Sales, income increase for Hexpol

Malmo, Sweden – Hexpol Compounding saw its sales rise 27 percent to $1.23 billion (€1.13 million) for 2015, with its operating profit climbing 36 percent to about $220 million, according to its financial report. The unit posted an operating margin of 17.9 percent, compared with 16.6 percent in 2014.

Hexpol said sales growth was strong primarily thanks to new businesses it acquired in 2014 and 2015 and positive currency effects. Revenue, though, also was hurt by lower prices for its main raw materials, which were considerably lower than the previous year.

For the fourth quarter, sales for compounding grew 11 percent to about $283 million, with operating earnings jumping 32 percent to $50.8 million.

Including the firm's Engineered Products business, sales climbed 11 percent to $1.33 billion, with after-tax profit up 33 percent to $165.2 million.

Full-year sales for the NAFTA region – Hexpol's largest area of sales – jumped 32.8 percent to $673 million.