Hexpol sets new 2030 targets, to step up focus on thermoplastics

Stockholm – Hexpol AB has set new long-term financial targets and outlined strategic priorities to 2030, as the group looks to accelerate growth and increase its presence in thermoplastics.

The Swedish group is targeting annual earnings per share growth of more than 10% from 2026 to 2030, with a net debt/earnings ratio of below 2.5 and a dividend payout of 40–60%.

Revenue growth is expected to average above 10% a year, including acquisitions, with an EBIT margin of 14–16% over the period, Hexpol announced in a 4 Nov capital markets day.

“Our financial targets are designed to support our strategy to enter our next phase of growth while maintaining strong margins and cash flow,” said president and CEO Klas Dahlberg.

To achieve this, Hexpol plans to combine organic initiatives with “a more active M&A programme”, particularly in thermoplastics.

“We see an opportunity to use our strong balance sheet and cash flow to do the same journey within the large thermoplastics market as we have done within the relatively smaller rubber compounding market,” said Dahlberg.

To support the plan, Hexpol will focus on growing in the segments that are showing structural demand, by broadening its customer base, and strengthening R&D for product innovation and sustainability.

The group also plans to continue optimising its manufacturing footprint and advance automation and process technology.

Hexpol also intends to “raise the M&A agenda” with greater emphasis on thermoplastics, while ‘protecting and strengthening market leading positions in rubber compounding in Europe and selected Americas segments.’

It will also pursue opportunities within its engineered products segment — particularly ‘wheels.’ 

Hexpol said it is currently assessing opportunities in India, China and Southeast Asia.

Effective 1 Jan 2026, Hexpol will change its reporting structure: Thermoplastics will be separated from the compounding segment, creating three reporting segments of rubber compounding, thermoplastic compounding and engineered products.

Detailed 2025 pro-forma figures will be provided with the first-quarter 2026 report.