Henkel has attributed price increases and growth in its consumer and professional hair care business to strong third quarter 2022 fiscal results.
The German personal care giant reported an +11.3% organic sales increase across the board.
The double-digital rise is “a new all-time high for quarterly sales”, achieving around €6bn in revenue.
Although the group’s Adhesive Technologies unit was the biggest driver, beauty played its part in the growth.
Sales in Henkel’s beauty care division increased +8.4% nominally, up +0.9% year-on-year.
Despite reporting declining volumes during this time – attributed to the group’s planned “portfolio optimisation measures” – this was offset with double-digit price increases.
Henkel is preparing to merge its Beauty Care and Laundry & Home care units into a single organisation known as Henkel Consumer Brands.
The group plans to have the organisation in place by early 2023 and expects the category to be impacted until then.
“In a market environment that remains extraordinarily challenging, we continued to drive our strategy execution and achieved clear double-digit sales growth,” said Henkel CEO Carsten Knobel.
“We have consistently driven forward the implementation of our portfolio optimisation measures, continued our strict cost management and worked on further efficiency improvements.”
Hair Cosmetics was the group’s strongest performing beauty category in Q3.
The Hair Styling business reported a double-digit increase in organic sales during this time.
Soaring sales in its Hair Colorant and Hair Care businesses were also behind the boost.
This was “driven in particular by the emerging markets”, said the brand.
Sales in the group’s Body Care category, however, were down year-on-year.
Henkel is now raising its full year guidance for organic sales to between +7% to +8% for the remainder of the year.
However, expected sales for its Beauty Care business has only increased nominally to between -1.0% and 0.0%.
The group expects the unit to continue to be impacted by its portfolio merger.
Blondme, FibrePlex, Kenra Professional, Natural Styling and Schwarzkopf are among the hair care brands that sit within Henkel’s portfolio.