MALMO, Sweden—Hexpol A.B.'s net profit for 2016 increased slightly despite a decrease in overall sales on the year.
Profit after tax increased to $156.1 million compared with $155.7 million in 2015. Sales for the fourth quarter also increased to $307.7 million, up from $290 million in 2015.
For the full year, sales dropped to $1.22 billion compared with $1.26 billion in 2015.
Hexpol described the fourth quarter as its best to date, with positive volume development and improved operating margin, by 17.6 percent compared to the third quarter.
Its compounding business area experienced a slight decrease in sales to $1.12 billion against $1.16 billion in 2015. The firm attributed the decrease to considerably lower sales prices because of lower prices on principal raw materials.
Fully integrating the Berwin Group, an England based rubber compounder, after acquiring the firm in the beginning of June helped improve the firm's financial position, the firm said. It also expanded its compounding facility in Mexico.
Sales for the compounding unit increased 6 percent to $283.1 million in the fourth quarter.