Half year financial report
This is a summary of
April−
- Revenue increased by 7.4 percent to
EUR 184.5 (171.8) million. Comparable revenue increased by 9.1 percent, excluding currency effects. -
Operating result (EBIT) decreased by 52.4 percent to
EUR 15.8 (33.1) million and was 8.5 (19.3) percent of revenue. Operating profit was affected by costs related to PPG's tender offer, a total ofEUR 11.4 million in the second quarter of 2021. -
Adjusted operating result decreased by 21.5 percent to
EUR 27.2 (34.7) million and was 14.8 (20.2) percent of revenue. -
EPS decreased by 55.0 percent to
EUR 0.28 (0.61). -
The voluntary recommended cash tender offer for all the shares in
Tikkurila Oyj byPPG Industries, Inc. was completed onJune 10, 2021 . As ofJune 30, 2021 ,PPG Finland Oy , an indirectly wholly owned subsidiary ofPPG Industries, Inc. , owns 97.3 percent of all shares and votes inTikkurila Oyj . The right and obligation ofPPG Finland Oy to redeem minority shares have been registered with theFinnish Trade Register onJune 14, 2021 .
January−June 2021 highlights
- Revenue increased by 8.3 percent to
EUR 329.9 (304.8) million. Comparable revenue increased by 10.7 percent, excluding currency effects. -
Operating result (EBIT) decreased by 23.5 percent to
EUR 31.9 (41.7) million and was 9.7 (13.7) percent of revenue. Operating profit was affected by costs related to PPG's tender offer, a total ofEUR 12.9 million in the first half of the year. -
Adjusted operating result increased by 3.7 percent to
EUR 44.8 (43.2) million and was 13.6 (14.2) percent of revenue. -
EPS amounted to
EUR 0.58 (0.70).
Guidance for 2021
- Due to the tender offer for all the shares in
Tikkurila Oyj completed byPPG Industries, Inc. onJune 10, 2021 ,Tikkurila will not give guidance for 2021. Consequently, the previous guidance given in the Q1 Business Review onApril 28, 2021 is not in force.
Markus Melkko, Interim CEO & CFO:
During the second quarter
During the first half of the year, the global paint industry has experienced an unprecedented raw material disruption, which has further escalated during the second quarter. The raw material and packaging inflation impacted our cost basis, and the simultaneous raw material supply issues impacted our ability to serve our customers.
In the first half of the year 2021, revenue increased by 8% (11% excluding currency effects) and adjusted operating result increased by 4% compared to the first half of 2020. Due to PPG's tender offer transaction operating result includes
Despite the varying Covid-19 restrictions in
We expect that raw material inflation and some supply constraints will continue during the second half of 2021. We will maintain focus on serving our customers to the best of our capabilities under the supply constraints, while maintaining our profitability with smart margin management and targeted pricing changes to offset inflation.
On
Key figures for the Group
EUR million | 4-6/2021 | 4-6/2020 | Change % | 1-6/2021 | 1-6/2020 | Change % | 1-12/2020 |
Revenue | 184.5 | 171.8 | +7.4% | 329.9 | 304.8 | +8.3% | 582.0 |
Comparable revenue growth1) | 15.6 | +9.1% | 32.7 | +10.7% | |||
Operating result (EBIT) | 15.8 | 33.1 | -52.4% | 31.9 | 41.7 | -23.5% | 61.1 |
Operating result (EBIT) margin, % | 8.5% | 19.3% | -10.7%-p* | 9.7% | 13.7% | -4.0%-p* | 10.5% |
Adjusted operating result | 27.2 | 34.7 | -21.5% | 44.8 | 43.2 | +3.7% | 63.8 |
Adjusted operating result margin, % | 14.8% | 20.2% | -5.4%-p* | 13.6% | 14.2% | -0.6%-p* | 11.0% |
Result before taxes | 15.5 | 34.3 | -54.8% | 32.1 | 39.1 | -18.1% | 54.9 |
Net result for the period | 12.2 | 27.0 | -55.0% | 25.7 | 30.8 | -16.6% | 43.1 |
Earnings per share (EPS), EUR | 0.28 | 0.61 | -55.0% | 0.58 | 0.70 | -16.6% | 0.98 |
Interest-bearing net liabilities (at period-end) | 58.4 | 96.9 | -39.7% | 12.1 | |||
Total equity (at period-end) | 204.8 | 173.8 | +17.9% | 181.4 | |||
Total assets (at period-end) | 523.2 | 561.8 | -6.9% | 441.6 | |||
Equity ratio, % | 39.2% | 30.9% | 41.1% | ||||
Gearing, % | 28.5% | 55.8% | 6.7% | ||||
ROCE, %, rolling | 21.0% | 20.5% | 24.0% | ||||
Cash flow after capital expenditure | -7.9 | 11.4 | -169.4% | -40.1 | -5.9 | -575.0% | 92.0 |
1) Comparable revenue excluding currency effects.
* Percentage points.
Conference call
Contact information
Markus Melkko
Interim CEO, CFO
All contacts are handled via CEO Office, tel. +358 44 314 1381
communications.Tikkurila@tikkurila.com.
Attachment:
Sustainable Nordicness
www.tikkurilagroup.com
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