Skip to main content
Sister Publication Links
  • Rubber & Plastics News
Subscribe
  • My Account
  • LogIn
  • News
  • Technology Focus
    • Features
    • Technical Papers
    • Analysis: Rubber mixing plants of the future
      Analysis: US probes dumping by ESBR suppliers
      Opinion: Tire labels stuck in a rut
      Analysis: NR pricing takes one step forward, two steps back
    • White paper: Role of tire innerliners in improving 'in-use rolling resistance'
      White paper: Why tire air retention matters now more than ever
      Nippon Soda: Use of 1,2-polybutadiene in CSM rubber applications
      Elastomers for Sustainability Top 10
  • Events
    • ERJ Events
    • ERJ Livestreams & Webinars
    • Industry Events
    • Journey to Automation Awards 2020
      Sustainability: Top 10 E4S projects table
  • Maps & Reports
  • People
  • Directory
  • Digital Edition
  • Brainiac
MENU
Breadcrumb
  1. Home
  2. News
February 03, 2021 08:26 AM

Hexpol signals more acquisitions after 'best ever' quarter

ERJ
  • Tweet
  • Share
  • Share
  • Email
  • More
    Print

    Malmo, Sweden – Hexpol AB has seen a significant rebound in fourth quarter operating profit and a strong cashflow which could support the rubber group’s “acquisition agenda.”

    During the three months to 31 Dec, operating profit rose 47% year-on-year to SEK622 million (€61.5 million), on 10% lower sales of SEK3.4 billion, Hexpol announced 29 Jan.

    For the full year, the Swedish compounder posted sales down 13.4% year-on-year to SEK13.4 billion, with operating profit coming in 5.2% lower at SEK1.9 billion.

    Hexpol linked its “best quarterly result ever” to increased sales volumes over the final three months of last year, and a reduced cost-base. 

    The decline in sales, meanwhile, reflected a 7% negative currency impact and lower sales prices, according to the group’s report.

    Volumes ‘clearly increased’ to automotive customers and construction industry during the quarter, commented Georg Brunstam, president and CEO. 

    Here, he said, Hexpol’s “large geographical coverage” and proximity to customers were “a clear competitive advantage.”

    Meanwhile, measures to reduce direct and indirect costs bolstered operating-margin, which reached 18.3% in the final three months of the year. 

    Brunstam added that a “very good cashflow” left Hexpol in a strong position for “continued growth and intensified acquisition agenda.” 

    Hexpol has been on the acquisition trail for the past two years, as seen with its full takeover of Italian rubber compounder Mesgo Group last year. 

    In North America, Hexpol’s recent moves have included the 2019 acquisition of Preferred Compounding with six production facilities across the US and Mexico. 
     

    RECOMMENDED FOR YOU
    German rubber industry to return to double-digit growth in 2021
    German rubber industry to return to double-digit growth in 2021
    Yokohama rings the changes with YX2023
    Yokohama rings the changes with YX2023
    Synthomer dismisses takeover reports
    Synthomer dismisses takeover reports
    Free Newsletters

    Breaking news and in-depth coverage of essential topics delivered straight to your inbox.

    Subscribe today

    Get the latest news impacting the European rubber industry, from breaking news to razor-sharp analysis, in print and online.

    Subscribe now
    Connect with Us
    • LinkedIn
    • Twitter
    • Youtube

    Logo
    Contact Us

    @ 2019 European Rubber Journal. 
    European Rubber Journal is published bi-monthly by NUERJ Ltd.

    Registered Office: Castle House, 89 High Street,
    Berkhamsted, Hertfordshire HP4 2DF, United Kingdom. 

    Tel. + 44 (0)203 196 0141 

    Registered No. 13104613 England

    Email: [email protected]

    Website www.european-rubber-journal.com

    Customer service 

    Tel. + 44 (0)203 196 0141 

     

    Resources
    • About us
    • Contact Us
    • Advertise with Us
    • Media Kit
    • Ad Choices Ad Choices
    • Sitemap
    Legal
    • Terms and Conditions
    • Privacy Policy
    • Privacy Request
    Copyright © 1996-2021. Crain Communications, Inc. All Rights Reserved.
    • News
    • Technology Focus
      • Features
      • Technical Papers
    • Events
      • ERJ Events
      • ERJ Livestreams & Webinars
      • Industry Events
    • Maps & Reports
    • People
    • Directory
    • Digital Edition
    • Brainiac