Henkel CEO Focuses on Expansion in U.S., Asia

Henkel KgaA chief executive Ulrich Lehner dampened speculation that the company was readying for a possible acquisition of rival Beiersdorf AG. He emphasized Henkel will concentrate on organic growth supported by acquisitions in the U.S. and Asia. Mr. Lehner declined to comment on whether the company would rule out a large acquisition in Europe.

In other news, The Henkel Group reported net profit in the second quarter rose 11.4% to EUR127 million compared with the previous year. Sales in the laundry & home care business sector in the second quarter rose by 4.8% after adjusting for foreign exchange effects. Sales in the cosmetics/toiletries business sector were 2.7% up on the previous year’s quarter after adjusting for foreign exchange effects. Sales in hair cosmetics developed particularly well, according to executives.

Ecolab Inc., St Paul, MN, in which Henkel has a 27.9% stake, reported sales of $947 million in the second quarter of 2003, an increase of 13% compared with the previous year. The Clorox Company, Oakland, CA, in which Henkel has a 29.4% stake, reported sales of $4.1 billion in its fiscal year 2002 to 2003, up 3% over the previous year.