SHW AG reported earnings results for the fourth quarter and full year of 2015. For the quarter, the company reported cash flow from operating activities was EUR 23.9 million against EUR 18.3 million a year ago. Operating free cash flow was EUR 21.7 million against EUR 10.6 million a year ago. Total free cash flow was EUR 21.6 million against EUR 10.3 million a year ago.

For the year, group sales were EUR 463.5 million against EUR 430.0 million a year ago. Sales grew by 7.8% due to continuous high customer demand. Net income for the period was EUR 14.4 million or EPS was EUR 2.26 against EUR 10.7 million or EPS of EUR 0.83 a year ago. Net income positively influenced by income from investments. Adjusted EBITDA was EUR 43.5 million against EUR 40.6 million a year ago. Adjusted EBIT was EUR 21.0 million against EUR 22.5 million a year ago. Capex was EUR 23.9 million against EUR 34.8 million a year ago. Net cash/net debt was EUR 12.3 million against negative net cash/net debt of EUR 14.4 million a year ago. Cash flow from operating activities was EUR 40.9 million against EUR 29.9 million a year ago. Operating free cash flow was EUR 18.1 million against negative operating free cash flow of EUR 5.4 million a year ago. Strong operating cash flow due to higher net profit, depreciation, provisions and lower capital expenditure result in a positive operating free cash flow of EUR 18.1 million. Total free cash flow was EUR 9.1 million against negative free cash flow of EUR 5.6 million a year ago.

The company provided earnings guidance for the fiscal year 2016. For the period, the company expects sales of between EUR 440 million and EUR 460 million, assuming that both the order situation and the operating environment remain stable. It is predicting sales of approximately EUR 340 million to EUR 360 million in its Pumps and Engine Components business segment and sales around previous year's level in its Brake Discs business segment, with a further upturn anticipated in the percentage of higher-value composite brake discs in 2016. The group is expecting its consolidated earnings before interest, taxes, depreciation and amortization (adjusted EBITDA) to be between EUR 43 million and EUR 47 million. The impacts of the operative excellence program in both business segments should have a positive effect on the predicted earnings. Capex expects between EUR 32 million to EUR 35 million.

For the 2017, the company expects sales of between EUR 440 million to EUR 460 million and capex of between EUR 32 million to EUR 35 million.

For the 2018, the company expects sales of between EUR 480 million to EUR 505 million and capex of between EUR 26 million to EUR 29 million.

For the 2019, the company expects sales of between EUR 570 million to EUR 600 million and capex of between EUR 27 million to EUR 30 million.

For the 2020, the company expects sales of between EUR 630 million to EUR 660 million and capex of between EUR 29 million to EUR 32 million.