Henkel Q Kasper Rorsted Carsten Knobel. Düsseldorf Aug. 12, 2014

Transcription

1 Henkel Q Kasper Rorsted Carsten Knobel Düsseldorf Aug. 12, 2014

2 Disclaimer This information contains forward-looking statements which are based on current estimates and assumptions made by the corporate management of Henkel AG & Co. KGaA. Statements with respect to the future are characterized by the use of words such as expect, intend, plan, anticipate, believe, estimate, and similar terms. Such statements are not to be understood as in any way guaranteeing that those expectations will turn out to be accurate. Future performance and results actually achieved by Henkel AG & Co. KGaA and its affiliated companies depend on a number of risks and uncertainties and may therefore differ materially from the forward-looking statements. Many of these factors are outside Henkel's control and cannot be accurately estimated in advance, such as the future economic environment and the actions of competitors and others involved in the marketplace. Henkel neither plans nor undertakes to update any forward-looking statements. 2 August 12, 2014

3 Agenda 1 Key developments Q Financials Q Summary & outlook FY August 12, 2014

4 Q Good performance in a challenging environment OSG +3.3% Adj. EBIT margin 16.3% Adj. EPS growth +8.4% Sales Share in EM 45% NWC in % of sales 6.0% Net financial pos. 156m 4 August 12, 2014

5 Continued profitable growth in all business units Solid organic sales growth driven by all business units Emerging Markets with strong OSG, Western Europe solid Very strong improvement in adj. EBIT margin, supported by all business units High single-digit adj. EPS growth Progress in acquisitions: Western Europe: Spotless Group North America: Alterna, Kenra & Sexy Hair Latin America: Pert 5 August 12, 2014

6 Increasingly challenging environment Continued high pressure from FX Concerning & negative developments in Russian / Ukrainian crisis Significant increase in geo-political tensions in Middle East Intensified promotional & pricing pressure in HPC North America improved, OSG still slightly negative 6 August 12, 2014

7 Laundry & Home Care Solid OSG & excellent margin improvement in Q Sales Solid OSG Laundry solid, Home Care strong Emerging Markets OSG double-digit Return Adj. EBIT margin showing excellent increase ROCE below level of previous year Mature Markets OSG negative 7 August 12, 2014

8 Laundry & Home Care Strengthening innovation leadership across categories Perwoll Re-New + Somat Gold Bref Blue Aktiv Smoothens roughened fibers and refreshes faded colors Improved anti-greying performance Extra-power against starch crusts without pre-washing New enriched formula with an innovative enzyme combination Hygienic blue water for active cleaning, even between flushes New formula with four active agents 8 August 12, 2014

9 9 August 12, 2014

10 Beauty Care Solid OSG & excellent margin improvement in Q Sales Solid OSG Retail solid, Hair Salon negative Emerging Markets OSG strong Return Adj. EBIT margin showing excellent increase ROCE below level of previous year Mature Markets OSG flat 10 August 12, 2014

11 Beauty Care Strengthening innovation leadership across categories Fa Floral Protect Syoss Keratin BC Bonacure 1 st deodorant from Fa with Scent Release Technology Effective protection against sweat & body odor 1 st Keratin Care from Syoss for salon-like hair perfection 80% more Keratin for 100% structure repair, suppleness & shine 1 st Professional Hair Care with patented Cell Perfector Technology Replenishes damaged hair cells for 100% strength & resilience 11 August 12, 2014

12 12 August 12, 2014

13 Adhesive Technologies Solid OSG & very strong margin improvement in Q Sales Solid OSG Emerging Markets OSG solid Return Adj. EBIT margin showing very strong increase ROCE further increased Mature Markets OSG solid General industry very strong 13 August 12, 2014

14 Adhesive Technologies Fostering technology leadership with strong innovations Sprayable Sound Damping Foils for Flexible Displays Hybrid Adhesive Sprayable damping technology based on renewable material Weight reduction up to 30% and higher acoustical performance Start-up investment for first cost competitive flexible displays Meets the future need of flexible mobile devices for mass-market 1 st technology combining structural & instant bonding New industrial applications incl. metal, plastics and rubber 14 August 12, 2014

