Henkel achieves new highs in sales and earnings
Henkel achieves new highs in sales and earnings
“2017 was a successful year for Henkel. Despite challenging and volatile market conditions, we reached new record levels in sales and earnings and achieved our financial targets for the year. This strong performance was driven by our engaged and passionate global team. For the first time, we exceeded annual sales of €20 billion ($20.81 billion). We also achieved record margins and new highs in earnings per share — in line with our commitment to deliver sustainable profitable growth,” said Henkel CEO Hans Van Bylen.
“We focused on the implementation of our strategic priorities and achieved substantial progress with many key initiatives and projects. In the course of the year, we also made several attractive acquisitions which will complement and further strengthen our portfolio.”
For 2018, Henkel expects to generate organic sales growth of 2 to 4 percent with each business unit in this range. For adjusted return on sales (EBIT), Henkel anticipates an increase to more than 17.5 percent with all three business units contributing. Reflecting the uncertainties in the currency markets, especially the US dollar trend, Henkel expects an increase in adjusted earnings per preferred share in euro of between 5 and 8 percent.
“Going forward, we will continue to focus on sustainable profitable growth with attractive returns. We are committed to deliver on our financial ambition 2020,” said CEO Bylen.
In the fiscal year 2017, sales exceeded €20 billion for the first time and increased by 7 percent to €20,029 million. Foreign exchange movements had an overall negative effect of 2 percent on sales. Acquisitions and divestments accounted for 5.9 percent of sales growth. Organic sales, which exclude the impact of foreign exchange effects and acquisitions/divestments, showed a strong increase of 3.1 percent. This improvement is in line with the full year guidance of 2 to 4 percent organic sales growth.
32 countries taking part in Saudi Build 2018
The Riyadh Exhibitions Company Ltd. is hosting Saudi Build 2018 from Monday to Thursday at the Riyadh International Conference and Exhibition Center. The Saudi Export Development Authority, which seeks to strengthen Saudi Arabia’s non-oil exports in line with Saudi Vision 2030, is the event’s platinum sponsor.
The event comes at a time when the Saudi building equipment market is steadily growing. The industry is expected to achieve a compound annual growth rate of 3.1 percent between 2017 and 2022.
The 30th edition of the largest international construction technology and building materials exhibition in Saudi Arabia brings together local and international experts, decision-makers, and leaders to discuss emerging investment opportunities arising from the government’s $3.5 billion allocation for the construction of roads and bridges this year. Allocating higher funds aims to further diversify the Kingdom’s economy in line with Saudi Vision 2030.
Mohammad Al Al-Sheikh, head of marketing, Riyadh Exhibitions Company Ltd., said: “Saudi Build 2018 is taking place amid increased construction activities, especially in the industrial and commercial sectors, in the local market in keeping with the goals of the National Transformation Program 2020 and Saudi Vision 2030. The event will give all participants a direct access to the promising opportunities the Saudi market has to offer. Investors interested in entering the domestic market and beating the competition will benefit from the event. This year, it will focus on sustainable construction, which plays a key role in the government’s economic diversification plan and sustainability goals. Investors and decision-makers from the government and private sectors are expected to attend to explore current and future construction projects in Saudi Arabia. The construction sector now accounts for 45 percent of the total construction industry in the Middle East.”
Saudi Build 2018 will be held in conjunction with Saudi Stone Tech 2018 and Saudi PMV Series 2018. All three events will give visitors deep insights into the latest innovations and developments in the construction sector. Saudi Build 2018 is expected to bring together 512 exhibitors from 32 countries and more than 15,000 visitors who will participate in the event’s interactive presentations and workshops.
Al Al-Sheikh added: “Saudi Build 2018 is a result of our long efforts to create a world-class platform for local, regional and international building and construction industry leaders, backed with 38 years of experience in organizing a series of leading exhibitions and conferences that contribute to the growth of the Saudi economy. We are optimistic that the event will further enhance the confidence of the international community in the domestic construction industry.
The value of the country’s current construction projects is at $284.3 billion, while over 700 projects are expected to be launched in the coming months and to be completed by 2022.”