Latest news with #AdhesiveTechnologies
Yahoo
15-05-2025
- Business
- Yahoo
#AViewFrom Henkel North America: Greenville, SC
#AViewFrom Henkel North America series Did you know that Henkel North America employs approximately 8,000 employees in more than 70 sites across the U.S. and Canada? Collectively, these sites support two business units: Adhesive Technologies and Consumer Brands. NORTHAMPTON, MA / / May 15, 2025 / Our #AViewFrom series features select locations, sharing information and facts about our sites across Henkel North America. Take a stroll down the grocery store aisle, and you'll see numerous products that use water-based adhesives that are produced at Henkel's Greenville, South Carolina manufacturing facility. If an e-tailer package is delivered to your front door, you also benefit from adhesive-related products manufactured in this facility. From tissue to paper towels and bottle labels to Amazon® padded mailers, adhesive materials made by the team at this site are in all of these products and likely part of your life. Learn more in this segment of #AViewFrom: Greenville, SC. Henkel's Greenville, SC operation runs 24 hours a day, five days a week, with three production shifts, making water-based adhesives and unique packaging formulations that are used for tissue and paper towel production, bottle labeling, food package sealing, and, perhaps most famously, durable impact-resistant - yet recyclable - padded mailers for the world's largest e-tailers. Within this 82,000 sq. ft. facility, the tight-knit group of 46 employees manufactures EPIX® brand packaging chemistries, AQUENCE® brand tissue and towel adhesives, and LOCTITE® brand materials that seal food packages and secure paper and foil labels to glass and plastic bottles. Greenville supports Henkel Adhesive Technologies' packaging and consumer goods business units, shipping products worldwide from this southeastern USA-based site. "Our team is so focused and passionate about our work, ensuring we consistently produce the highest-quality materials." Over 500 adhesive products are made at the Greenville plant, and manufacturing that many distinct formulations takes tremendous knowledge, dedication, and teamwork. This group of employees - many who have worked here for over 20 years - is extraordinary; they support each other, take great pride in a job well done, and have fun together! The results speak for themselves. It's why we hold an incredible safety record and enthusiastically take on products that outgrow other facilities." Constructed in 1969, the Greenville facility joined the Henkel network in 2004 as part of the company's purchase of Sovereign Specialty Chemicals. Within the plant, four manufacturing cells house 21 kettles that, in 2024, produced 36 million kgs of material. Like all Henkel operations, sustainability is imperative, and Greenville's NoWa (no waste) project is making significant progress toward resource conservation. Water consumption has been cut in half, water reuse programs are in place, the transition to 100% LED lighting is underway, and digital sensors are installed throughout the facility to monitor and analyze energy use to drive efficiency. Greenville is also a zero-waste-to-landfill facility, diverting nearly all its production waste away from landfill sites for reuse or energy conversion. Safety is the top priority for employees at Greenville, and the team takes great pride in the facility's excellent safety performance and culture. "We want everyone to go home exactly the way they came to work, which is why the plant's safety culture is so vital." "The engagement in safety protocols is not a top-down directive; it is a mindset that our entire organization embraces because we sincerely care about each other and this plant's success." COMMUNITY PARTNERSHIP In an initiative that delivers sustainability and community enrichment, Henkel's Greenville plant has partnered with a local non-profit to repurpose the site's wooden pallets. "Instead of disposing of pallets or spending fuel transporting them far from our site, we donate them to an animal refuge in our community called Izzie's Pond," explains Jackson Tarleton, Sustainability Specialist. Partnering to Recycle Pallets The Greenville plant, and the nearby Enoree, South Carolina adhesives facility, donate used wooden pallets to Izzie's Pond, a nonprofit that sells some of the pallets to help fund its wildlife rescue and rehabilitation activities and uses others to house wildlife rescues. Henkel's donation of items that would otherwise be treated as waste has enabled Izzie's Pond to maintain the critical medical care to over 500 animals injured or orphaned