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FDR - Fluidra SA News Story

€25.25 0.2  0.6%

Last Trade - 09/04/21

Sector
Consumer Cyclicals
Size
Large Cap
Market Cap £4.23bn
Enterprise Value £4.73bn
Revenue £1.31bn
Position in Universe 60th / 730

Fluidra sees further sales growth in 2021 after boom year for pools

Wed 16th December, 2020 9:47am
By Joan Faus
    BARCELONA, Dec 16 (Reuters) - After a boom year for the
swimming pool industry, Spain's Fluidra  FLUI.MC  expects sales
to slow slightly in 2021, but still grow more than 5% as the
cocooning-at-home trend prompted by the COVID-19 pandemic is
sustained.
    Chief Executive Officer Bruce Brooks also said
ahead-of-schedule debt reduction will accelerate a search for
merger and acquisition opportunities, mainly in the United
States, by the world's largest swimming pool equipment maker.
    "Beyond 2021 there's a long-term trend to have some level of
work from home, less travel, (moving) from the city to the
suburbs. These things favour making your home an oasis, which is
good for the pool industry," Brooks told Reuters.
    He did not expect vaccination against COVID-19 to 
dramatically change this trend.
    Pool manufacturing and maintenance was among the few sectors
to receive a boost from the pandemic as more people have chosen
to splash at home, avoiding community pools and beaches.
 urn:newsml:reuters.com:*:nL5N2F04NK
    Fluidra's January-September net profit more than tripled
from a year ago, to 77 million euros ($93.56 million), while net
debt in September fell 25% to 584 million euros.  urn:newsml:reuters.com:*:nFWN2HI18D
    Its shares have soared 54% so far this year, prompting
speculation the Barcelona-based company could eventually enter
Spain's Ibex-35 blue-chip index. 
    "We believe there is still room to continue to grow," Brooks
said, projecting earnings and the stock price to keep rising. 
    Full-year 2020 sales growth could exceed 7.5% registered in
January-September, and next year should still outperform a
projected 5% average market growth, he said. 
    Before the Northern Hemisphere's summer, the pool sector
scrambled to meet the unexpected spike in demand.
    Brooks said many of its providers were fully booked until
next July and some for all of 2021, but he insisted Fluidra was
now in a good position to handle the growing demand and to keep
benefiting from it.
    "The more pools that are built drives growth to the overall
industry because you need to take care of the pool once you have
installed it," he said.

($1 = 0.8230 euros)

 (Reporting by Joan Faus, editing by Andrei Khalip and Catherine
Evans)
 ((joan.faus@thomsonreuters.com;))
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