-Swiss construction chemicals maker Sika AG reported a 20% jump in its first-quarter sales on Tuesday, as the broader construction industry benefited from an upturn in projects after the pandemic.
The company, whose chemical additives strengthen and waterproof concrete, said sales came in at 2.39 billion Swiss francs ($2.57 billion) for the three months ended March 31, compared with 2.1 billion francs in the year-ago period. Sales in local currencies rose 21.9%.
Sika confirmed its annual sales forecast of crossing 10 billion francs for the first time in 2022, driven by a more than 10% sales jump in local currencies.
Sika, whose products are also used by car makers as adhesives, has forecast annual sales growth of 6%-8% in the years up to 2023 and an operating profit margin of 15%-18% from 2021.
After a series of acquisitions, Sika aims to increase its share of the construction chemicals market to 12% by 2025 from around 10% now.
($1 = 0.9314 Swiss francs)