Jotun Group achieves an operating income of NOK 1.3 billion for 2014. The Group reports growth in all segments and expects continued growth in 2015.
Jotun gained a top line growth of nine per cent, partly driven by currency fluctuations. After a somewhat careful start of the year, the sales numbers improved throughout the year, and Jotun experienced a substantial growth of 17 per cent during the last four months.
Jotun obtained total sales of NOK 17.5 billion in 2014, including full revenues of associates and of joint ventures, compared to NOK 16 billion in the same period the year before.
- 2014 was another good year for Jotun. We are delivering the best results ever, and continue to grow in all segments. Margins have been good throughout the whole year, supported by increased sale of premium products and stable commodity prices, says CEO of Jotun, Morten Fon.
Among Jotun’s many segments, the sales development within Decorative Paints has been good, particularly in Southeast Asia and the Middle East. Additionally, there has been an improvement in the segment of Marine Coatings, particularly due to constructions of new ships in Northeast Asia. All segments achieved double-digit percentage growth last four months.
- It has been an exciting year, especially due to the currency fluctuations, which has affected both operations and results. However, the currency fluctuations affect neither our investment programmes nor our innovation programmes. The investments for future growth will be carried out as planned in Oman, Brazil, Indonesia, Myanmar, the Philippines and Malaysia, among others, says Fon.
Prepared for an uncertain future
In addition to the currency situation, the future will be characterized by persistent uncertainty related to the oil prices and the investment pace in the shipping and oil industry. Low oil prices and a weaker Norwegian Krone create uncertainty. Jotun is performing well so far in 2015 and expects continued growth.
- Jotun has many years of experience with production and sales worldwide. We have in-depth knowledge of the markets where we operate. This kind of insight and proximity to the market also apply to the commodity markets. We have a good geographical footprint, and we are prepared for the future, says Fon.
Highlights from 2014:
- Jotun had a historic operating result (EBITA): NOK 1.3 billion
- Growth in all segments
- Jotun’s extensive investment- and innovation programs continue
| Key financial figures Jotun Group (NOK million) | 2014 | 2013 | Change | ||||
| Operating Income | 13 171 | 12 034 | 9 % | ||||
| Operating Profit | 1 314 | 1 258 | 4 % | ||||
| Profit before Tax | 1 301 | 1 191 | 9 % |
Jotun is one of the world´s leading manufacturers of decorative paints, marine, protective and powder coatings. The group has 69 companies and 33 production facilities on all continents and has more than 9,600 employees. The Jotun Group is organised into four segments and seven geographical regions, and has its head office in Sandefjord, Norway.