Henkel Reports Growth and Profitability

Henkel has delivered a resilient performance for fiscal year 2025, posting organic sales growth and improved profitability amid an unsettled global economy.
Group sales reached €20.5 billion, with organic sales up 0.9 percent despite significant foreign exchange headwinds and divestments, according to Henkel’s annual results. Operating profit (EBIT) totalled around €3.0 billion, slightly below the prior year, while the EBIT margin improved 50 basis points to 14.8 percent. Earnings per preferred share rose by 4.7 percent at constant currency. Free cash flow was strong at about €1.9 billion.
Henkel’s board has proposed a 1.5 percent increase in the dividend, bringing it to €2.07 per preferred share, reflecting confidence in the company’s financial foundations and long‑term strategy.
CEO Carsten Knobel said the company navigated a “challenging economic environment characterised by geopolitical uncertainties” while advancing its Purposeful Growth Agenda. He highlighted that organic growth and margin improvements were driven by innovation, cost‑saving measures and efficiency gains across Henkel’s two business units – Adhesive Technologies and Consumer Brands.
Henkel also pointed to strategic acquisitions and the early completion of the consumer businesses merger as significant contributors to future growth potential. Looking ahead to fiscal 2026, the company expects further top‑ and bottom‑line expansion, with organic sales growth forecast between 1.0 percent and 3.0 percent.
Read more here.