15 15 August 12, 2014

16 Agenda 1 Key developments Q Financials Q Summary & outlook FY August 12, 2014

17 Continuous commitment to profitable growth Sales in m, OSG in % Gross Margin Adj. in % EBIT Margin Adj. in % EPS Pref. Adj. in 4, % 4, bp +90bp +8.4% August 12, 2014

18 Strong financial position despite higher dividend & acquisitions NWC in % of Sales Free Cash Flow in m Net Financial Position in m +80bp -56.2% +286m August 12, 2014

19 Solid organic sales growth in a challenging environment in m, changes in % 4,286 OSG: +3.3 % +3.4% -6.7% -0.1% 4, % Sales Q2/13 Price Volume FX M&A Sales Q2/14 Strong FX headwind mainly from Emerging Market currencies and US Dollar 19 August 12, 2014

20 Emerging Markets strong, Mature Markets positive in m, OSG in % Emerging Markets Mature Markets +6.5% +0.9% 1,943 1,844 2,304 2,261 Emerging Market sales share of 45% 20 August 12, 2014

21 Balanced growth across regions in m, OSG in % Western Europe Eastern Europe Africa/Middle East +2.2% 1,423 1, % % North America Latin America Asia-Pacific -0.7% % % BRIC with very strong OSG, driven by double-digit China & strong Russia North America with negative OSG in HPC, Adhesive Technologies positive 21 August 12, 2014

22 Laundry & Home Care Fostering profitable growth path in Q Sales in m, OSG in % EBIT Margin Adj. in % NWC in % of Sales +4.2% +130bp +60bp ,186 1, OSG driven by 5.9% in volume, price -1.7% 22 August 12, 2014

23 Beauty Care Fostering profitable growth path in Q Sales in m, OSG in % EBIT Margin Adj. in % NWC in % of Sales +2.1% +130bp +160bp OSG driven by 2.7% in volume, price -0.6% 23 August 12, 2014

24 Adhesive Technologies Fostering profitable growth path in Q Sales in m, OSG in % EBIT Margin Adj. in % NWC in % of Sales +3.7% +60bp +30bp 2,138 2, OSG driven by 2.7% in volume and 1.0% in price 24 August 12, 2014

25 Gross margin impacted by challenging environment Income statement adjusted Sales in m, nom. growth % Gross Profit in m Gross Margin in % of Sales -3.5% -5.0% -70bp 4,286 4,137 2,072 1, Gross margin affected by FX, slight increase of direct material prices and intensified promotional pressure 25 August 12, 2014

26 Very strong adj. EBIT margin increase, plus 90bp Income statement adjusted in m, % of sales 47.6% -24.6% 1, % -4.3% +0.1% 16.3% 674 Gross Profit Marketing, selling & distr. R&D Admin. OOI/OOE EBIT Marketing, selling & distribution expenses affected by FX Efficiency gains in Selling & Distribution, Marketing affected by shift to promotions 26 August 12, 2014

27 Continuous adaptation of our structures to the market in m Reported EBIT Q2/14 One-time gains One-time charges Restructuring charges Adjusted EBIT Q2/14 27 August 12, 2014

28 Improvement of net financial position in m +286m Q2/13 Q3/13 Q4/13 Q1/14 Q2/14 Significant increase despite acquisitions, higher dividend payout & CAPEX 28 August 12, 2014

29 Agenda 1 Key developments Q Financials Q Summary & outlook FY August 12, 2014

30 Q Good performance in a challenging environment Solid organic sales growth, driven by all business units Emerging Markets with strong OSG, Western Europe solid Very strong increase in adj. EBIT margin High single-digit adj. EPS growth Increased dividend payout & compelling acquisitions in HPC 30 August 12, 2014

