Malmo, Sweden – Swedish polymer group Hexpol AB has felt the impact of a slowdown in the automotive industry in the first quarter of 2019.
“Organically, we had a negative sales development in the quarter and saw some softening in demand mainly from automotive related customers,” said Hexpol president and CEO Mikael Fryklund 26 April.
Fryklund did not further elaborate on these trends but said the company had “managed” a lower organic volume “in a good way.”
On the whole, Hexpol posted strong growth both in sales and earnings for the first quarter of 2019, helped by a strengthening US dollar and acquisitions in 2018.
Earnings for the first three months of the year rose 11% year-on-year to SEK607 million (€57 million) on 15% higher sales at SEK3.8 billion, Hexpol reported.
“We are still very pleased with our two latest strategic acquisitions, Kirkhill Rubber and Mesgo Group,” said Fryklund.
These acquisitions, Hexpol said, have broadened the geographical presence of the company and improved its position within advanced elastomers market.