Sika has reported results in line with market expectations
Sika has reported results in line with market expectations, being kept on track to achieve its full-year sales target thanks to the strong start.
Swiss construction chemicals maker, Sika, confirmed its full-years targets thanks to the strong start, reporting results in line with market expectations during the first half.
The construction chemicals maker, which has been the target of a bitter takeover battle with Saint-Gobain, said operating profit rose 13.7% to CHF 402.1 million (USD 423.3 million), just ahead of analyst forecasts of CHF 397 million in a Reuters poll.
Sales grew 6.7% to CHF 2.995 billion, in line with the poll average of CHF 3 billion. Net profit rose 16% to CHF 285.7 million.
The results were the last under outgoing Chief Executive Jan Jenisch, who has left Sika to take over at cement maker LafargeHolcim. He has been replaced by Paul Schuler, a company veteran who has been CEO since1 July.
Sika said growth came in all the company’s regions, with the strongest improvement coming in North America.
Swiss-based Sika said it was on track to achieve its targets of increasing its sales by 6-8% this year to more than CHF 6 billion.
“The positive performance in the first half of 2017, the opening of a further national subsidiary, and the commissioning of three new factories all bring us one step closer to achieving our strategic targets for 2020,” Schuler added.
The company said the outcome of its standoff with Saint-Gobain remained an “element of uncertainty for the future”.
Sika has clashed with its family shareholder, which wants to sell its controlling stake to Saint-Gobain. A court ruling on the matter is expected later this year.