Henkel Q Hans Van Bylen, Carsten Knobel Düsseldorf, November 14, 2017

Transcription

1 Henkel Q Hans Van Bylen, Carsten Knobel Düsseldorf, November 14, 2017

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. This document has been issued for information purposes only and is not intended to constitute an investment advice or an offer to sell, or a solicitation of an offer to buy, any securities. 2

3 Agenda 1 Key developments Q Financials Q Summary & Outlook FY

4 Q3 2017: Strong and balanced performance Sales 5.0 bn Organic Growth +3.0% Adjusted EBIT 897 m Adjusted EBIT Margin 18.0% Adjusted EPS Growth +8.5% NWC in % of Sales 5.6% 4

5 Delivering on profitable growth in Q Strong performance driven by all business units Very strong organic sales growth in Emerging Markets, positive in Mature Markets Significant growth of adjusted EBIT driven by intensified cost management focus New high in adjusted EBIT margin Significant growth of adjusted EPS Integration of all acquisitions well on track, successful closing of three acquisitions 5

6 Continued challenging environment Persisting geo-political tensions, political and macro-economic uncertainties Difficult conditions in the consumer goods markets remain Natural disasters in North and Latin America Currencies turning into a headwind Raw material prices impacting Gross Profit Organic sales growth in Beauty Care below our expectations 6

7 Adhesive Technologies Driving profitable growth Sales 2.4 bn Organic Growth +4.9% Adjusted EBIT 454 m Adjusted EBIT Margin 19.1% 7

8 Adhesive Technologies Highlights Q Sports & Fashion Double-digit growth with multinational sports and lifestyle brands Sustainable and innovative adhesive solutions enhance efficiencies in manufacturing Construction Industry Double-digit growth in Eastern Europe Successful launch of fiber forced tile adhesives Industrial Assembly Double-digit growth and strong new business development Innovative adhesive solutions for broadband cables driving customer gains 8

9 Beauty Care Driving profitable growth Sales 0.9 bn Organic Growth +0.5% Adjusted EBIT 171 m Adjusted EBIT Margin 18.1% 9

10 Beauty Care Highlights Q Africa / Middle East Ongoing double digit organic sales growth Strong contribution from acquired brands: Pert, Blendax Coloration Continued growth driven by successful innovations Market share gains across regions Professional Positive organic sales growth for 10 consecutive quarters Continued momentum in North America 10 11

11 Beauty Care Acquisitions Nattura Laboratorios closed & Zotos International signed Acquisitions reinforce Henkel s global # 3 position in the hair professional market Significant expansion of position in US and Mexican hair professional markets High-quality businesses with complementary portfolio and strong innovation capabilities Defensive as well as offensive synergy potential 11 11

12 Laundry & Home Care Driving profitable growth Sales 1.6 bn Organic Growth +1.8% Adjusted EBIT 294 m Adjusted EBIT Margin 17.9% 12

13 Laundry & Home Care Highlights Q h fresh North America Continued growth momentum and successful integration of Sun Further successful expansion of Persil ProClean Perwoll Strong performance across regions, double-digit growth in Q3 Introduction of innovative variants in more than 30 countries Germany Continuous strong growth driven by innovations Home Care with very strong development across all categories 13

14 Agenda 1 Key developments Q Financials Q Summary & Outlook FY

15 Continuous commitment to profitable growth Key financials Q Sales in m, OSG in % Gross Margin Adj. in % EBIT Margin Adj. in % EPS Pref. Adj. in +3.0% -190bp +40bp +8.5% 4,748 4, Q3/16ö PY öq3/17 CY Q1/16 Q3/16ö öq3/17 Q1/17 Q3/16ö PYQ öq3/17 CYQ Q3/16ö PYQ öq3/17 CYQ 15

16 Focus on disciplined cash management Key financials Q NWC in % of Sales Free Cash Flow in m Net Financial Position in m +40bp -33.6% -675m ,661-3,336 Q3/16ö öq3/17 Q3/16 Q3/17 Q3/16 Q3/17 16

17 Significant organic & inorganic sales growth in m, changes in % +4.9% 4,748 Organic & inorganic +9.1% +2.4% + 0.6% +6.1% -4.2% 4,981 Sales Sales Q3/16 Volume Price M&A FX Sales Sales Q3/17 17

