Henkel results disappoint as beauty, adhesives lag

German consumer goods company Henkel reported a disappointing quarter of earnings and sales on Tuesday as its beauty unit underperformed in western Europe and China.

The maker of Schwarzkopf shampoo and Persil detergent saw sales rise by an organic 0.7 percent to 4.97 billion euros (4.25 billion pounds), while earnings per share fell 6 percent to 1.34 euros, versus analyst consensus for 4.99 billion and 1.37 euros.

Its adhesives business was hit by falling industrial production, contributing to the decline.

However, Henkel said it still confirmed its outlook for organic sales growth of between 2 and 4 percent in 2019 and for adjusted EPS to fall by a mid-single digit percentage.