The construction chemicals company reported a 17.3% increase in sales to 9.24 billion Swiss francs. A result certainly obtained through the numerous acquisitions made in 2021 but above all through overall growth.
Everything is going well for Sika. Despite the Covid-19 pandemic and raw material supply problems, its sales increased “significantly to reach the record 9.24 billion Swiss francs”, which represents a growth of 17.1% in local currencies. In detail, “The currency impact was 0.2%. The acquisition effect was 2.0% and the organic growth was 15.1%. Compared to the same period in 2019, the organic profit was 11.9%. “
Double-digit growth in Europe
These results can be attributed to the performance of the Swiss manufacturer of adhesives and mortars in all of its markets. Thus in EMEA alone (Europe, Middle East and Africa), it recorded an increase in its sales (in local currencies) by 16.1% (previous year: 4.4%). “As in 2020, the growth of distribution and repair activities has outpaced the growth of other sectors of activity. Almost all countries in the region have achieved double-digit growth rates. Countries in the Middle East and Eastern Europe, including Russia, the United Kingdom and countries in Africa have benefited from the renewed growth. In general, Purchases of Sika product solutions across e-commerce platforms have increased above average.”
Eight buybacks in 2021
But also the boost given to acquisitions. In 2021, the construction chemist bought eight companies, including in November 2021 the German company MBCC, a former subsidiary of BASF, with an enterprise value of 5.5 billion Swiss francs. As a reminder, this transaction, the largest in the history of the Bar Group, should be completed in the second half of this year 2022. Thanks to the acquisitions, Sika expects turnover of 13 billion for 2023.
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