Henkel drops on weak Q4 sales momentum, 2025 guidance

Henkel AG & Co KgaA

11/03/2025 08:36

** Shares in Henkel HNKG_p.DE sink 8% after the German consumer goods and adhesives maker gave a soft guidance for 2025 organic sales growth on Tuesday, projecting a slower start to the year after a slowdown in business in Q4

** "Overall, while we are pleased by the strong FCF and cash return news, the slowdown of the business in Q4 along with the weaker outlook in Q125 is disappointing," J.P. Morgan says

** Henkel recorded softening sales momentum in Q4, Stifel notes, with weaker-than-expected +1.1% organic sales growth compared to +3.6% expected by consensus

** JPM notes that Henkel guided to H2-weighted delivery, with Consumer -2% to -4% LFL in Q1 likely to be seen as particularly disappointing

** "All in all, mixed news from Henkel this morning, with weakening sales momentum and 2025 cadence skewed to H2 on the negative side," Stifel says

** The stock is on track for its worst day in three years

 (Reporting by Linda Pasquini)

 ((Linda.pasquini@thomsonreuters.com))