MALMO, Sweden—Hexpol A.B. has seen its sales and operating profit increase in the first nine months of the year, compared to the same period last year.
Sales grew 10 percent to $1.11 billion in the nine months through the end of September, while operating profit rose 7 percent to $174.2 million, according to the company's Oct. 25 report.
Exchange rate fluctuations, particularly the strengthening of Euro, affected the overall sales positively by about $21.3 million and operating profit by $2.07 million during the period, Hexpol reported.
A volume growth of 8 percent and higher sales prices also contributed to stronger results.
Sales in Europe increased by 14 percent, in NAFTA by 6 percent and in Asia-Pacific by 27 percent compared to the previous year. Hexpol did not give further breakdown of sales figures in the said regions.
Hexpol's Compounding business sales increased 10 percent to $1.03 billion during the first nine months of the year while segment operating profit rose 6 percent to about $160,000 million for the period.
Sales in the Engineered Products business were up 13 percent to $83.7 million with operating profit grew by 26 percent at $11.8 million during the period.
In September, Hexpol acquired California-based rubber compounder Kirkhill Rubber for about $49 million.
"Kirkhill has extensive knowledge in advanced elastomers and… is a very good complement to Hexpol Compounding in the U.S.," the Hexpol statement said.
A custom rubber compounder, Kirkhill operates within the aerospace, automotive, medical and other demanding industry segments.
The company also acquired an 80 percent share in Italian compounder Mesgo in early October with an investment of $190.2 million.
Mikael Fryklund, Hexpol president and CEO, said in a statement that the purchases give the company abetter position within advanced elastomers and broadened its geographical presence in three countries.