Year-end report 2021

OCTOBER - DECEMBER 2021

• Sales increased by 20 percent and amounted to 4,085 MSEK (3,402).
• EBIT amounted to 537 MSEK (622).
• EBIT-margin amounted to 13.1 percent (18.3).
• Adjusted EBIT (excl. non-recurring items) increased by 1 percent to 628 MSEK (622).
• Adjusted EBIT-margin (excl. non-recurring items) amounted to 15.4 percent (18.3).
• Profit after tax amounted to 446 MSEK (456).
• Earnings per share amounted to 1.29 SEK (1.32).
• Operating cash flow amounted to 1,296 MSEK (1,023).
• Non-recurring items, before tax, amounted to an expense of 91 MSEK (0), mainly related to the insurance settlement after the fire in one of our production units in the USA earlier this year, but also includes a planned restructuring of our production in England.

JANUARY - DECEMBER 2021

• Sales increased by 19 percent and amounted to 16,005 MSEK (13,424).
• EBIT increased by 59 percent to 3,074 MSEK (1,935).
• EBIT-margin increased to 19.2 percent (14.4).
• Adjusted EBIT (excl. non-recurring items) increased by 36 percent to 2,737 MSEK (2,011).
• Adjusted EBIT-margin (excl. non-recurring items) increased to 17.1 percent (15.0).
• Profit after tax increased to 2,358 MSEK (1,409).
• Earnings per share increased by 67 percent to 6.85 SEK (4.09).
• Operating cash flow amounted to 2,731 MSEK (2,548).
• Non-recurring items, before tax, amounted to 337 MSEK (expense 76), mainly related to the insurance settlement after the fire in one of our production units in the USA earlier this year, but also includes a planned restructuring of our production in England.
• The Board of Directors propose an ordinary dividend of 3.00 SEK per share (2.30) for 2021, an increase by 30 percent compared to previous year, and an additional dividend of 3.00 SEK per share, which gives a proposed total dividend of 6.00 SEK per share.

Strong sales growth in a continued challenging environment
We had a strong sales growth of 20 percent compared with the corresponding quarter last year, driven by good sales in all markets and product areas. This is despite many disturbances during the quarter in the form of production stoppages at automotive customers, global transport problems and raw material shortages. Adjusted EBIT amounted to 628 MSEK (622), which corresponds to a margin of 15.4 percent (18.3). Operating profit for the quarter amounted to 537 MSEK (622) which includes non-recurring items of 91 MSEK, mainly related to the fire in one of our production unit in the USA earlier this year but also planned restructuring in England.
Despite the challenges, we once again experience that our strong customer focus combined with our ability to offer fast and stable deliveries to our customers are appreciated when the uncertainty is so high around the world. Our large geographical coverage with manufacturing close to our customers is a clear competitive advantage. 2121 as a whole was a very good year for the HEXPOL Group with record sales and record profit, our best year so far.