Henkel AG & Co. KGaA announced earnings results for the first quarter of 2013. For the quarter, the company reported that its sales were up by 0.6% to the level of EUR 4,033 million. The company reported operating income of EUR 38 million. The company’s adjusted EBIT was EUR 600 million and that led to an adjustment EBIT margin, as already pointed out, of 14.9% and with that being up 120 basis points supported by all 3 business divisions. Adjusted EBIT margin was 15.0%. Earnings per share was EUR 0.96 per share. For the quarter, the company’s sales were EUR 4,033 million, an increase of 0.6% year on year. Adjusted operating profit improved by 8%, from EUR 551 million to EUR 600 million. Operating profit (EBIT) was EUR 565 million compared to EUR 538 million in the prior-year quarter. Net income for the quarter rose by 8.9% from EUR 370 million to EUR 403 million. After deducting EUR 10 million attributable to non-controlling interests, quarterly net income amounted to EUR 393 million. Adjusted net income for the quarter after deducting non-controlling interests was EUR 417 million compared to EUR 369 million in the prior-year period. Earnings per preferred share (EPS) rose from EUR 0.84 to EUR 0.91. The adjusted figure was EUR 0.96 compared to EUR 0.85 in the first quarter of 2012. Adjusted operating profit rose significantly by almost 10% to EUR 176 million. The company reaffirmed its earnings guidance for the year 2013. For the year, the company's sales guidance is expected to be between 3% to 5%, EPS to be 10% and margin to be 4.5%. The company expects to generate organic sales growth of between 3% and 5% in fiscal 2013. The company is confident that each business sector will grow within this range. The company confirms its guidance for adjusted return on sales (EBIT) of about 14.5% and assumes that all business sectors will contribute to the increase over the prior year. The company further expects an increase in adjusted earnings per preferred share of about 10%. This guidance is based on anticipated increases in Henkel's selling prices and the ongoing adaptation of its structures to the constantly changing market conditions. Through these activities and the maintenance of its strict cost discipline, company intends to more than offset the effects of rising raw material costs on its earnings.

Henkel has developed an array of innovative product solutions covering the full range of powertrain manufacturing processes. Henkel offers a select range of electroceramic coatings suitable e.g. for the coating of IC engine pistons. With its unique combination of innovative products and process know-how, Henkel not only contributes to the smooth and cost-efficient production of powertrain components but also helps enhance durability, safety and sustainability through compliance with the high quality standards. Henkel has solutions supporting every step along the value chain: Cleaning, cooling and lubrication during the manufacture of powertrain components, plus surface treatment, bonding and sealing at the assembly stage. Henkel -- world market leader for adhesive technologies -- thus plays a significant role in shaping trends in the automotive industry. Worthy of particular mention in this respect is the growing importance of lightweight construction technologies and the constant need to reduce emissions and fuel consumption. Under the brands Loctite and Bonderite, Henkel is able to offer a select range of electroceramic coatings (ECC) for various engine and exhaust system applications. Suitable for aluminum, titanium, magnesium and their alloys, these coatings enable such metals to be used in the manufacture of light constructions that would normally require steel, thus greatly reducing vehicle weight. With beneficial tribological properties leading in particular to reduced wear, Henkel's electroceramic coatings also contribute significantly to increasing engine component efficiency and saving fuel. Tests also show that ECC helps reduce harmful engine emissions by diminishing the quantity of nitrogen oxides produced during fuel combustion. Further, diesel engines are found to be less noisy, thus meeting the ever present need for quieter vehicles. Henkel's electroceramic coatings further combine outstanding corrosion protection with high resistance to extreme thermal loading, satisfying the prime prerequisites for, say, exhaust system and turbocharger component longevity. ECC also delivers top performance for Porsche Motorsport, with which Henkel has a mutually beneficial collaboration agreement. Henkel is committed to supporting this partner not only as an official Porsche Mobil 1 Supercup sponsor but also through heavy involvement in Porsche's product development activities. Henkel products are therefore regularly tested by Porsche under the extreme conditions that only motor sport can provide.

Henkel AG & Co. KGaA established a brand new processing and testing line in Shanghai (P.R. China) to focus on Electro Ceramic Coating (EC(2)) technology in Asia-Pacific. This laboratory will serve customers who are interested in using EC(2) to replace traditional coating methods for corrosion protection, as well as customers who require the new high performance benefits of reduced friction and reduced emissions in internal combustion engines. Located in Henkel's Asia-Pacific R&D center in Shanghai, this 100-square-meter lab, equipped with world-class infrastructures and led by an experienced technical team, will develop and test electro ceramic coatings tailored to the customer's requirements. Henkel already has three EC(2) laboratories around the world, located in Detroit (United States), Düsseldorf (Germany) and Yokohama (Japan). The new lab in Shanghai now makes it possible to quickly tailor the coating process based on the specific requirements of local customers in China and Asia Pacific. Performance and analytical characteristics can also be tested on site in the well-equipped Henkel Analytical Center. New high-performance benefits of EC(2) include the reduction of friction and improvement of wear characteristics, and the reduction of emissions in internal combustion engines. Applications of this technology include: marine outboard engines, automotive engine pistons, exhaust gas recirculation and turbo parts, HVAC, pistons for small engines, pumps and valves, cookware, lighting, and many more components across industries. The new EC(2) processing and testing lab will allow Henkel to develop more lightweight and environmentally-friendly solutions to help customers reach their targets of emission reduction and fuel efficiency. It will not only reinforce Henkel's Asia-Pacific technical capability, but also proactively support the innovation process at the customer end. Besides, it can bring extra value to the customers by enabling Henkel to respond more rapidly to their requirements.