while minimizing the need to dispose of the pallets as landfill waste. "Some of the pallets are used to construct enclosures that house rescued animals until they are rehabilitated and can return to the wild. It's gratifying to be a part of this effort, where animals -- and our pallets! -- get a second chance." CULTURE AND CAREER Greenville's small size is advantageous for employees eager to learn, move within departments, and gain valuable, marketable knowledge. "Willingness to embrace new challenges offered at our Greenville site has led to new opportunities, and I'm a prime example." Kory Anderson came to Henkel after beginning his career in finance. "I started in quality control and am now the materials coordinator. I'm also part of our culture-based safety and sustainability teams and have even participated in some plant communications projects. There's no lack of opportunity to upskill!" Greenville coworkers' compassion and caring for each other is palpable; colleagues describe each other as family. Robert Johnson, a production operator affectionately known as 'RJ', is one of them. After a medical incident at home led to emergency surgery, RJ was deeply touched - but not surprised - by what he witnessed following his procedure. "When I woke up, the plant management team was by my bedside. I have no immediate family in this area, but I have my Henkel family. The sincere support of everyone at this site is heartwarming and makes going to work every day a joy." View additional multimedia and more ESG storytelling from Henkel on Contact Info:Spokesperson: HenkelWebsite: info@ SOURCE: Henkel View the original press release on ACCESS Newswire
Yahoo
09-05-2025
- Business
- Yahoo
Henkel AG & Co KGaA (HELKF) Q1 2025 Earnings Call Highlights: Navigating Challenges with ...
Organic Net Sales Growth: Group level at -1%; Consumer business at -3.5%; Adhesive Technologies at +1.1%. Revenue: EUR5.2 billion, down 1.4% from the prior year quarter. Gross Margin: Strong performance noted, specific figures not provided. EBIT Margin: Strong performance noted, specific figures not provided. Pricing Contribution: Group level at +1.4%; Consumer brands at +2%. Volume Development: Negative territory, particularly in the consumer business. Regional Performance: Asia Pacific +3.6%; India, Middle East, Africa +4.6%; Latin America +1.5%; Europe and North America declined. Adhesive Technologies Sales: EUR2.7 billion. Consumer Brands Sales: EUR2.5 billion. Innovation Pipeline: Stronger contributions expected in the second half of 2025. Adjusted EBIT Margin Guidance: 14% to 15.5% for the group. Adjusted EPS Growth Guidance: Low- to high-single-digit percentage increase at constant exchange rates. Share Buyback: Up to EUR1 billion planned by Q1 2026. Warning! GuruFocus has detected 3 Warning Sign with HELKF. Release Date: May 08, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Henkel AG & Co KGaA (HELKF) reported strong gross and EBIT margins in Q1 2025, indicating robust financial health. Adhesive Technologies delivered organic net sales growth of 1.1%, with a good balance between volumes and pricing. The company successfully closed the divestment of its retailer brands business in North America earlier than anticipated, completing its strategic portfolio optimization program. Henkel AG & Co KGaA (HELKF) is launching a new share buyback program of up to EUR1 billion, demonstrating confidence in its financial position. The company has a well-filled M&A pipeline and continues to invest in tech-driven innovations, particularly in its consumer brands segment. Henkel AG & Co KGaA (HELKF) reported a minus 1% organic net sales growth for Q1 2025, reflecting a softer start to the year. The consumer business experienced a decline of 3.5% in organic sales, impacted by muted consumer sentiment and customer destocking, particularly in the US. Volume development was negative, influenced by supply chain challenges and high prior year comparables. The company faces a challenging macroeconomic environment with increased volatility and uncertainty, particularly in North America. Henkel AG & Co KGaA (HELKF) anticipates continued headwinds from foreign exchange effects and raw material prices throughout 2025. Q: Can you explain the factors affecting volume growth in consumer brands for Q1, and do you still expect positive volumes for the year? A: The volume decline was due to subdued consumer sentiment, customer destocking, particularly in the US, and supply chain challenges, which have mostly been resolved. We still expect positive volume growth for the year, supported by a strong innovation pipeline in the second half. (Carsten Knobel, Chairman of