Jotun posts NOK 10.75 billion in operating revenue in first eight months of the year
The Jotun Group reports NOK 10.75 billion in operating revenue and NOK 1.63 billion in operating profit in the first eight months of the year.
Operating revenue increased by 24 per cent compared to the same period last year, to a large extent due to beneficial changes in currency exchange rates. Adjusted for currency rates, underlying growth is 10 per cent. Growth has taken place in all of Jotun's segments and regions.
The most important drivers are lasting growth in sales of marine coatings to newbuildings in North East Asia, as well as increased volumes in the Decorative segment in the Middle East and South East Asia.
Operating profit increased to NOK 1.63 billion as of 31 August 2015. The increase in profit is largely impacted by positive currency translation effects. Increased sales volume combined with active cost control contribute to underlying growth in profit. For the operation in Scandinavia by contrast, changes in currency rates are having a negative impact on margins as raw materials prices are increasing.
Jotun's investments so far in 2015 amount to NOK 594 million, up NOK 46 million compared to the same period last year. Investments constitute six per cent of turnover and are in line with the company's strategic ambitions. The greatest investments are related to new production facilities in Brazil and Oman, in addition to a new warehouse and office building in Indonesia.
