MOSCOW (MRC) -- Tikkurila has provided an update on the company’s financial performance in 2020 and says that adjusted operating profit increased 38%, to EUR64.0 million (USD77.6 million) on sales up 3% YOY, to EUR582.0 million, according to Chemweek.
The company says it provided the update, with preliminary and unaudited figures, to inform all shareholders amid an ongoing tender-offer process for Tikkurila. The company's board recommended on 14 January that shareholders accept a planned tender offer for Tikkurila from PPG Industries. Meanwhile, AkzoNobel submitted a binding offer to acquire Tikkurila, with a potential tender offer subject to customary conditions.
The announced figures are in line with Tikkurila’s previously announced guidance for 2020, the company says. “The strategic action plan delivered results in 2020: decisive actions to increase cost-efficiency in all functions led to a profitability improvement. Due to the pandemic the demand fluctuated in early 2020 but the revenue was strong in the second half of 2020,” says Elisa Markula, CEO of Tikkurila.
Tikkurila will publish full results on 12 February.
We remind that Russia's output of chemical products rose in November 2020 by 9.5% year on year. At the same time, production of basic chemicals increased in the first eleven months of 2020 by 6.6% year on year, according to Rosstat's data. According to the Federal State Statistics Service of the Russian Federation, polymers in primary form accounted for the greatest increase in the January-November 2020 output. November production of polymers in primary form rose to 896,000 tonnes from 852,000 tonnes in October. Overall output of polymers in primary form totalled 9,240,000 tonnes over the stated period, up by 17.1% year on year.
MRC