the Management Board) Q: Why haven't you updated your 2025 margin guidance despite strong Q1 performance? A: We are well within our guidance range, but due to the volatile and uncertain macro environment, we prefer to maintain a wider range for now. (Carsten Knobel, Chairman of the Management Board) Q: What are the drivers behind the decline in Fabric & Home Care in Europe, and how do you plan to compete with private labels? A: The decline is due to pressure on household budgets and elevated private label shares. We plan to compete with innovations and better product quality. In Europe, private label share is about 20%, compared to 5% in North America. (Carsten Knobel, Chairman of the Management Board) Q: How do you view the outlook for industrial end markets, particularly autos and electronics? A: Automotive remains challenging, but we see strong growth in electronics and industrials. We are confident in our adhesives guidance due to our broad market presence and strong product pipeline. (Carsten Knobel, Chairman of the Management Board) Q: With all companies expecting a better H2, how much of your improvement is expected from sell-out versus sell-in? A: We expect improvement from both sell-out and sell-in, supported by a strong innovation pipeline and the resolution of supply chain challenges. Destocking in North America is also leveling out. (Carsten Knobel, Chairman of the Management Board) Q: If the US macro environment continues to deteriorate, would you delay innovation launches? A: We do not plan to delay innovation launches. Our pipeline is set for the year, and we expect the consumer sentiment to improve in the second half. (Marco Swoboda, Executive Vice President - Finance, Purchasing, Global Business Solutions) Q: Can you confirm if you expect acceleration in Adhesives even if autos remain weak? A: Yes, we expect acceleration in Adhesives due to strong performance in other segments like electronics and industrials, despite challenges in automotive. (Carsten Knobel, Chairman of the Management Board) Q: How do you plan to address the competitive environment in consumer brands with all companies increasing innovation and marketing spend? A: We focus on impactful innovations and strong marketing investments to drive growth. Our top 10 brands have been outperforming, and we have resolved supply chain issues. (Carsten Knobel, Chairman of the Management Board) For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Yahoo
12-03-2025
- Business
- Yahoo
Henkel AG & Co KGaA (HELKF) Q4 2024 Earnings Call Highlights: Record Gross Margin and ...
Organic Sales Growth: 2.6% for the group; Adhesive Technologies at 2.4%; Consumer Brands at 3%. Gross Margin: 50.6%, highest in over 30 years, up nearly 500 basis points from the previous year. Adjusted EBIT Margin: 14.3%, an increase of 240 basis points from the previous year. Free Cash Flow: EUR 2.4 billion. Adjusted EPS Growth: 25% increase at constant currencies. Dividend Proposal: 10% increase to EUR 2.04 per preferred share. Share Buyback: Up to EUR 1 billion announced. Net Financial Position: Minus EUR 93 million. Adhesive Technologies Sales: EUR 11 billion with an adjusted EBIT margin of 16.6%. Consumer Brands Sales: EUR 10.5 billion with an adjusted EBIT margin of 13.6%. Portfolio Optimization Savings: EUR 525 million expected by year-end. Warning! GuruFocus has detected 7 Warning Signs with HELKF. Release Date: March 11, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Henkel AG & Co KGaA (HELKF) delivered strong top and bottom line performance in 2024, with organic sales growth of 2.6%. The company achieved the highest gross margin in over 30 years at 50.6%, with significant improvements in both Consumer Brands and Adhesive Technologies. Henkel successfully concluded its portfolio optimization measures ahead of schedule, achieving targeted savings of EUR 525 million by the end of 2024. The company reported a strong free cash flow of EUR 2.4 billion and a 25% increase in adjusted EPS, leading to a proposed 10% dividend increase and a new share buyback plan. Henkel's Consumer Brands business saw strong growth, particularly in hair care, and the company is confident in further top and bottom line growth for 2025 despite a challenging environment. Henkel's North American market faced challenges, with both business units experiencing a year-on-year decline due to a challenging industrial market environment. The company anticipates a slower start to 2025, with subdued market growth in Q1 and high prior year comparables impacting performance. Henkel's Adhesive Technologies business experienced a softer Q4, particularly in the automotive segment, impacting