DUESSELDORF (dpa-AFX) - Henkel (HENOY.PK, HENKY.PK) said the effects of the global corona crisis, the extremely tense situation on raw material markets and disruptions in global supply chains continued to have a strong impact on its market environment in the third quarter. However, all business units exceeded the respective pre-crisis level, the Group stated. Due to the additional negative impacts occurring from further increased raw material and transport costs, the Group updated its fiscal 2021 guidance for adjusted EBIT margin and adjusted earnings per share, and projects these to come in at the lower end of previous guidance ranges.
Third quarter Group sales increased by 1.9 percent to 5.09 billion euros. Organically, sales were up 3.5 percent. At Group level, the increase was driven by prices, Henkel said.
In the first nine months of 2021, sales increased nominally by 3.7 percent to 15.02 billion euros. Organic sales growth was 8.6 percent, for the period.
For fiscal 2021, the Management Board expects the Henkel Group to generate organic sales growth of between 6.0 and 8.0 percent, unchanged from prior guidance. It now expects the Group to generate an adjusted return on sales or adjusted EBIT margin of around 13.5 percent, updated from previous guidance of 13.5 to 14.5 percent. For adjusted earnings per preferred share at constant exchange rates, the Board now expects an increase in the high single-digit percentage range, revised from the previous guidance of high single-digit to mid-teens percentage range.
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