Henkel Expects Growth Despite Geopolitical Challenges, Weakening Consumer Sentiment

By Aimee Look

Henkel booked a rise in sales last year and said it expects further growth in 2026 despite challenges from widening geopolitical turmoil.

The German consumer-goods company, which houses brands like Persil and Schwarzkopf, reported 20.5 billion euros ($23.80 billion) in sales for 2025. Analysts expected 20.6 billion euros in sales, according to company-compiled consensus estimates. Organically, sales rose 0.9% compared with the year prior.

Adjusted return on sales was higher year-on-year at 14.8%, compared with 14.3% the year prior. The company's preferred profitability metric, adjusted earnings per preferred share, increased 4.7% at constant exchange rates to 5.33 euros.

Henkel said Wednesday that its business has been marked by various global geopolitical challenges in 2025 that weighed on sentiment and would continue this year.

"With the war in the Middle East that began at the end of February, the uncertainties have increased significantly once again," Chief Executive Officer Carsten Knobel said.

For 2026, Henkel anticipates organic sales to increase by 1% to 3%. Its adjusted operating profit margin is expected around 14.5% to 16.0% in 2026, it said.

Meanwhile, adjusted earnings per preferred share are anticipated to rise in the low to high single-digit percentage range at constant currency.

Henkel also increased its dividend by 1.5%, to 2.07 euros per preferred share, it said.

Write to Aimee Look at aimee.look@wsj.com

(END) Dow Jones Newswires

March 11, 2026 03:23 ET (07:23 GMT)