overall performance. The company faces ongoing volatility and uncertainty in the macroeconomic and geopolitical environment, which could impact future performance. Henkel's Consumer Brands business is dealing with nonrecurring operational challenges related to supply chain optimization, affecting Q1 2025 performance. Q: Can you elaborate on the first quarter guidance and the impact of one-off disruptions and promotional activities? Are there any delistings due to pricing strategies? A: The slower start in Consumer Brands is due to high comparables from early 2024 innovations, a softer market, particularly in the US, and nonrecurring one-offs related to the 1-1-1 approach. There are no delistings due to pricing strategies, but some destocking by retailers has impacted volumes. We expect an acceleration in H2, supporting our 1% to 3% growth guidance for 2025. Carsten Knobel, CEO Q: What caused the sequential growth decline in Adhesives in Q4, and what are the expectations for 2025? A: The decline was mainly due to a softening in the industrial markets, particularly automotive, and a downgrade in the IPX index. However, electronics performed well, and we expect 2% to 4% growth in 2025, with stronger performance in H2. Carsten Knobel, CEO Q: How has demand in key customer industries for Adhesives held up in Q1, and what is the outlook for Consumer Brands? A: Adhesives are experiencing a softer market, particularly in North America, but we are outperforming the market. In Consumer Brands, we expect stronger performance in H2 due to innovation launches and the conclusion of portfolio measures. Carsten Knobel, CEO Q: With gross margins at all-time highs, why is the gap between gross and EBIT margins increasing? A: We have increased investments in marketing and advertising to support brand equity and top-line growth, which impacts SG&A expenses. Despite divestments, we are focusing on innovation and brand support. Marco Swoboda, CFO Q: Could Adhesives benefit from increased European defense and infrastructure spending? A: While Germany is not a major market for us, increased spending could positively impact our Adhesives business, particularly in defense-related applications. Carsten Knobel, CEO Q: Was there any market share loss or repricing event in Adhesives in Q4, and what is the outlook for 2025? A: There was no significant market share loss or repricing event. We expect to outperform the market in 2025, driven by positive volumes and robust pricing, particularly in electric vehicles and electronics. Carsten Knobel, CEO Q: What factors contribute to the expected stronger performance in H2 for Consumer Brands? A: The stronger H2 is expected due to a more pronounced innovation pipeline, nonrecurring operational impacts being resolved, and the positive impact of portfolio measures. Carsten Knobel, CEO Q: What is the outlook for free cash flow and M&A opportunities in 2025? A: We expect free cash flow to remain strong, above EUR2 billion, supporting potential M&A opportunities in both business units. We are confident in our financial foundation to pursue attractive acquisitions. Marco Swoboda, CFO For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
Associated Press
31-01-2025
- Business
- Associated Press
#AViewFrom Henkel North America: Mentor, OH
Did you know that Henkel North America employs approximately 8,000 employees in more than 70 sites across the U.S. and Canada? Collectively, these sites support two business units: Adhesive Technologies and Consumer Brands. Our #AViewFrom series features select locations, sharing information and facts about our sites across Henkel North America. Tightly sealed windows, flooring that stays put, and element-resistant siding that looks beautiful are all made possible with the sealants and adhesives produced at Henkel Adhesives Technologies' Mentor, Ohio facility. This is a site on the move, running seven days a week, powered by a dedicated team working to manufacture the products construction pros and do-it-yourselfers depend on. Learn more in this #AViewFrom segment. Near the shores of Lake Erie, one of the United States' Great lakes, sits Henkel's 196,000 sq. ft. Mentor, OH site, where about 140 employees manufacture construction adhesives and sealants for the company's Consumers & Craftsmen (ACC) business. Marketed under the LOCTITE®, OSI®, and LEPAGE® brands, among others, this facility produces over 44 million cartridges of solvent-free and solvent-based adhesives and sealants annually to support North American professional and retail customers. The products are used for various kitchen and bath, window, door, flooring, and siding applications and are essential for preventing air and moisture ingress, securing flooring materials, and protecting against water damage on exterior siding. 