Henkel Reports Rise in 1Q Sales as Prices Rose, Volumes Fell

By Pierre Bertrand

Henkel said Thursday that sales grew in the first quarter, driven by double-digit prices, but that volumes declined to below the prior-year level.

The German consumer-goods company reported sales of 5.61 billion euros ($6.21 billion), a 6.4% increase compared with EUR5.27 billion a year prior. Quarterly sales grew 6.6% organically.

Analysts had expected sales to grow 5% organically to EUR5.46 billion.

At a divisional level, the company's adhesive technologies unit saw first-quarter sales increase 6.1% to EUR2.79 billion. It said that result reflected price increases in the double-digit percentage range, while volumes declined below the level of the prior-year quarter.

Meanwhile, at Henkel's recently-formed consumer brands unit, quarterly sales increased 7.3% to EUR2.77 billion, it too driven by a double-digit increase in prices. Volumes declined partly due to portfolio optimization measures.

Henkel, which agreed last month to sell its Russian activities for around EUR600 million, said that that transaction was now completed. It added that it confirms its 2023 outlook.

Write to Pierre Bertrand at [e-mail]

(END) Dow Jones Newswires

May 04, 2023 02:19 ET (06:19 GMT)

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