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26-Sep-2016  Rocky Hill, Conn.

Henkel Celebrates 140 Years of Global Innovation

  • “Henkel Day” celebrations planned around the world including 51 Henkel North America sites
  • 6,200 Henkel North America employees contributed to record regional sales growth of 26.5% in 2015
  • Henkel recognized among Fortune’s “Most Admired Companies” and in the Dow Jones Sustainability Index for 2016
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Open Slideshow Company founder Fritz Henkel (1876)

Company founder Fritz Henkel (1876)

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It all started in 1876 with a three-man firm, which Fritz Henkel founded with two business associates in Aachen.

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Henkel’s top three brands – Persil, Schwarzkopf and Loctite – generated combined sales of 5.9 billion euros (equivalent of approximately $6.6 billion) in 2015.

Open Slideshow Mitchell McClerking from the St. Louis facility, works on the Renuzit® brand.

Mitchell McClerking from the St. Louis facility, works on the Renuzit® brand.

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25 reports – 25 cover pages: 2016 Henkel published its 25th sustainability report.

Today, Henkel (“the Company”) celebrates 140 years of innovation, sustainability leadership, and customer satisfaction globally. In North America, Henkel continues to grow at a record pace as the Company launches new products, creates solutions for the region’s top corporations and household brands, achieves significant milestones toward its 2030 sustainability goals, and becomes the number 2 player in the U.S. laundry segment.

“Today is a proud day for Henkel as we celebrate our 140-year legacy of innovation, sustainability, and successful partnerships with our customers and business partners,” said Jerry Perkins, President, Henkel North America. “This year, as we continue our vision to be a global leader in brands and technologies, we are especially excited to welcome new brands to our Henkel family and acknowledge the efforts of our employees who bring our values to life everyday through their tremendous contributions.”

Henkel highlights

From humble beginnings in 1876, to its first consumer product (Henkel’s “Bleaching Soda”) in 1878, to the origins of its Adhesive Technologies business in 1922, to its IPO in 1985, to a series of strategic acquisitions over the last 20 years, Henkel today is celebrating a major global milestone. Based in Germany, Henkel is a global company with 170 production sites in 55 countries around the world; more than 85 percent of global sales originate outside of Germany.

In North America, where Henkel has made significant progress related to sales growth and corporate and environmental sustainability goals, the Company employs more than 6,200, and the region generates approximately 20% of sales worldwide.

Some recent highlights from North America:

  • In 2016, Henkel announced its $3.6 billion acquisition of Sun Products Corporation, maker of well-known household brands all®, Sun®, and Snuggle®, among others. The acquisition makes Henkel the number 2 company in the U.S. laundry segment.
  • In 2015, Henkel launched Persil® ProClean® laundry detergent in the United States. Persil® is one of Henkel’s oldest and most beloved brands worldwide, available in 60 countries around the world. Persil® is now the number 1 rated laundry detergent according to a leading U.S. consumer testing publication.
  • In 2015, Henkel launched its first ever Super Bowl advertisement, for Loctite® brand adhesives, and in 2016 Henkel unveiled its Super Bowl ad for Persil® ProClean®, featuring the stain-fighting expert “The Professional.”
  • In 2015, Schwarzkopf – Henkel’s premium beauty care product line – launched dozens of new products in the United States and Canada.

More highlights, from the second quarter of 2016:

  • Henkel’s three business units each reported strong organic growth, with Laundry & Home Care leading at 5.3%, Adhesive Technologies at 2.6% and Beauty Care at 2.1% organic growth.
  • For the full year 2016, the Company expects adjusted return on sales to rise by more than 16.5%, beating expectations.
  • Sales of Persil® ProClean® laundry detergent grew by double-digits with strong sales in the United States.

These achievements are in addition to ongoing success across all of Henkel’s businesses, including in North America, where Henkel manufactures and markets brands like Loctite®, Dial®, Right Guard®, Renuzit®, Soft Scrub®, Purex®, and göt2b®.

Globally speaking:

  • Laundry & Home Care brands now account for 28% of Henkel’s global sales.
  • Adhesive Technologies accounts for more than 50% of sales globally, as Henkel continues to provide complex solutions to global leaders in the auto, electronics, safety, packaging, and lighting industries. Henkel is the number 1 adhesives producer in the world, and operates the largest adhesives factory in the world, in Shanghai.
  • Schwarzkopf® Professional is among the world’s three top suppliers of hair salon products, and Beauty Care accounts for more than 20% of Henkel sales globally.

Henkel strategic acquisition strategy

On September 2 of this year, Henkel announced the completion of its acquisition of Sun Products Corporation, in a deal valued at $3.6 billion. This represents the second-largest transaction ever undertaken by Henkel, and makes the Company the number 2 player in the North American detergent market.

The Sun acquisition is another in a long series of strategic investments and activity, beginning with Henkel’s IPO on October 11, 1985. Since then, global sales have increased from the equivalent of $5.2 billion to more than $20 billion in 2015.

The largest acquisition to date was that of National Starch’s adhesives and electronics businesses in 2008, which significantly strengthened Henkel’s Adhesive Technologies business unit – now the global market leader for adhesives, sealants, and functional coatings. Other important acquisitions that have shaped Henkel into the Company it is today include Schwarzkopf in 1985, Loctite in 1997, Dial in 2004, and Bergquist in 2014.

Henkel history

The Company has come a long way since September 26, 1876, when Fritz Henkel founded Henkel & Cie with two business partners in Aachen, Germany. When Fritz Henkel became the Company’s sole owner two years later in 1878, he moved the firm’s headquarters to Dusseldorf. Today, Henkel is an international corporation with more than 50,000 employees worldwide, global sales of more than $20 billion, and leading global brands like Persil®, Schwarzkopf® and Loctite®.

“Fritz Henkel was a true pioneer in every way – and it’s important to us to keep his entrepreneurial spirit alive,” said Dr. Simone Bagel-Trah, Chairwoman of Henkel’s Supervisory Board and Shareholders’ Committee, and great-great-granddaughter of the Company’s founder. “The Henkel name has stood for well-known, successful brands throughout the world for decades. We can all be very proud of this. The 140 years of successful business are mainly down to our employees, who contributed to Henkel’s success generation after generation.”

“Henkel has developed outstandingly well, and we are very well-positioned with our strong brands and innovative technologies,” added Hans Van Bylen, Chairman of Henkel’s Management Board. “We enjoy globally leading market positions in all the areas in which we operate. That’s why we are confident that the Company’s successful development will continue in the future, too.”

Sustainability, values and culture

Henkel’s Vision and Values guide the choices and decisions its employees around the world make every day. The Company is on track to achieve ambitious sustainability goals for the year 2030, at which time Henkel anticipates a one-third reduction in energy used across every business process and product around the world.

On September 12, Henkel was recognized in the 2016 Dow Jones Sustainability Index, the prestigious global ranking of corporations on social responsibility measures such as environmental stewardship and labor practices. Only 10 percent of the world’s 2,500 largest companies are selected each year.

Henkel’s 2030 sustainability strategy centers around the ambitious goal of reducing by one-third the energy needed and materials created and used to make Henkel products and implement Henkel processes. For more information, visit henkel-northamerica.com/sustainability.

In addition to holding a leading position in sustainability management, Henkel also leads in sustainability communications: Henkel was one of the first German companies to publish an annual environmental report, in 1992. This year, Henkel published its 25th Sustainability Report. The sustainability section of Henkel’s corporate website took first place in NetFederation’s 2016 Corporate Social Responsibility (CSR) benchmark, which compared 75 German companies.