HEXPOL - Year-end Report 2016

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HEXPOL

03 Feb, 2017, 07:24 GMT

STOCKHOLM, Feb 03, 2017 /PRNewswire/ --

Fourth quarter 2016 – Increased sales and improved result

  • Sales increased 6 per cent to 2,753 MSEK (2,596).
  • Operating profit increased 6 per cent to 484 MSEK (456).
  • Operating margin amounted to 17.6 per cent (17.6).
  • Profit after tax rose to 374 MSEK (326).
  • Earnings per share increased 15 per cent to 1.09 SEK (0.95).
  • Operating cash flow rose to 567 MSEK (562).

Full year 2016 – Positive volume development and strong result

  • Sales amounted to 10,879 MSEK (11,229).
  • Operating profit amounted to 1,921 MSEK (1,964).
  • Operating margin increased to 17.7 per cent (17.5).
  • Profit after tax increased to 1,397 MSEK (1,393).
  • Earnings per share rose to 4.06 SEK (4.05).
  •  Operating cash flow amounted to 2,057 MSEK (2,185).
  • In the beginning of June, Berwin Group, a leading Rubber Compounder in the UK market, was acquired and the units have been integrated according to plan.
  • The Board of Directors proposes a dividend of 4.75 SEK per share, consisting of an ordinary dividend of 1.75 SEK per share (1.70) and a special dividend of 3.00 SEK per share.

President's comments

"The fourth quarter of 2016 was again a strong quarter – our best fourth quarter to date. The Sales increased 6 per cent and the volume development was positive. The operating margin improved from the third quarter to strong 17.6 per cent. Earnings per share increased 15 per cent. The operating cash flow was once again strong, 567 MSEK. Sales have once again been negatively affected by considerably lower sales prices due to lower raw material prices than the corresponding year-earlier period. Price pressure was continued strong on all markets.

In terms of earnings, 2016 was the best year so far in the HEXPOL Group and earnings per share improved to 4.06 SEK. In the beginning of June, Berwin Group, a leading UK Rubber Compounder, was acquired, and have been integrated well in HEXPOL Compounding. Our strong operating cash flow and our net cash of 1,268 MSEK provides scope for continued acquisition-driven expansion and a dividend of 4.75 SEK per share including a special dividend of 3.00 SEK per share."

Georg Brunstam, President and CEO

For more information, please contact:

Georg Brunstam,
President and CEO
Tel: +46-708-55-12-51

Karin Gunnarsson,
Chief Financial Officer/ Investor Relations Manager
Tel: +46-705-55-47-32

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http://news.cision.com/hexpol/r/year-end-report-2016,c2179062

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