Henkel’s Adhesives Technologies business sector com- prises five business units: Adhesives for Consumers, Craftsmen and Building, Transportation and Metal:
General Industry; Packaging, Consumer Goods and Construction Adhesives; and Electronics. Adhesives were up 2.7 percent
with sales of $11.174 billion.
“2013 was a very successful year for Henkel. Despite a challeng-
ing and highly competitive market environment, we achieved our
financial targets and made significant progress in implementing our
strategy 2016,” said Henkel CEO Kasper Rorsted. “We achieved
profitable growth and increased market share in all our business
units. All regions contributed to the solid organic sales growth. As
in previous years, emerging markets showed a very strong develop-
ment. In these countries, however, foreign exchange effects had a
stronger impact on reported sales.”
Looking at the fiscal year 2014, Rorsted said: “The economic
environment remains challenging and we expect persisting foreign
exchange effects, particularly in the first half of the year. Thus, we
will continue to further simplify and improve our processes and
structures, making us more flexible and more efficient. We are fo-
cused on implementing our strategy in order to deliver on our ambi-
tious financial targets for 2016.”
The economic environment for the Adhesive Technologies busi-
ness unit was characterized by moderate growth in relevant markets,
which was in many instances lower than initially forecasted. The
effects were felt mainly in the emerging markets outside Europe,
and in the markets of Western Europe and North America. Trends
in important industrial markets such as those in the automotive
and electronics industries were subdued. Private consumption re-
mained largely stable. Global market growth was again driven by
positive development overall in the emerging markets. The highest
rate of growth was seen in Asia (excluding Japan). The markets in
Western Europe and the mature markets of the Asia-Pacific region
declined slightly. The markets of North America showed a moder-
ate increase.
The Adhesive Technologies business unit achieved solid organic
sales growth in the reporting period, and an excellent increase in
adjusted return on sales, thus continuing its profitable growth trend
of the previous years. Organically – i.e. adjusted for currency ex-
change and acquisitions/divestments – sales grew by 2.7 percent
overall, slightly more than the market as a whole. This was achieved
through increases in both price and volume.
The sales increase was driven mainly by the emerging markets,
in which Henkel recorded strong growth. The Latin America region
performed particularly well with double-digit growth. Eastern Europe also recorded a strong rise in sales. The Asia-Pacific region
(excluding Japan) showed solid performance. Revenue development
in the Africa/Middle East region was positive. In the mature markets, organic sales growth was positive. North America posted a
positive performance year on year. Sales were stable in Western
Europe despite the difficult economic environment. However, sales
in the mature markets in Asia fell short of the previous year’s level.
Loctite Mobile Concept Car on the move
Henkel Indonesia has pioneered a new mobile training concept with
its Loctite Mobile Concept Car (MCC). The MCC, the first of its kind
for the adhesive industry in Indonesia, aims to train 900 customers
and distributors across Indonesia by the end of 2014.
The MCC is a mobile training room, fully equipped to support
technical training, demonstration and testing of Henkel’s adhesive
products and technologies under the Loctite brand. The training is
designed to train maintenance, parts and technical service engineers
on the use of Loctite’s anaerobic and cleaner products in a variety
of industries. These industries include heavy equipment, cement,
mining, pulp and paper, petrochemical and general manufacturing.
Based on the concept of ‘Bringing Solutions to You,’ the MCC
imparts technical knowledge and skills to customers and distributors at their sites, eliminating their need for travel to a central
learning facility. It comes furnished with product samples, hands-on material, testing equipment, an LCD TV to run videos and
presentation slides, a sound system and air-conditioning. On the
MCC, participants attend workshops, such as the Maintenance
Reliability Workshop, Surface Engineering Workshop and Loctite
Manufacturing Excellence.
Allan Yong, president of Henkel Indonesia, said, “The MCC
serves as an important platform for us to deepen our collaboration
with our customers and distributors. Following our first MCC in
Jakarta, the next step is to deploy more MCCs across Indonesia - in
East Java, Sumatra and Kalimantan.”
Henkel AG & Co. KGaA
Dusseldorf, Germany
www.henkel.com
PUBLIC COMPANY
YEAR ESTABLISHED: 1876
REVENUE: $11.174 billion s (2012: $10.61 billion)
MARKETS SERVED
• Adhesives • Sealants • Special Purpose coatings
KEY EXECUTIVES
Kasper Rorsted, chairman and CEO; Jan-Dirk Auris,
executive VP Adhesive Technologies and member of the
board. Senior VPs of Adhesive Technologies: Ramon
Bacardit, Research; Julian Colquitt, North America,
General Industry; Jean Fayolle, Packaging Industry; Eric
Holzbacher, Africa/Middle East, Consumer and Building
Industry; Paul Kirsch, Transportation and Metal Industry;
Michael Olosky, Asia Pacific; Matthias Schmidt, Financial
Director; Alan Syzdek, Electronics Industry.
