Fourth quarter 2019 - Increased sales driven by acquisitions

• Sales increased 6 per cent to 3,774 MSEK (3,557).
• Operating profit, excl. non-recurring items, amounted to 522 MSEK (522).
• Operating margin, excl. non-recurring items, amounted to 13.8 per cent (14.7).
• Profit after tax amounted to 336 MSEK (405).
• Earnings per share, excl. non-recurring items, increased to 1.20 SEK (1.18). Earnings per share including these items amounted to 0.98 SEK (1.18).
• Operating cash flow increased to 732 MSEK (679).
• Non-recurring items, before tax, amounted to 99 MSEK.

Jan- Dec 2019 - Increased sales and significant strategic acquisitions

• Sales increased 13 per cent to 15,508 MSEK (13,770).
• Operating profit, excl. non-recurring items, increased 4 per cent to 2,242 MSEK (2,150).
• Operating margin, excl. non-recurring items, amounted to 14.5 per cent (15.6).
• Profit after tax amounted to 1,542 MSEK (1,646).
• Earnings per share, excl. non-recurring items, increased 3 per cent to 4.93 SEK (4.78). Earnings per share including these items amounted to 4.48 SEK (4.78).
• Operating cash flow increased to 2,607 MSEK (2,019).
• July 1^st Preferred Compounding, a notable Rubber Compounder in North America, was acquired.
• Non-recurring items, before tax, amounted to 199 MSEK.
• The Board of Directors proposes a dividend of 2.30 SEK per share (2.25), an increase by 2 per cent.

President's comments

"The sales increased 6 per cent during the fourth quarter, while operating profit, excl. non-recurring items, was at the same level as previous year. The sales increased, thanks to the acquisitions, during the year. However, we saw organically a negative sales development in the quarter driven by a continued softening in demand. We are very pleased with the acquisition of Preferred Compounding and together we will be able to continue to develop our compounding business in America. Following the integration at Preferred Compounding has a restructuring project been initiated in order to optimize the operations and extract cost synergies, among other things two production units in US were closed during the quarter. During the full year 2019, the sales increased 13 per cent while earnings per share, excl. non-recurring items increased slightly compared to the previous year. Operating cash flow was strong and increased by 29 per cent. Our financial position remains strong and we are well equipped for further expansion."

Mikael Fryklund, President and CEO