18 Emerging Markets very strong, Mature Markets positive in m, OSG in % Emerging Markets Mature Markets +5.0% +1.5% 2,031 2,050 2,688 2,900 Q3/16 PYQ Q3/17 CYQ Q3/16 PYQ Q3/17 CYQ 18

19 Broad based growth across regions in m, OSG in % Western Europe Eastern Europe Africa/Middle East +0.0% 1,473 1, % % Q3/16 Q3/17 Q3/16 x Q3/17 x2 Q3/16 x Q3/17 x2 North America Latin America Asia-Pacific +3.2% +2.8% +6.4% 1,067 1, Q3/16 x Q3/17 x2 Q3/16 x Q3/17 x2 Q3/16 x Q3/17 x2 19

20 Adhesive Technologies Key financials Q Sales in m, OSG 1 in % EBIT Margin Adj. in % NWC in % of Sales +4.9% +20bp -20bp 2,272 2, Q3/16 x Q3/17 x2 Q3/16 x Q3/17 x2 Q3/16 x Q3/17 x2 1 Volume: 4.4% Price: 0.5% 20

21 Beauty Care Key financials Q Sales in m, OSG 1 in % EBIT Margin Adj. in % NWC in % of Sales +0.5% +60bp +230bp Q3/16 x Q3/17 x2 Q3/16 x Q3/17 x2 Q3/16 x Q3/17 x2 1 Volume: 0.4% Price: 0.1% 21

22 Laundry & Home Care Key financials Q Sales in m, OSG 1 in % EBIT Margin Adj. in % NWC in % of Sales +1.8% +/-0bp +40bp 1,479 1, Q3/16 x Q3/17 x2 Q3/16 x Q3/17 x2 Q3/16 x Q3/17 x2 1 Volume: 0.8% Price: 1.0% 22

23 Gross Margin impacted by acquisitions & input costs Sales in m, nom. growth % Gross Profit Adj. in m Gross Margin Adj. in % +4.9% +0.9% -190bp 4,748 4,981 2,315 2, Q3/16 PYQ Q3/17 CYQ Q3/16 x Q3/17 x2 Q3/16 x Q3/17 x2 23

24 Continued increase of Adjusted EBIT margin in m, % of sales 46.9% -22.2% % -4.1% -0.3% 18.0% 897 Adjusted Gross Profit Marketing, selling & distribut. expenses R&D Admin OOI/ OOE Adjusted EBIT 24

25 Fund Growth Initiatives Drive Margin Improvements Resource Allocation Net Revenue Management Most Efficient Structures ONE!Global Supply Chain Build-up of cost category ownership structure Laundry & Home Care North America completed Opening of fully automated warehouse in Düsseldorf Successful implementation in EU30 countries completed More than 120 initiatives, first benefits as of 2017 Henkel roll-out in Europe and in North America started 100+ robotics and automation software solutions running Go-Live in North America beginning of

26 Adaptation of our structures to the market in m Reported EBIT Q3/ One-time gains One-time charges Restructuring charges Adjusted EBIT Q3/

27 Net financial position in m - 1 bn -2,301-1,961-2,342-2,661-3,

28 Acquisitions: An Integral Part of Henkel s strategy Adhesive Technologies Beauty Care Laundry & Home Care Acquisitions throughout 2016 & 2017 strengthening leading positions across business units in Emerging Markets & Mature Markets Integration of acquisitions well on track, synergies ramping up Leveraging existing infrastructure of Shared Services and ONE!Global Supply Chain 28

29 Agenda 1 Key developments Q Financials Q Summary & Outlook FY

30 Q3 2017: Strong performance Topline driven by strong organic sales growth and acquisitions Emerging Markets as well as Mature Markets contributing to organic and inorganic growth Significant growth of adjusted EBIT driven by intensified cost management focus New high in adjusted EBIT margin Significant growth of Adjusted EPS Integration of all acquisitions well on track, successful closing of three acquisitions 30

31 : Strong performance driven by our global team Sales 15.1 bn Adjusted EBIT 2.7 bn Adjusted EPS 4.50 Organic Growth +3.1% +4.6% Adhesive Technologies +0.9% Beauty Care +2.2% Laundry & Home Care Adjusted EBIT Margin 17.6% 18.8% Adhesive Technologies 17.6% Beauty Care 17.6% Laundry & Home Care Adjusted EPS Growth +10.0% 31

