logo
Plus   Neg
Share
Email

Sika AG Reports 13.7% Rise In FY Sales; To Acquire Parex - Quick Facts

Sika AG (SKFOF.PK) reported that its 2018 sales increased, in local currencies, by 13.7% to the equivalent of 7.09 billion Swiss francs. The company said above-average growth rates were achieved in Eastern Europe, Africa, the Middle East, USA, Indonesia, India, China, and in the Global Business segment. For the business year 2018, a record operating profit (EBIT) in the range of 940 million to 960 million francs is expected.

Separately, Sika announced it has made a binding offer to acquire Parex from its current owner CVC Fund V. Parex is a manufacturer of mortar solutions including facade mortars, tile adhesives, waterproofing, and technical mortars. The acquisition is value enhancing to Sika shareholders and is expected to be accretive to earnings per share from the first full year post closing. Annual synergies are expected to be in the range of 80 million - 100 million francs.

In 2019, Sika expects a sales increase in line with its Growth Strategy 2020 targets of 6 to 8% and an over-proportional rise in profits. Depending on the closing date of the Parex transaction, sales are expected to exceed 8 billion francs. The company said the execution of its growth strategy will continue in 2019 with the opening of new factories and further acquisitions.

For comments and feedback contact: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
Ford Motor Co. plans to launch an all-electric plugin version of its popular F-150 pickup truck. The announcement was made by Jim Farley, Ford's president of Global Markets, during a presentation at the Deutsche Bank Global Automotive Conference in Detroit. Ford's announcement comes as the auto industry transitions away from fossil fuel-powered transportation to electric vehicles. Logistics giant UPS' investment arm Strategic Enterprise fund made an equity investment in blockchain-for-business company Inxeption Corp. In a statement, Inxeption, an industrial-strength eCommerce platform built on Blockchain, said the investment will be used to create innovative new e-commerce solutions for B2B sellers and buyers. Children's clothing retailer Gymboree Group, Inc. has again filed for Chapter 11 bankruptcy protection, the second time in nearly two years. The company will close more than 800 Gymboree and Crazy 8 stores in the U.S. and Canada. The San Francisco-based retailer said that along with its U.S. subsidiaries, it has filed a petition in the U.S. Bankruptcy Court for the Eastern District of Virginia.
Follow RTT