Media Releases 2020

Sika has acquired Modern Waterproofing Group, a leading manufacturer of roofing and waterproofing systems in Egypt. The acquisition supplements and rounds off the product portfolio of Sika Egypt and offers new opportunities for growth in the Egyptian construction market. The acquired business generates annual sales of CHF 26 million.

Sika has commenced production of respiratory masks in France. In addition to hand sanitizer, which is being manufactured at over 15 Sika national subsidiaries since March 2020, safety masks are now being produced for employees, customers, and other interested parties. Production capacity stands at around 15,000 masks per day.

At the 52nd Annual General Meeting of Sika AG on April 21, 2020, all proposals of the Board of Directors were approved.

▪ Sales increase of 15.4% in local currencies to CHF 1,813.6 million (+10.3% in CHF)
▪ Negative currency effect of –5.1%
▪ Acquisition of Adeplast (Romania) concluded, new production facility in Sarnen (Switzerland) comes on stream
▪ Outlook for 2020: forecast for 2020 not yet possible due to ongoing developments related to COVID-19
▪ Confirmation of 2023 strategic targets for sustainable, profitable growth

▪ The Board of Directors confirms April 21, 2020 as date for the Annual General Meeting
▪ Based on the Ordinance of the Federal Council on measures to prevent coronavirus, it will not be possible for shareholders to attend the Annual General Meeting in person
▪ All current members of the Board of Directors are standing for re-election

At its existing site in Sarnen, Switzerland, Sika is putting into operation a new production facility for the SikaProof® structural waterproofing membrane. This investment in expansion will boost manufacturing efficiency and thus enable the company to serve the rapidly growing market. The SikaProof® product family – for which a doubling of sales by 2023 is targeted under Sika's new growth strategy – benefits from the application of an innovative, patented membrane technology.

Sika is pleased to join the ‘Together for Sustainability’ (TfS) initiative as a new member. The organization, founded in 2011, aims to improve sustainability practice within the supply chain of the chemicals industry. Sustainability is a key feature and a central element of Sika’s growth strategy.

▪ Sales reach CHF 8,109 million (+14.4% in CHF, +16.3% in local currencies)
▪ EBITDA increased to CHF 1,388 million (+20.7%)
▪ Operating profit (EBIT) increased to CHF 1,055 million (+11.5%)
▪ Net profit recorded at CHF 759 million (+10.4%)
▪ Operating free cash flow doubled amounting to CHF 1,026 million
▪ Growth in all regions
▪ 7 factories opened, 5 companies acquired
▪ Dividend increase of 12.2% proposed
▪ Outlook 2020: Due to the higher acquisition impact, Sika is expecting a sales increase of more than 10% in local currencies, as well as an over-proportional increase in profitability
▪ Consistent implementation of Strategy 2023 for sustainable, profitable growth

Sika once again delivered record results in 2019. Sales in Swiss francs rose by 14.4% year-on-year to CHF 8,109 million, which equates to an increase of 16.3% in local currencies. Operating profit increased by 11.5% to CHF 1,055 million, thereby surpassing the billion-franc threshold for the first time. Net profit was recorded at CHF 759 million, representing a year-on-year growth of 10.4%. Operating free cash flow doubled versus the previous year, amounting to CHF 1,026 million.

Sika has invested in the production of concrete admixtures, acrylic liquid applied membranes, and mortars in Barranquilla, the fourth-largest city in Colombia, and has relocated and expanded the activities of an existing factory to the new state-of-the-art plant. The factory supplies the attractive Caribbean market and the northern part of Colombia and enables further growth.

▪ Sales growth of 16.3% in local currencies to CHF 8.11 billion (+14.4% in CHF)
▪ Growth in all regions
▪ Organic growth of 3.3%
▪ Growth boosted by acquisitions of Parex, Crevo‐Hengxin, King Packaged Materials, Belineco. Signing of Adeplast.
▪ Opening of seven new factories
▪ Outlook: double‐digit EBIT growth expected for 2019, consistent implementation of Strategy 2023 for sustainable, profitable growth