32 Continued challenging environment in 2017 Geo-political tensions, political and macro-economic uncertainties Difficult conditions in the consumer goods markets persist Increasingly negative FX development Continuously high raw material prices Further drive growth with strong innovations, leading brands and intensified customer focus Increase the agility of our organization by constantly adapting structures to the market Fund growth with continued and rigorous cost focus 32

33 Guidance FY 2017 updated Organic Sales Growth Adjusted EBIT Margin FY 2017 previously 2-4% All Business Units within this range Improvement to a level above 17.0% FY 2017 updated Henkel: 2-4% Adhesive Technologies: 4-5% Beauty Care: 0-1% Laundry & Home Care: ~2% Improvement to a level above 17.0% Adjusted EPS Growth 7-9% ~ 9% 33

34 Upcoming events February 22, 2018 April 9, 2018 May 9, 2018 May 29, 2018 August 16, 2018 November 15, 2018 FY 2017 Earnings Release Annual General Meeting Q Earnings Release Investor & Analyst Day Laundry & Home Care Q Earnings Release Q Earnings Release 34

35 Thank you!

36 FY 2017: Additional input for selected KPIs updated FY 2017 previously FY 2017 updated Prices for Total Direct Materials Moderate increase vs. the level of the prior year Moderate increase vs. the level of the prior year Restructuring Charges m m CapEx m m 36

37 Continuous commitment to profitable growth Key financials Sales in m, OSG in % Gross Margin Adj. in % EBIT Margin Adj. in % EPS Pref. Adj. in +3.1% -140bp +20bp +10.0% 13,858 15, /16ö x ö1-9/17 x2 1-9/16ö Q1/16 ö1-9/17 Q1/17 1-9/16ö x ö1-9/17 x2 1-9/16ö x ö1-9/17 x2 37

38 Focus on disciplined cash management Key financials NWC in % of Sales Free Cash Flow in m Net Financial Position in m bp 5.6 1, % 1, m /16ö ö7-9/17 1-9/16 1-9/

39 Double-digit organic & inorganic sales growth in m, changes in % Organic & inorganic +10.3% +9.3% 13, % +0.2% +7.2% -1.0% 15,143 Sales Sales 1-9/16 Volume Price M&A FX Sales Sales 1-9/17 39

40 All regions growing in m, OSG in % Western Europe Eastern Europe Africa/Middle East +0.2% +4.8% +2.2% 4,586 4,591 2,061 2,207 1, /16 1-9/17 1-9/16 x 1-9/17 x2 1-9/16 x 1-9/17 x2 North America Latin America Asia-Pacific 2, % +5.6% +6.7% 3,890 2,385 2, /16 1-9/17 1-9/16 x 1-9/17 x2 1-9/16 x 1-9/17 x2 40

41 Adhesive Technologies Key financials Sales in m, OSG 1 in % EBIT Margin Adj. in % NWC in % of Sales +4.6% +40bp -20bp 6,705 7, /16 x 1-9/17 x2 1-9/16 x 1-9/17 x2 7-9/16 x 7-9/17 x2 1 Volume: 4.4% Price: 0.2% 41

42 Beauty Care Key financials Sales in m, OSG 1 in % EBIT Margin Adj. in % NWC in % of Sales +0.9% +40bp +230bp /16 x 1-9/17 x2 1-9/16 x 1-9/17 x2 7-9/16 x 7-9/17 x2 1 Volume: 0.2% Price: 0.7% 42

43 Laundry & Home Care Key financials Sales in m, OSG 1 in % EBIT Margin Adj. in % NWC in % of Sales +2.2% -50bp +40bp 4,157 5, /16 x 1-9/17 x2 1-9/16 x 1-9/17 x2 7-9/16 x 7-9/17 x2 1 Volume: 2.2% Price: 0.0% 43

44 Continued increase of Adjusted EBIT margin in m, % of sales 47.5% 7, % -2.3% -4.4% 0.0% 17.6% 2,660 Adjusted Gross Profit Marketing, selling & distribut. expenses R&D Admin OOI/ OOE Adjusted EBIT 44

45 Adaptation of our structures to the market in m 2, ,660 Reported EBIT 1-9/ One-time gains One-time charges Restructuring charges Adjusted EBIT 1-9/

46 Thank you!