Overview
Polymers group's Q4 sales and EBIT missed analyst expectations, impacted by currency effects
Company maintained strong cash flow, aided by working capital reduction
Board proposes unchanged dividend of 4.20 SEK per share for 2025
Outlook
Company sees no general market improvement in the near future due to global uncertainty
HEXPOL aims to leverage growth opportunities through organic growth and acquisitions
Company focuses on efficiency measures to strengthen market position
Result Drivers
CURRENCY EFFECTS - Sales and adjusted EBIT were negatively impacted by currency effects, contributing to a decline in both metrics
VOLUME INCREASES - Volumes increased in Europe and North America, particularly in wire and cable, building and construction, and medical segments
CASH FLOW MANAGEMENT - Strong cash flow was achieved through successful reduction of working capital
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Sales
Miss
SEK 4.25 bln
SEK 4.30 bln (4 Analysts)
Q4 EPS
SEK 0.98
Q4 Net Income
SEK 339 mln
Q4 EBIT
Miss
SEK 508 mln
SEK 583 mln (4 Analysts)
Q4 EBIT Margin
12.00%
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the specialty chemicals peer group is "buy"
Wall Street's median 12-month price target for Hexpol AB is SEK97.00, about 15.5% above its January 28 closing price of SEK84.00
The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 13 three months ago
Press Release: ID:nMFN7D1p3M
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)