Interim report January-March 2019

First quarter 2019 – Increased sales and higher operating profit

  • Sales increased 15 per cent to 3,805 MSEK (3,309).
  • EBITA increased 11 per cent to 607 MSEK (547).
  • EBITA margin amounted to 16.0 per cent (16.5).
  • Operating profit increased 9 per cent to 586 MSEK (540).
  • Operating margin amounted to 15.4 per cent (16.3).
  • Profit after tax increased 7 per cent to 438 MSEK (411).
  • Earnings per share increased 7 per cent to 1.27 SEK (1.19).
  • Operating cash flow increased to 354 MSEK (302).

 President’s comments

“The sales increased 15 per cent and operating profit increased 9 per cent affected by the acquisitions during 2018 and positive exchange rate fluctuations, in the first quarter of 2019. EBITA increased by 11 per cent and earnings per share increased 7 per cent to 1.27 SEK. However, organically we had a negative sales development in the quarter and saw some softening in demand mainly from automotive related customers. We managed a lower organic volume in a good way. We are still very pleased with our two latest strategic acquisitions, Kirkhill Rubber and Mesgo Group. These acquisitions have given us a better position within advanced elastomers and have broadened our geographical presence in three new countries and have strengthen our position in western US. Our financial position remains strong and we are well equipped for further expansion.”

Mikael Fryklund, President and CEO

Interim report January-March 2019

HEXPOL is a world-leading polymers group with strong global market positions in advanced polymer compounds (Compounding), gaskets for plate heat exchangers (Gasket), and plastic and rubber materials for truck and castor wheel applications (Wheels). Customers are primarily system suppliers to the global automotive and engineering industry, the construction sector, the transportation, the energy, oil, and gas sector, the consumer sector, the cable and wire industry, medical equipment manufacturers and OEM manufacturers of plate heat exchangers and forklifts. The Group is organized in two business areas, HEXPOL Compounding and HEXPOL Engineered Products. The HEXPOL Group’s sales in 2018 amounted to 13,770 MSEK. The HEXPOL Group has approximately 4,600 employees in fourteen countries. Further information is available at www.hexpol.com.

This press release consists of such information that HEXPOL AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 12:00 p.m. CET on April 26, 2019. This report has been prepared both in Swedish and English. In case of any divergence in the content of the two versions, the Swedish version shall have precedence.

For more information, please contact:

Mikael Fryklund, President and CEO
Tel: +46 (0)40 25 46 61

Karin Gunnarsson, Chief Financial Officer/ Investor Relations Manager
Tel: +46 (0)705 55 47 32