The net profit of Henkel increased by 5.5% in Q2 2014, after the growth in mature and emerging markets. The net profit of the German consumer goods manufacturer rose to 441 million EUR, compared to the profit achieved an year earlier of 418 million EUR. The revenues from sales decreased to 4.14 billion EUR from 4.29 billion EUR in 2013. They differ minimally with analysts’ expectations of 4.2 billion EUR. Adjusted by one-off effects the operating profit of the manufacturer of Persil detergents and cosmetics brand Schwarzkopf grow by 2.1% to 674 million EUR from 660 million EUR in the second quarter of the previous year.
The net sales revenue of the effects of changes in exchange rates and acquisitions rose by 3.3%. All business divisions and regions contributed to growth rates despite increasing geopolitical risks noted by Henkel.
“We expect an escalation of the conflict between Russia and Ukraine, and continuing political imbalance in the Middle East have a negative impact on the market environment”, said the CEO Kasper Rorsted.
However, the company confirms its forecast for 2014 growth of organic sales by 3 to 5% and slight growth in operating margin to 15.5%. Moreover, the German company states that the weak currencies of emerging markets have fallen by 3.5% overall sales in the second quarter.