's June retail sales slide due to mass protests - government data shows
05/08/2019 - 09:18
Retail sales, a key part of Hong Kong’s economy, felt a growing impact in June from mass protests, government data shows.
Shoprite basks in sales glory
02/08/2019 - 10:19
The Shoprite Holdings share price surged more than 10 percent after Africa's biggest retailer reported a strong half performance in sales for the 52 weeks to end June, mainly driven by its core market, the Supermarkets RSA.
Demand for tobacco-heating products and e-cigarettes boost BAT
01/08/2019 - 11:05
British American Tobacco (BAT) reported higher first-half sales, helped by higher demand for e-cigarettes and tobacco-heating products, and said revenue growth would accelerate in the second half of the year.
Strong growth for Aperol helps pep up Campari sales
01/08/2019 - 10:37
The popularity of orange aperitif Aperol and a jump in demand for tequila brand Espolon helped Campari to report better than expected sales growth in the second quarter, boosting shares in the Italian spirits group.