Henkel raises full-year guidance on ‘strong’ H1 2026, despite softer consumer brands performance

The German personal care company’s recent acquisition of hair care brands Olaplex and Not Your Mother’s has contributed to a 3.2% rise in organic sales in the first half of 2026

Henkel has reported robust trading for the first half of 2026 with a 3.2% rise in organic sales to €10.3bn, prompting an increase in its full-year guidance.

The strong growth was underpinned by positive price and volume dynamics across business units, with operating profit also increasing 0.3% to €1.62bn.

However, on a non-organic basis, sales at the German consumer goods company decreased 0.5% to €10.35bn from €10.40bn reported a year ago.

Although the divestment of the company’s retailer brands business in North America in April 2025 hurt sales, the acquisitions completed in both business units in the first half of 2026 made a positive contribution.

Henkel’s acquisition of hair care brand Not Your Mother’s, completed in April 2026, was made to strengthen the consumer goods company’s position in the North American beauty market.

Henkel also announced its US$1.4bn deal to buy Olaplex in March 2026 to expand its “presence in premium hair care”, a previous company statement read.

Henkel CEO Carsten Knobel said: “Organic sales growth was once again driven by both business units, each of which achieved positive price and volume development.”

Henkel’s consumer brands business unit generated sales of €4.7bn euros in the first half of 2026, representing a nominal decrease of 3.5%.

This was offset by a stronger performance in hair care, which includes brands such as Schwarzkopf.

The Europe region recorded a decline in organic sales of 1.5%, and in contrast, North America achieved good organic growth of 2.4%.

Knobel added: “We are consistently executing our strategy with a clear focus on purposeful growth, and our results show the success of this approach.

“In the first half of the year, we delivered a very strong business performance overall while continuing to significantly invest in our future, including our brands, technologies and innovations.

As a result of the H1 performance, Henkel has raised its full-year organic sales growth outlook to be between 1.5% and 3.5%.

This is up from the 1% to 3% rise previously anticipated for 2026.

Knobel continued: “In addition, we significantly accelerated our M&A activity.

“We have agreed on five acquisitions with a total value of approximately €5bn that will substantially strengthen our two business units.

“Four of these acquisitions have already been closed.

“Over the coming years, the acquired businesses are expected to deliver above-average growth in the mid- to high-single-digit percentage range and contribute around €2bn in additional annual sales.

“This marks another important step in sustainably advancing our growth agenda.”