31 Challenging quarters ahead Increased geo-political tensions expected to impact business Persisting FX headwind, at least until end of Q Strong focus on cost optimization Focused and balanced investment in growth initiatives Strong innovation pipeline across all business units Slower EPS growth in second half vs. first half year 31 August 12, 2014

32 Guidance FY 2014 confirmed despite challenges Organic Sales Growth - Laundry & Home Care - Beauty Care - Adhesive Technologies Emerging Markets sales share Adjusted EBIT Margin - Laundry & Home Care - Beauty Care - Adhesive Technologies Adjusted EPS Growth Guidance FY % All Business Units 3-5% Slight increase ~15.5% All Business Units contributing High single-digit We will continue to adapt our structures to the market 32 August 12, 2014

33 Full commitment to execute on our strategy & achieve 2016 targets Outperform Leverage potential in categories A global leader in brands and technologies Globalize Focus on regions with high potential 20 bn Sales 10 bn EM Sales Simplify Drive operational excellence Inspire Strengthen our global team 10 % EPS CAGR 33 August 12, 2014

34 Upcoming events November 11th, 2014 Q Financials March 4th, 2015 FY 2014 Financials April 13th, 2015 Annual General Meeting 34 August 12, 2014

35 Thank You!

36 Additional Information 36 August 12, 2014

37 Excellence in value creation Recent acquisitions with strong country / category positions Laundry & Home Care Beauty Care Leading brands (Spotless Group) with high margins in attractive laundry & home care segments Leverage strength in Western Europe while closing white spots Professional: High-performance and high-quality brands complementing current color portfolio in US Retail: Brand with local heritage strengthening core Hair business in Latin America, especially Mexico 37 August 12, 2014

38 Guidance FY 2014 for selected KPIs Guidance FY 2014 Price increase total direct materials Moderate price increase Restructuring charges At prior-year level CAPEX ~ m 38 August 12, 2014

39 Key financials YTD (1/2) Sales in m, OSG in % Gross Margin Adj. in % EBIT Margin Adj. in % EPS Pref. Adj. in +3.8% -20bp +90bp +8.4% 8,319 8, /13 1-6/14 1-6/13 1-6/14 1-6/13 1-6/14 1-6/13 1-6/14 39 August 12, 2014

40 Key financials YTD (2/2) NWC in % of Sales Free Cash Flow in m Net Financial Position in m +80bp -63.1% +286m /13 4-6/14 1-6/13 1-6/ /13 4-6/14 40 August 12, 2014

41 Sales growth Henkel in m, changes in % 8, % OSG: +3.8 % +3.5% -6.8% +0.0% 8,066 Sales 1-6/13 Price Volume FX M&A Sales 1-6/14 41 August 12, 2014

42 Reported to Adjusted EBIT in m 99 1,293 1, Reported EBIT 1-6/14 One-time gains One-time charges Restructuring charges Adjusted EBIT 1-6/14 42 August 12, 2014

43 Laundry & Home Care Key figures YTD Sales in m, OSG in % EBIT Margin Adj. in % NWC in % of Sales +5.1% 2,363 2, bp +60bp /13 1-6/14 1-6/13 1-6/14 4-6/13 4-6/14 OSG driven by 6.1% in volume, price -1.0% 43 August 12, 2014

44 Beauty Care Key figures YTD Sales in m, OSG in % EBIT Margin Adj. in % NWC in % of Sales +2.6% +100bp +160bp 1,796 1, /13 1-6/14 1-6/13 1-6/14 4-6/13 4-6/14 OSG driven by 2.1% in volume and 0.5% in price 44 August 12, 2014

45 Adhesive Technologies Key figures YTD Sales in m, OSG in % EBIT Margin Adj. in % NWC in % of Sales +3.9% +50bp +30bp 4,082 3, /13 1-6/14 1-6/13 1-6/14 4-6/13 4-6/14 OSG driven by 3.0% in volume and 0.9% in price 45 August 12, 2014