'Our operation is highly complex and requires extreme precision,' explains Plant Operations Director Joseph Perdue. 'Unlike facilities serving industrial customers, where the material is filled into large drums, we produce point-of-sale cartridges in more than 20 different bulk formulations for 5 different brands. Consumers expect each 9.5 oz-tube of material to look and perform the same – every time.' Our team of operators, quality control professionals, maintenance and engineering specialists, and product development experts are dedicated to making sure every formulation is mixed, filled, and packaged to exacting standards and that product consistency is bar none. Our exceptional reputation depends on it. Joseph Perdue, Plant Operations Director Like its water-based sealant and adhesives sister plant in LaGrange, GA, the Mentor, OH site has been in existence since 1984 and joined the Henkel manufacturing footprint in the early 2000s following the company's acquisition of OSI Sealants. The high-volume operation runs 24 hours a day Monday through Friday, with partial weekend production as well. Mentor was recognized in 2013 as Henkel's best global plant and, in 2019, was the recipient of significant capital investment to upgrade equipment and drive manufacturing efficiency. This year, two new high-speed filling lines were installed, helping to increase capacity, and freeing valuable resources for high-changeover production, such as Mentor's color-matched sealant lines. Protecting natural resources is a hallmark of the Henkel Mentor plant, which is a carbon-neutral operation and a zero-waste-to-landfill site. No water is used in production processes here, and the team strives to significantly reduce manufacturing waste. With its color-matched line, for example, changing over the sealant colors means the first several tubes post-changeover will result in a mixture of the previous color and the new color. Instead of scrapping this material, the company sells its 'rainbow caulk' at a reduced price compared to its color-specific varieties. For applications where the sealant will not be visible, this is a perfect solution for waste reduction and consumer cost savings. DID YOU KNOW? The Mentor facility manufactures products that are specifically designed to color match various construction and design materials such as paints, windows and doors. More specifically, the plant produces hundreds of color-matched OSI® brand sealants for color-coded products made by well-known construction material and supply manufacturers with a Color ID system to help find the perfect color match. The Mentor plant's color matching capability and Color ID system gives customers and consumers options to match to existing building materials and supplies from well-known suppliers. COMMUNITY ENGAGEMENTEngagement with the local community is central to Mentor's success and demonstrates its commitment to supporting area initiatives. Recently, the plant's focus has been to create awareness of the types of jobs available at the manufacturing facility and in various support functions. In September, a team of employees attended a career fair at the Case Western Reserve University to promote Henkel jobs and internships. In October, as part of the Mentor plant's Manufacturing Day activities, employees participated in the local high school's 'Think Manufacturing' career fair where Senior Manufacturing Engineer Scott Schwickerath, Administrative Assistant Amia Martorana, and Packaging Operator Katy Shaffer, connected with students to discuss the variety of career opportunities at Henkel. The Gen Z crowd was all ears and had plenty of questions. Hopefully, some of them are inspired to take the next step! CULTURE AND CAREER'Opportunity is everywhere at this site,' shares Amia Martorana, who worked as a machine operator for two years before becoming the administrative assistant. If you want to learn, if you're curious, and have a passion for the business, there are multiple avenues for advancement. And management's support is extraordinary. I'm also a college student and appreciate being able to simultaneously pursue two goals – education and professional development. Amia Martorana, Site Administrator Recognizing and valuing employees has been vital to building Mentor's unique culture. When you operate a multi-shift site, traditional all-staff events are difficult to organize. Instead, we do shift-specific appreciation events like summer cookouts and holiday parties, which occur between shifts so that everyone can participate.
